Bitcoin Dominance Targets 70% Milestone as Market Shifts

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Bitcoin dominance bounces back over 50%, underscoring a major market shift

Bitcoin's dominance on the global cryptocurrency market is charging toward a key milestone, indicating a potential shift in market sentiment favoring the original digital currency.

The metric, which compares the flagship cryptocurrency's market cap to the total value of all cryptocurrencies, hasTracing Bitcoin's dominance over the past decade reveals a pattern of resilience against a proliferating field of competing cryptocurrencies, or altcoins. Bitcoin maintained near-total dominance at around 95% between 2011 and 2013, even as the first wave of altcoins, including Litecoin and Ripple-affiliated XRP, entered the market.

Despite Ethereum's launch in 2015 and a flurry of initial coin offerings in 2017-2018, Bitcoin managed to retain a dominant market position. Even though its dominance dipped to an all-time low of 37% in January 2018 amid the ICO boom, it climbed back to over 50% by the year's end.Over the years, there has been a significant expansion of decentralized finance and non-fungible tokens , mostly built on competing blockchains like Ethereum and Solana.

However, Bitcoin dominance found its footing again around November 2021 and has been on an upward trend since, crossing the 50% markRecent data from CoinGecko shows that Bitcoin is outperforming altcoins on a weekly basis, indicating a resurgence in confidence in Bitcoin. With its market cap reaching $519 billion and a weekly growth rate of 2.8%, Bitcoin stands strong in a market shaken by the volatility of altcoins.

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