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I can't seem to find a solid answer for this but looking at a chart that I have linked below, this altcoin (altcoin X) has a price that is based on BTC from an exchange that is only a crypto exchange. Now BTC is very volatile and the price fluctuates a lot in a given day. My question is based on the chart where the current price is 0.00009468 BTC. Lets say this crypto X stays at this same price for Y time and BTC's price increases drastically in Y time. Will the 0.00009468 BTC price take in the consideration that BTC has risen and lower that value of 0.00009468 BTC (for example down to 0.00006845 BTC on the Y axis) or will it stay the same where if I was to trade X for BTC and then traded to USD, I would recive the gains from BTC's rise?

Let me know if this dosen't makes sense.

Chart of Crypto X

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When you talk about the price on the X-BTC market, that's what the market thinks is the fair price for X relative to BTC. When people trade BTC-USD, they don't really concern themselves with "oh, what will be the value of USD relative to EUR or GBP by the time I'm done with this trade". The quote currency is the basis of all measurements.

There is certainly some effect of a significant price change in BTC-USD market on the X-BTC market, there is varying levels of correlation in the way the price movements occur in one altcoin to another.

will it stay the same where if I was to trade X for BTC and then traded to USD, I would recive the gains from BTC's rise

Likely not. Because there are arbitrage traders who are probably faster than you. The price of X might too rise along with BTC. But if you were to sell X fast enough before a significant rise in BTC could take place and then sell the BTC for USD, you could theoretically profit from the price movement.

You can google more about triangular arbitrage, it should help bring clarity: https://www.investopedia.com/terms/t/triangulararbitrage.asp

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When btc price in usd rises you will see raise in alt coins usd valuation because altcoins are valued based on their satoshis which is either in BTC, ETH or any pair.

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