Bitcoin has had a nice run over the last few weeks, or is that months. We have gone from new all time highs to all new time highs. Then we had the news of the CME Futures and even more Bulls joined the march, however as the CME Futures contracts have now launched and the wait is over there has been a little bit of an anti-climatic reaction, there was very little change to the valuation, and in fact if anything Bitcoin’s value has been the most stable we’ve seen it in a long time.
In the meantime the altcoin market has began absorbing the new money which has flooded into crypto over the past few months. Bringing Bitcoins total dominance back down to almost %50.
If we take a look at todays cryptocurrency market capitals on coinmarketcap.com we can see everything in the Top 40 has gained against the dollar in the past 24 hours, accept just one – Bitcoin.
Bitcoins small loss is not whats significant here, it’s the altcoins growth. With some serious gains being had by the majority of the coins it has diminished Bitcoins dominance massively in just a few days. It’s also worth noting that the total market capital of all Cryptocurrencies is now at a staggering $613 Billion at time of writing!
What does this mean for Bitcoin?
Well, nothing really. This is a healthy new market and it’s reacting well. Bitcoin has had a great growth spurt over the past 6 months and many of the other major cryptocurrencies have had significantly less growth, however as one would expect people are beginning to diversify their bitcoin into other assets. We have to remember this is a new asset class, to those of us who have been in this space for years it may seem like old hat, but in reality the majority of crypto holders now are new to the space and probably bought their first bitcoin within the past 6 months. Then the natural progression is for these newbies to diversify and play around with the altcoin markets.
It’s all good. Fear not.