Bitcoin dominance update
As of December 30, 2024, Bitcoin's dominance in the cryptocurrency market stands at approximately 56.03%, indicating that Bitcoin's market capitalization accounts for 56.03% of the total cryptocurrency market.
CoinCodex
In November 2024, Bitcoin's dominance reached its highest level since March 2021, with the Bitcoin Dominance Index (BDI) hitting 61.39%.
Investopedia
This increase in dominance was accompanied by a surge in Bitcoin's price, which exceeded $93,000 before settling below $90,000.
Several factors have contributed to this trend:
Technical Developments: Advancements such as layer-two networks have enhanced Bitcoin's capabilities, making it more attractive to investors.
Institutional Interest: Major institutions have shown increased interest in Bitcoin, viewing it as "digital gold" and a unique diversifier.
Investopedia
Political Climate: President-elect Donald Trump's pro-crypto stance has further bolstered confidence in Bitcoin's future prospects.
Reuters
It's important to note that Bitcoin's dominance has fluctuated over time. For instance, in April 2024, it declined below 50% amid rumors of central banks potentially lowering interest rates.
Statista
These fluctuations reflect the dynamic nature of the cryptocurrency market, influenced by factors such as global economic shifts, regulatory news, and technological advancements.
Recent Developments in Bitcoin's Market Dominance
Investopedia
Bitcoin's Dominance of Crypto Market Reaches Highest Level Since 2021
46 days ago
Trump's crypto advocacy steers businesses away from traditional treasury assets
26 days ago