Bitcoin Secures 50% Market Share for the First Time in 2 Years
- The dominance of the world’s largest cryptocurrency, Bitcoin (BTC), broke past 50% on June 19 at 6 pm UTC.
- At the time of writing, the market dominance of BTC stands at 48.5%.
- The spike in dominance can be a result of the SEC’s positive approach to regulating BTC.
- Since late November, the dominance of the leading cryptocurrency has surged by almost 11%.
The world’s biggest cryptocurrency, Bitcoin (BTC), has officially secured 50% dominance for the first time in two years. During the 2021 crypto market bull run, the crypto space witnessed BTC drop below 40% dominance, and it seems that the situation is turning positive for the digital asset post-the 2022 market collapse.
While the price of Bitcoin might’ve declined from its all-time high of $69,000 in November 2021, its market dominance is rising. On the other hand, prior to the Merge of the Ethereum blockchain in 2022, the second-largest cryptocurrency’s dominance also rose significantly. On June 19 at 6 pm UTC, the crypto coin’s dominance hit just above 50%, while at the time of writing, its value was 48.5%, as per CoinMarketCap.
It is crucial to note that this means that Bitcoin alone accounts for almost 50% of the value of the entire crypto industry, which stands at close to $1.1 trillion. The price of the leading cryptocurrency is almost $27,000, and its market capitalization stands at $523 billion.
Since November last year, the dominance of the leading digital asset has surged by almost 11% because investors have found safe haven in Bitcoin after the collapse of multi-billion dollar crypto exchange FTX under the leadership of Sam Bankman-Fried, also known as SBF in the crypto space.
The combined market capitalizations of Bitcoin (BTC) and Ether (ETH) account for close to 70%. More importantly, the former CEO and founder of the largest corporate holder of BTC, Michael Saylor, has predicted that the leading cryptocurrency’s dominance will reach 80% in the near future.
Interestingly, the United States Securities and Exchange Commission (SEC) has been fairly positive in its approach to the regulation of Bitcoin, and the Chair of the agency, Gary Gensler, claims that except BTC, all the other tokens can be considered securities and therefore, need to be registered with the regulator.
On the other hand, former Chairman of the CFTC Dan Berkovitz believes that ETH can be both a commodity and a security. The CFTC and the SEC have expressed contrary views when it comes to the classification of ether (ETH).