CandleFocus

Bitcoin’s dominance over altcoins grows amid market uncertainty

Author: Content Editor
Bitcoin's dominance over the top 50 altcoins by market cap is at its highest since prices neared all-time highs in March, according to a report from Kaiko. During the recent sell-off, Bitcoin remained a safe haven while altcoins experienced extensive selling. The launch of spot Bitcoin ETFs in the US has further solidified Bitcoin's status as an investable asset, while altcoins continue to face higher risk premiums. Altcoins, including Ethereum, have underperformed Bitcoin in Q3, and most altcoins remain well below their previous all-time highs despite more favorable market conditions. Open interest in altcoin futures markets has declined, indicating dwindling demand. Ethereum ETFs have struggled to attract institutional demand, with Grayscale's ETHE fund experiencing significant outflows. In contrast, US-traded Bitcoin ETFs have shown more resilience, bouncing back after periods of outflows.

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