Bitcoin (BTC) Dominance Regains June 2022 Levels As Altcoins Plunge
While the rest of the crypto market is currently in a bleeding state after the joyous green ride of the past few days, Bitcoin, the best cryptocurrency, has seen an increase in dominance. This peak in dominance comes along with the crypto price increase in the last day.
As of March 16, Bitcoin dominance is well over 45% and regaining June 2022 levels, while looking to reach the June 2022 peak dominance of just over 48%.
A Rise in Bitcoin Dominance, a Fall in Altcoins?
While the rise in BTC dominance may have Bitcoin maxis on cloud 9, it may not be all good news for altcoin believers. This is because an increase in Bitcoin dominance could mean that investors give up interest in altcoins and move to the top crypto.
Moreover, while the increase in Bitcoin dominance could be a result of the growing US banking crisis that has made many attracted to crypto as a way to store their money, it could also mean that customers of traditional banks only see Bitcoin as a recognized store of value, ignoring other altcoins.
Over the past week, Bitcoin dominance has risen from 43% to 44% levels and has increased to 45.9% at the time of writing. While this indicates a growing interest in Bitcoin, BTC is still trading just below $25,000 after hitting a nine-month low of $26,500 on Wednesday.
Regardless of the banking crisis that seems to worsen every day, Bitcoin price has increased by more than 15% in the last 7 days after falling below the $20,000 mark to trade at $19,700 from last week on Friday as the crisis was just about to let up.
In the past week, Bitcoin has added more than $90 billion to its market cap, pushing the global crypto market cap back over $1 trillion, while increasing its dominance by nearly 5% over the same time period.
Altcoins Record Decline
Over the past 24 hours, the altcoin market has seen sharp declines with larger market capitalization altcoins such as Ethereum (ETH), Ripple (XRP), Cardano (ADA), Polygon (MATIC) and Dogecoin (DOGE) are down by more than 1% respectively.
At the time of writing ETH is down 1.6% in the last 24 hours to trade at $1,656, XRP by 1.5% to trade at $0.363, ADA and MATIC up 3.1% and 3.5% respectively, with a trade price of $0.325 and $1.13. Dogecoin (DOGE) and Solana (SOL) recorded the biggest losses among top altcoins, down 4% and 5.3% respectively.
Meanwhile, of the larger altcoins, Binance Coin (BNB) has moved in the opposite direction with a move up 3% in the last 24 hours with a trading price of $313.
Featured image from Unsplash, chart from TradingView
