Bitcoin Performing Poorly Yet Trumps in Dominance
As of now, no one has been to provide a legitimate reason as to why BTC maybe on its way to either a bear-dominated market or a new and much-needed bull run. Despite this, the coin is just a small push from a full climb up or an even bigger decline and this comes as a big part of the coin maintaining a 50 percent dominance rate within the crypto-market.
The First Coin
While Bitcoin is still struggling to climb over the current $6500 resistance level, many experts believe that Bitcoin’s actual test will be overcoming the resistance at $6800. As a long-standing point of discussion, the $6800 mark is a “famous” resistance resulting in heated discussions every time the coin has managed to climb over the mark due to the fact that Bitcoin has surged in price every time it broke past the resistance and dropped steeply whenever falling below $6800.
In light of all this, the next logical step for what the bull-market needs is to push for the $6800 mark through the bear-markets heels and following the break past the resistance mark, bulls will once again control the market. As a highly anticipated milestone for Bitcoin, experts have been waiting for the very moment when Bitcoin became the dominant coin on the market, owning over 50 percent of all cryptocurrency trades.
The last time this record was reached was last year when Bitcoin managed to reach its ATH, peaking at almost $20000 on the market. At its current level of $6400, this marks the first time the coin has gained more than half of the markets trade volume by reaching the 50 percent dominance mark this year. This only proves that many are ditching alternative coins altogether and supporting the first and leading cryptocurrency. Even though this is clearly a bad sign for alternative coins, it may provide BTC with the push it needs to skyrocket once again.
Despite essentially encouraging investors to look to alternative coins due to its performance, this time around, investors seem to be more inclined to back up the original crypto and support it during its downtime and many believe that now is the right time to buy Bitcoin as predictions have been made regarding a short-term surge for the coin. It should not surprise anyone that Bitcoin maintains the highest dominance on the market due to its ever-lasting popularity and easily recognized status since even those not involved in crypto can instantly recognize the name.
As the past clearly indicates, whenever BTC prices are pushed in a good or bad direction, alternative coins then react accordingly, following a drop or a rise of the mother coin. Following the announcement by the US Securities and Exchange Commission, investors were only expecting Bitcoin to drop in price although almost every single alternative coin followed it down.
With Bitcoin owning just over 50 percent of market dominance, altcoins are sure to pick up the same trend of following in pursuit.