The dominant Bitcoin Cripto hit a four-year high. Here’s what that means for prices – DL News

In stone markets, general investors are prone to be careful in the safety of gold. In Markets, Rocky Cripto stood in the crypto version of Havana: Bitcoin.

These strokes made Bitcoin dominant over the total cryptocurrencile market – Top crypto now It occupies more than 60% of 2.9 trillion in the amount of $ 2.9 million.

It is the highest of February 2021. The total market value of Bitcoina is sitting at $ 1.9 trillion.

“Increasing Bitcoin Domination typically signals environment without risk, where investors priority by relative stability of bitcoin via more speculative means,” Mike Cahill said, said DL News.

“When liquidity is concentrated in Bitcoin, it is often a sign of a cautious market that awaits stronger judgments in risky property.”

This suggests that investors continue to hope repetition at the end of 2021. years or market euphoria of definitive summer – will remain behind.

In 2021. year, almost every token gathered in what was later called “Altaesono,” while Bitcoin domination fell.

Today, only a few Allcoins has a high correlation with Bitcoin, which means that the top crypt and a small subset of alternative tokens will be great winners.

“Selective Altazori is here” said Ki Young It, Founder and CEO of Criptoquant, said 8. February. “Infraco coins like Ethereum are slow, while they survived both those related to institutional adoption, stablecoins and memes survivors.”

Although so, “Era” all “is all pumping”, “and said.

Bitcoin is persistent

During Defi Summer, which occurred between the middle of 2021. and late 2022. year, Bitcoin’s fixed in the overall industry fell low from 40%.

Users found themselves in decentralized finances, while Bitcoin took the back seat.

But good times would end an end. The first warning came in 2022 years Terra Luna SarupjiThe 40 billion dollars were deleted from the CRIPTO ecosystem.

Later in the year, Sam Bankman-Fried And the FTX scandal threw a dark cloud over the industry. And 2023. The fall Silver And the Bank of Silicon Valley deepened Cript’s crater.

Disappointment

Fully scandals made investors in rush due to exit to safer markets.

“Many people were burned and became disappointed with Altcoin,” said Jameson Lopp, CTO Cripto Stardian Casa, he said DL News. “More people watch cripto as a massive casino and stop completely or switched to Bitcoin.”

John Haar, General Manager in Bitcoin Financial Services, Svan Bitcoin, echoed that view.

“Crypto, which we separate from Bitcoin, struggled to form a new narrative to sell,” Haar said DL News.

This is because 2022 years, many CRIPTO projects “pushed promises of false innovations, and instead, it turned out to be a mixture of hyphere, speculation, wrong designs and completely fraud,” Haar said.

In spite of that, Lopp signaled that Memecoins are actually good for Bitcoin, even as the once Dear Crypt Sector dropful.

“Proliferation of memo and accelerating allcoin cycles to compress them in half a life hours is bad for the Altcoin season and good for Bitcoin”, said to x on Monday.

Institutional adoption

Some analysts say the institutional adoption is another of the best drivers for breeding Bitcoin domination.

Since Bitcoin Stock funds went live on Wall Street at the beginning of January 2024. years, institutions were devoured Bitcoin as part of a sophisticated risk and arbitrative trade.

“Bitcoin traded on the Macro Fig.” Compared to other cryptocurnations Greg Magadina, director of derivatives in the research company Amberdata DL News.

Tide turning

That is said, the coatings can be rotated.

Other cryptocurries have gained in the ground. Etherum has its ETF and new, friendly securities and the exchange of the Commission under the US President Donald Trump received an attack New ETF applications.

Litecoin has the most chance of approval and then Solanaand XRP.

JPMorgan See up to $ 8 billion, which runs into XRP ETF, with experts who speak that it could get $ 800 million in it First weekend Trading.

Pedro Solimano is correspondent market based in Buenos Aires. You have the top? Send it by email at psolimano@dlnevs.com.