Bitcoin dominance, a metric that measures the cryptocurrency’s share of the market, has now approached 60%.
It is now up by nearly 10% over the past month alone with no altcoin season in sight.
The flagship cryptocurrency now boasts its biggest share of the market since April 2021. Back then, Bitcoin’s market share collapsed as much as 16.64% within a single month.
In September 2022, Bitcoin’s dominance briefly collapsed below the 40% mark amid a grueling bear market to reach a local low of 38.84%.
Bitcoin’s dominance is likely to climb higher
Now, the crypto king is ruling the roost once again, and it does not look like it is going to cede ground to altcoins anytime soon.
According to Singapore-based digital asset trading firm QCP, Bitcoin’s dominance is expected to continue climbing now that the largest cryptocurrency is approaching a new record high.
As reported by U.Today, Bitcoin plunged on Friday due to a Wall Street Journal report of an ongoing criminal investigation into stablecoin issuer Tether by the U.S. government. However, the cryptocurrency managed to pare its losses in a relatively short span of time after CEO Paolo Ardoino took to social media to downplay the investigation as “old noise.”
At press time, Bitcoin is changing hands at $67,130, according to CoinGecko data.
Flight to quality?
According to analyst James Van Straten, this cycle is different since there is very little capital rotation into Ethereum from Bitcoin. He has described this phenomenon as a “flight to quality.”
As reported by U.Today, the largest altcoin recently hit a fresh multi-year low against Bitcoin.
