The majority of alternative cryptocurrencies, or altcoins, have fallen by more than 90 percent from their record highs, leading Bitcoin to reclaim its dominance over the crypto market.
Willy Woo, a partner at Adaptive Capital, said that price charts of altcoins are like “radioactive decay,” most demonstrating a steep decline in value over an extended period of time.
“The vast majority of alt-coins are Degens. Their price chart has a measurable half-life, like radioactive decay. Plotted on a log chart, it’s a straight line down.”
Bitcoin dominance is up from 33.47 to 67 percent
Since January 2018, the dominance index of bitcoin, which measures the share of bitcoin over the global crypto market, has doubled from 33.47 to 67 percent.
According to data from athcoinindex, Bitcoin is down by 53 percent from its all-time high while most altcoins, including major crypto assets such as Ethereum, XRP, and Bitcoin Cash have dropped by 80 to 95 percent against the U.S. dollar.
Bitcoin dominance is up by 2x since January of 2018 as crypto market stagnates (source: coinmarketcap.com)
Similar to the equities market, during times of stagnancy and a lack of interest from the general public, investors in the crypto market tend to flock to bitcoin as a less risky option over altcoins.
Consequently, Tether, a stablecoin whose value is equivalent to that of the U.S.