Bitcoin continues to show its dominance as more coins follow its lead. If BTC drops in value, most coins do the same. The situation is also similar when it surges.
The early hours of today saw the leading coin start a price rally as it has risen by more than 10% in the last 24 hours. The price hike saw bitcoin rise from $47k to $52k during the period.
During the price correction BTC had experienced in the last seven days, its dominance increased from 50% to 54%. The increase in dominance during this price correction only shows how lethal a BTC price drop is for other cryptocurrencies.
Over the years, bitcoin dominance has reduced thanks to the arrival of altcoins. The leading cryptocurrency in the king coin dominance reduction is Ethereum (ETH). With a market dominance of 13.9%, ether stands as the most dominant altcoin, call it king altcoin, if you may.
Ethereum surges keep increasing the coin dominance as the use case increases. A further decrease in BTC dominance is inevitable as more traders and newbies are looking to other cryptocurrencies while thinking to invest.
Ethereum dominance will only continue to increase as it becomes the first choice for some traders and newbies. At this time the altcoin is trading above $2,400 after a price correction that saw it drop to the $2,100 region.
After the $2,100 drop, ETH surged to 2,440 before retracting. More price action should be expected from crypto’s second largest asset. Bitcoin’s price action will have a limited impact on ETH.
At the time of writing, ether is trading above $2,500. A shot above $2,500 will make the second-largest coin edge closer to breaking its all-time high.
If the current surge continues, ETH may end the month trading above $2,500 and an all-time high above $2,700. A drop in the current market momentum will result in the delay of a new all-time high and will see ETH trade between $2,200 and $2,500.
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