Bitcoin has reached a market dominance of 50% after 24 months without a similar result. This comes after a bear market that started in November 2021 and that has been ongoing until today. It is worth taking into consideration that along the way, there have been multiple events that harmed altcoins and the market capitalization they had.
Bitcoin Market Dominance Surpasses 50%
According to data shared by TradingView, Bitcoin has reached a market dominance of 50%. There have been several episodes in which Bitcoin was able to gain strength and push its market dominance higher. The latest event could be linked to the recent announcement of a Bitcoin ETF by Blackrock that could boost institutional investment in Bitcoin.
Another thing that is worth considering is that during the bull market experienced in late 2020 and early 2021, altcoins skyrocketed to unprecedented levels. This affected Bitcoin’s dominance as other digital assets appeared in the market and pushed interest in alternative coins to new highs.
Now, Bitcoin is just recovering part of the dominance it had previous to 2021. This is something that will not take place in just a week. It is a process that can take several months. However, the trend could change and the dominance could fall once again.
Regulations and market sentiment are going to be affecting the future expansion of Bitcoin and other digital currencies. The larger the focus on Bitcoin, the higher its market capitalization. According to data shared by CoinGecko, Bitcoin is now being traded at close to $26,800 and it has a market capitalization of $520 billion.
Despite the fact that Bitcoin’s dominance fell over the last few years, there has never been a cryptocurrency that could surpass its market capitalisation and steal its position as the largest virtual currency in the world.