- Bitcoin’s market dominance sinks from 61 percent to 50 percent
- This dates back to February 28 (61% dominance) to April 23 (50% dominance)
- Ethereum’s market capitalization increased from 11.8% to 14.5%
As of February 28, 2021, Bitcoin’s market dominance sunk from 61 percent to a whopping 50 percent by April 23, 2021. This can be attributed to the astounding growth of competition in the cryptocurrency market.
To the unfamiliar, Bitcoin’s market dominance is a metric developed since the advent of altcoins. It puts the entire market capitalization of bitcoin against all the market capitalizations of other cryptos.
Historically speaking, Bitcoin’s market dominance has been above 80 percent ever since its inception up to February 2017.
Due to the ever-changing market conditions, BTC’s market dominance has also dropped to 33 percent in January 2018. But this year, back in January, BTC dominance has recovered to the 60 – 70% mark.
Ethereum has been consistently spearheading the chipping away at BTC’s market dominance. The popularization of Non-Fungible Tokens and Decentralized Finance has been pointed out as the source of ETH’s rice.
Many altcoins have been contesting Bitcoin’s market dominance. Just today, Ethereum, Binance Coin, XRP, Tether, Cardano, Dogecoin, Polkadot, Uniswap, and Litecoin still vie for crypto market dominance in the top 10.
Only time can tell if Bitcoin will still be able to retain its spot as the top cryptocurrency in the world after the development of many of its competitors.