When trading cryptocurrencies, one thing I sometimes find really frustrating is the high correlation among altcoins and Bitcoin.
And syaing "high correlation" is a polite way to deal with it: I witnessed cases in which the altcoin graph was such specular to Bitcoin's movement that it was like watching a photocopy.
While this kind of beahviour can be appealing to newbies, after some time it becomes annoying for a trader who browses the altcoins scene looking for more trading opportunities.
Lately, Bitcoin lateral trading range leaves with not many trading options if not to make some scalping but, someone who doesn't feel at ease with high leverage trading, may be tempted to try the way of altcoins to search for alternatives. After all, there are so many exotic acronyms to trade, why only stick to the same coin everytime?
Good luck with that! After studying some graphs, you soon realize that most altcoins are strictly correlated to Bitcoin, mirroring its movements as tidals of a big wave.
Feeling really frustrated by this behavior, I researched deeply if there was some alternative to mainstream Bitcoin scalping and found some coins that are surprisingly able to show decorrelated movements from Bitcoin.
One of this appears to be Celo.
Celo is a project aimed to ease the spread of DeFi among smartphone users, and is backed up by personalities coming from istitutions. Maybe this is why it is able to show such a willfulnes in front of the father of all cryptocurrencies.
The next graph is made of two boxes: the upper shows CELO candles while the lower show BITCOIN's ones for the same period. As you can see, there are significant ranges, marked in yellow, during which, albeit short in duration, show divergence and decorrelation between the two currencies.
This offers a nice alternative opportunity to trade while Bitcoin and all its correlated waves are sinking ot showing technical configurations not suiting one's own style of trading.
Finding such decorrelated assets is important becuase gives a trader freedom of action and ability to achieve gains also in unfavorable periods.
