Bitcoin is losing its dominance and has now slipped to a 3-year low as a percentage of market cap, liquidating a contract position that reached $2.5 billion in this weekend plunge. For reference, Bitcoin’s market cap share first dropped to a low of 33% in January 2018 and started a long bear market.
Over the past 24 hours, Bitcoin remained in a seismic downtrend, with two attempts to rally meeting their Waterloo and the coin price finally settling at $42,583.65, an intra-day drop of 9.21%, according to the BizTrust terminal.
According to ByBit, a total of nearly $2 billion worth of long positions were liquidated on a war-torn Sunday, and short positions were shorted by nearly $500 million.
A total of 302,526 traders were liquidated in the last 24 hours, with the highest liquidation order on Huobi-BTC’s rooftop valued at nearly $90 million. SHIB, the popular cryptocurrency that rose to prominence due to the growing popularity of dogecoin, was also on the plunge list with nearly $43 million in liquidated positions, “thanks” to the gods of V.
Given Musk’s recent relentless tweeting campaign against Bitcoin, which also included some Bitcoin short-sellers, Bitcoin failed to withstand the pressure and began to slide below $45,000, while Bitcoin is also losing market share and its market dominance is declining, with Bitcoin’s current market cap percentage falling near 40%, according to tradeview data.
In terms of market share by coin, Ether (ETH) currently has a 19.03% market share, Binance Coin (BNB) has nearly 4%, Cardano has 3.4%, and Musk’s favorite, Dogecoin, has 3%.
By exact market cap, Bitcoin has fallen to $796,798,516,686 from over $1 trillion a few weeks ago. Ether’s market cap is nearly half of BTC’s at $369,431,641,585, while Binance Coin, Cardano and Dogecoin’s market caps are down to $81 billion, $69.4 billion and $65 billion, respectively.
Twitter analyst Raoul Pal believes the selloff, which has seen panic and name-calling, is still a healthy pullback.
Leading analyst Plan B took to Twitter to launch a poll of people’s expectations for Bitcoin’s late growth. As you can see there are still close to 44.4% of people who believe bitcoin will hit 100,000 by the end of the year.
Since May 12, the bitcoin price has plunged about 26%, from $57,000 to $42,759. It has essentially broken through the support level near $43,021 that was established in February. Since bitcoin’s had generated a lot of trade around $45,000, investors can expect a 14%-18% rally driven by the bulls $51,540 to $55,350 is the area to watch.
Predictably, we are facing a fork in the road. Either there will be a bear market, where all assets shrink significantly and Bitcoin’s fundamentals and the positive sentiment surrounding it will help it maintain its dominance over cottage coins. There is also the possibility of a true cottage bull market, where these digital currencies will see even higher gains. If the latter happens, then we could really be entering a market of a hundred ghosts and demons.
Posted by:CoinYuppie，Reprinted with attribution to:https://coinyuppie.com/with-market-capitalization-dropping-below-40-bitcoin-is-getting-old-is-it-a-bear-market-wake-up-call-or-a-good-buying-opportunity/
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