spot_imgspot_imgspot_img

Bitcoin Dominance Reaches Highest Level Since April 2021

  • With a market value of 590 billion dollars, the world’s leading cryptocurrency, Ethereum, has further strengthened against smaller alternative cryptocurrencies.
  • These developments coincide with news of increased regulatory oversight by US regulators.
  • Coin Metrics reported in its report that Bitcoin’s dominance has consistently declined in the spring of 2021 and reached its lowest level in January 2022.

According to current data, Bitcoin’s relative percentage in terms of total cryptocurrency market value has reached the highest level in the past 2 years.

Bitcoin Market Dominance at 2-Year Peak

Bitcoin (BTC)

According to a new report by Coin Metrics, Bitcoin’s relative percentage in terms of total cryptocurrency market value has reached 58%, which is the highest level since April 2021.

With a market value of 590 billion dollars, the world’s leading cryptocurrency, Ethereum, has further strengthened against smaller alternative cryptocurrencies. The total market value of the sector has been determined as 1.2 trillion dollars.

These developments coincide with news of increased regulatory oversight by US regulators. US regulators claiming that several cryptocurrencies are unregulated securities have caused many cryptocurrencies to lose billions of dollars in market value.

Bitcoin led a strong rally last week after BlackRock applied for a spot Bitcoin exchange-traded fund (ETF). The Wall Street giant increased Bitcoin’s dominance in the cryptocurrency market and encouraged investors to buy assets despite many previously rejected ETF applications.

This price increase has also affected other assets such as Grayscale Bitcoin Trust (GBTC). The difference between GBTC’s share price, known as the “GBTC discount,” and the net asset value (NAV) of Bitcoin it holds has fallen to monthly lows with a decrease of up to 30%, according to YCharts.

Coin Metrics, an open-source blockchain data analytics platform, stated in its report that Bitcoin’s dominance has consistently declined in the spring of 2021 and reached its lowest level in January 2022. At that time, Bitcoin accounted for 37% of the global cryptocurrency market value.

The report also shows that Bitcoin’s presence in Coin Metrics’ CBMI 10 index, which is created for the top 10 cryptocurrencies, has reached the highest level in the past 2 years, with a rate of 65%. However, this metric does not include stablecoins like Tether (USDT) or USDC.

Bitcoin has increased in value by 80% since the beginning of the year and is currently trading at $30,040.

Bitcoin Investors Unable to Sustain the Momentum of ETF Applications

Although a series of spot Bitcoin ETF applications led by BlackRock caused a rise in BTC price, the rally could not be sustained, and the BTC price declined to the 30,000 dollar levels. In recent days, the price briefly rose above $31,000 but failed to hold.

After the Bitcoin ETF application frenzy, the market slowed down, and BTC.D, which is Bitcoin’s dominance, reached 52%. However, ongoing SEC pressures and statements by the Fed Chairman are playing a leading role in suppressing prices.

Don't forget to enable notifications for our Twitter account and Telegram channel to stay informed about the latest cryptocurrency news

spot_imgspot_imgspot_imgspot_img

Latest News

Bitcoin Eyes $300,000 Amid Institutional Adoption: Analysts Forecast Major Corrections Ahead

In this article, we explore the ambitious Bitcoin price predictions by Michael van de Poppe and Max Keiser, the role of institutional investors, and the expected market corrections. Get insights into what lies ahead for the world's leading cryptocurrency.

Grayscale Hits Historic Low in Bitcoin ETF Outflows as Market Confidence Soars

This article delves into Grayscale Investments' recent performance, the surge in spot Bitcoin ETFs, and overall market sentiment, offering insights into the future trajectory of crypto investments.

Shiba Inu’s SHIB Token Burns Increase: Is SHIB Price Ready to Surge?

Burn rates in the SHIB token of the popular memecoin project Shiba Inu have increased in the last 24 hours: What is the latest situation for the SHIB price?

SEC Prepares to Approve Options for Spot Bitcoin ETFs

Will the U.S. Securities and Exchange Commission (SEC) approve options trading for BITB and GBTC spot Bitcoin ETFs?

What Happens If Bitcoin Crashes? Renowned Author Robert Kiyosaki Explains!

Entrepreneur and renowned author Kiyosaki shared his thoughts on the potential collapse of Bitcoin within the community.
spot_imgspot_imgspot_imgspot_img

PRO Analysis

Ethereum Breaks $3K as Rally Continues: What’s Next for ETH?

This article dives into Ethereum's recent surge past $3,000, analyzing the technical indicators and market dynamics driving its ascent and future prospects.

Will Bitcoin Rise To $50,000? Current BTC Analysis

Bitcoin is trading at $48,400 and may rise to $50,777 if it closes above $48,200. However, caution is advised in the range of $50,777 - $52,000. Corrections are common in the crypto market, so careful consideration is necessary before spot investments.

Where is the Solana Rise Target? Current SOL Analysis!

Solana is trading near the $108 resistance on the 8-hour chart, with a potential target of $111.84 if it surpasses this level. However, caution is advised in the $111.84 - $117.20 resistance range on the 6-hour timeframe.

Medium Term Ethereum Technical Analysis! What Awaits Its Investors?

When examining the medium-term technical chart of Ethereum, strong buying pressure is observed, pushing the price up from the $2139 support to the $2350 region. However, for the price to sustain its upward movement, it needs to surpass the $2407 resistance.

Can Bitcoin Fall To $35,000 Levels? Current BTC Analysis

When examining Bitcoin's 5-day technical chart, the analysis from January 18 is ongoing, indicating a continued downward movement from the $48,189 level. Bitcoin needs to close 5-day candles above the $44,200 resistance to gain momentum for an upward trend. 
Lucien Renard
Lucien Renardhttps://en.coinotag.com/
Lucien Renard is a 24-year-old writer specializing in cryptocurrency analysis and price action. With a focus on technical analysis, Lucien provides valuable insights into market trends and potential opportunities for investors.
spot_imgspot_imgspot_imgspot_img

Bitcoin Eyes $300,000 Amid Institutional Adoption: Analysts Forecast Major Corrections Ahead

In this article, we explore the ambitious Bitcoin price predictions by Michael van de Poppe and Max Keiser, the role of institutional investors, and the expected market corrections. Get insights into what lies ahead for the world's leading cryptocurrency.

Grayscale Hits Historic Low in Bitcoin ETF Outflows as Market Confidence Soars

This article delves into Grayscale Investments' recent performance, the surge in spot Bitcoin ETFs, and overall market sentiment, offering insights into the future trajectory of crypto investments.

Shiba Inu’s SHIB Token Burns Increase: Is SHIB Price Ready to Surge?

Burn rates in the SHIB token of the popular memecoin project Shiba Inu have increased in the last 24 hours: What is the latest situation for the SHIB price?