Updated: August 5, 2024, 10:56 AM EDT
Bitcoin dominance is a term used to describe the total market share that Bitcoin maintains compared to other cryptocurrencies, which has hit an all-time high amid a downturn in digital assets and global stock markets.
Bitcoin’s total market capitalization currently accounts for about 60% of the entire cryptocurrency industry’s capitalization. Data pages of a block. That’s up from Bitcoin’s dominance of about 51% on Friday.
Bitcoin was trading around $51,000 at the time of publication, after briefly falling below $50,000 during Asian trading hours. This is the lowest Bitcoin has traded since several spot Bitcoin ETFs were launched in January.
Bitcoin’s price has fallen, but its dominance has surged as competing cryptocurrencies, including Dogecoin, XRP, and BNB, have fallen even further in value. Ether, the second-largest cryptocurrency, has also seen significant declines and is currently trading below $3,000.
U.S. stocks plunged on Monday after a dismal jobs report on Friday, rekindling fears of a potential recession. Japan’s Nikkei 225 stock index plunged 12% in Wall Street’s worst day since the 1987 Black Monday crash, raising concerns that a popular trading strategy involving the Japanese yen, known as the “carry trade,” is now unravelling.
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About the Author
Daniel Kuhn is a senior journalist and editor at The Block, covering the cryptocurrency industry with a particular focus on technology. He previously served as an associate editor at CoinDesk, where he covered the opinions/articles section. He was first published in the trade publication Financial Planning. Before pursuing journalism, he studied philosophy as an undergraduate, English literature as a graduate student, and business and economic reporting at NYU’s professional program. You can connect with him on Twitter and Telegram @danielgkuhn, or find him on Urbit as ~dorrys-lonreb.