“Bitcoin’s Market Dominance Hits 50% Amid Blackrock’s ETF Filing and SEC’s Crypto Crackdown”
On June 19, Bitcoin’s market dominance surpassed the 50% mark, settling at 49.9% at the time of reporting, marking a significant milestone. This means that Bitcoin alone contributes half of the total market capitalization of the crypto industry, which currently stands at $1.1 trillion. Notably, Bitcoin’s dominance has seen a remarkable increase of more than 10.5% since November 27, 2022. This surge can be attributed to investors flocking towards Bitcoin as a safe haven amidst the FTX crisis and mounting regulatory scrutiny in the US.
While Bitcoin’s dominance has been on the rise, Ethereum’s market dominance has remained steady around 20% for the past year. Collectively, Bitcoin and Ethereum now account for approximately 70% of the entire crypto market.
Michael Saylor, the co-founder of MicroStrategy and a prominent Bitcoin advocate, predicts that Bitcoin’s dominance will surpass 80% in the coming years. He attributes this projection to increasing regulatory pressures that may cause stablecoins and many other cryptocurrencies to fade away, leaving Bitcoin as the focal point of the industry.
Saylor also attributes the hesitancy of major institutional investors to enter the crypto space to the confusion caused by the abundance of over 25,000 alternative cryptocurrencies. He emphasizes that Bitcoin is universally recognized as the digital commodity in the industry, with SEC Chair Gary Gensler categorizing it as a commodity, while declaring 68 other cryptocurrencies as securities.
Despite recent market fears, Bitcoin’s value has experienced a 1.5% increase in the last 24 hours, trading at $26,746. This growth comes amidst Blackrock’s filing for a Bitcoin spot ETF, which has been identified as one of the key factors driving Bitcoin’s upward price movement in recent days, according to crypto research firm Santiment.