{"id":468372,"date":"2021-07-29T23:00:15","date_gmt":"2021-07-29T23:00:15","guid":{"rendered":"https:\/\/uniquehot.com\/?p=468372"},"modified":"2024-06-11T13:57:22","modified_gmt":"2024-06-11T13:57:22","slug":"wave-up-for-altcoins-is-probable","status":"publish","type":"post","link":"https:\/\/uniquehot.com\/news\/wave-up-for-altcoins-is-probable\/","title":{"rendered":"Why Another Wave Up For Altcoins Is Probable According To BTC Dominance"},"content":{"rendered":"
BTC dominance has always had an inverse effect on the price movements for altcoins. Historically, BTC dominance determines the direction the value of altcoins swings in. Bitcoin has so far maintained majority dominance on the market. But as more time passes, that dominance goes down as altcoins see more demand.<\/p>\n
BTC dominance simply shows how much demand there is for bitcoin compared to altcoins. The more BTC dominance rises, the lower the demand for altcoins. This means that for altcoins to rally up further, bitcoin demand has to go down.<\/p>\n
Related Reading |\u00a0Ethereum Breaks 200,000 Validators Milestone, Over $14 Billion Now Staked In ETH 2.0<\/a><\/strong><\/em><\/p>\n Over the years, this dominance has decreased as more and more investors put money in altcoins. One reason for this being a lot of investors feel they have missed the boat with bitcoin and thus are trying to get in early enough on altcoins. Others revolve around the new technological advancements being made by altcoin projects. Hence, investors are putting money into projects that they believe in.<\/p>\n BTC dominance has continually declined over the past couple of months. Currently sitting at 48.97% dominance, bitcoin now has less than half of the entire market dominance. This trend shows that demand for altcoins is on the rise. So, BTC dominance will continue to see declining numbers.<\/p>\n As the dominance declines, the value of altcoins will continue to go up. Market trends indicate that BTC dominance is poised to drop following the latest recovery.<\/p>\n <\/p>\n When this happens, the demand for alts is expected to pick up very quickly. Leading to another upward wave for the altcoin market. Coins like the number 2 coin Ethereum are forecasted to gain even more dominance as the project gains more notoriety among the investment sector. With ETH 2.0 moving the network to proof of stake and using significantly less power to mine. The reduced environmental impact will mean that mining will become less of a problem.<\/p>\n Alts gaining more dominance does not negate the value of bitcoin. Currently, there are over 5,000 coins in the market all vying for market share. And some of these projects come with some very innovative ideas and tech. Thus, it is expected that as time passes, some of these projects will become popular. Therefore gaining more market share as more investors come into the market.<\/p>\nHow Current BTC Dominance Affects Altcoins<\/h2>\n
BTC dominance currently sits at less than 50% | Source: Market Cap BTC Dominance on TradingView.com<\/a><\/pre>\n
What This Means For Bitcoin<\/h2>\n