Markets
Bitcoin Dominance Hits All-Time High Amid Market Selloff
Dan Burgin
Are Crypto Investors Ready for the Altcoin Bull Run?
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Bitcoin’s market capitalization has reached 54.5%, according to data powered by TradingView. This marks the highest value in this metric for Bitcoin since July 2021.
The dominance of a coin is a ratio of its market capitalization to the cumulative market capitalization of cryptocurrencies. It is calculated by dividing the market capitalization of the coin by the cumulative market capitalization of the top 125 coins and multiplying by 100.
The fact that Bitcoin has hit a three-year high in terms of dominance could indicate a potential altcoin bull run.
Source: Cryptocurrency Titan
Glassnode co-founders support this risk-on market view. This suggests that investors are moving toward riskier assets that are more likely to generate higher returns.
Analysts pointed to the fact that the tech-heavy Nasdaq index fell 2% on Thursday. By comparison, the iShares Russell 2000 ETF (IWM), an index of small-cap stocks, rose more than 3%.
This indicates that investors are targeting riskier assets, which are more likely to generate higher returns.
About the author
Dan Burgin
Dan is a news editor and writer with 12 years of experience in finance and emerging technologies, with a strong focus on cryptocurrency. Covering a wide range of topics from fintech startups to artificial intelligence, he provides an in-depth overview of the current state of the cryptocurrency market, along with insights into its potential for future disruption.