Bitcoin’s weight in the crypto money market is increasing. Today, Bitcoin has reached the highest level of the last four years by making up 60 %of the total crypto market. This may be a harbinger of significant changes in market dynamics while worrying Altcoin investors.
Bitcoin Dominance at the top of recent years
In wavy markets, investors tend to turn to safe ports. While this port in traditional markets is gold, Bitcoin plays this role in the crypto currency world. Recently, investors’ interest in subcoins decreased, while Bitcoin’s market value has reached $ 1.9 trillion. This increase indicates that the market moves more cautiously and the interest in speculative beings decreases.
Mike Cahill, Director of Pyth Data Association, summarized the market sensitivity by saying, Mike Cahill, “Bitcoin’s increase in market domination shows that investors avoid risk and turn to more stable assets,” he said.
Will Altcoin be content with watching the market?
In the big bull season in 2021, the Altcoins rose rapidly and Bitcoin’s market domination declined. Today, however, only certain subcoins are correlated with Bitcoin. According to Cryptoquant CEO, Young Ju, “There is a selective Altcoin season. While infrastructure coins such as Ethereum remained stagnant, projects and some stabilcoins that attracted the attention of corporate investors have survived. ”
However, Ju said, “The period in which everything has risen,” said Ju, and it is no longer possible for all subcoins to gain simultaneous value.
Crypto collapses like Terra and FTX increased confidence in Bitcoin
In 2021 and 2022, a great interest in defi projects was shown, but this process caused Bitcoin’s market share to decline up to 40 %. However, with the collapse of Terra Luna, the deletion of $ 40 billion, the bankruptcy of FTX scandal and large financial institutions shook the investor trust. Kriptokoin.comAs we mentioned, FTX founder SBF’s statements this week’s statements positively affected the price of the stock market FTT.
Jameson Lopp, Casa, Casa, offers crypto -storage services, said, “Many people saw that promises in the subcoin market were unrealistic and disappointed. Many investors either came out of the sector completely or turned to Bitcoin. Erek
Swan Bitcoin manager John Haar said, “Projects other than Bitcoin could not fulfill promised innovations. What happened in 2022 revealed that most projects consist of speculation and deception. ”
Effect of Corporate Investments on Bitcoin
One of the most important reasons for the rise in Bitcoin dominance is the increase in the interest of corporate investors to the market. At the beginning of 2024, the approval of Bitcoin ETFs in Wall Street caused large funds to turn to Bitcoin.
Greg Magadini, the director of derivative products in Amberdata, summarized this change by saying, Bit Bitcoin is now traded as a macroeconomic asset and has become a different investment tool than other crypto currencies.
Although Bitcoin’s market domination has increased, other crypto currencies are also becoming step -by -step strength. Ethereum’s receiving ETF approval and new regulatory approaches can bring a new breath to the Altcoin market. According to JPMorgan analysts, an introduction of $ 8 billion in the XRP ETF is expected, while an investment of $ 800 million at the end of the first week is likely.
These developments offer new clues to investors about how the crypto money market will be shaped. However, Bitcoin continues to be the leader of the market.
To be aware of last -minute developments Twitter ‘ in, Facebookin And Instagram follow and follow Telegram And Youtube Join our channel!
