Originally published on: April 15, 2024
In a surprising turn of events, only six altcoins from the top 50 tokens by market capitalization have managed to outperform Bitcoin this year. Bitcoin’s dominance hit a three-year high over the weekend, leaving many investors wondering about the future of altcoins.
Leading the pack of outperformers is the beloved memecoin Dogecoin, boasting gains of over 77% since the beginning of the year. From a humble $0.09 on Jan. 1 to $0.15 today, Dogecoin has shown resilience in the face of Bitcoin’s dominance.
Among the other altcoins showing promise are Shiba Inu, the Bitcoin smart contract network Stacks, Binance’s BNBBNB, Ethereum’s layer-2 network Mantle, and the GPU-sharing blockchain network Render.
Meanwhile, Bitcoin itself has seen steady growth, jumping from $44,100 on Jan. 1 to $65,000 today, marking a year-to-date gain of 54%. This rise is largely attributed to the influx of institutional investments in spot Bitcoin exchange-traded funds approved earlier this year, raking in over $12 billion in cumulative net inflows.
With Bitcoin’s dominance at a three-year high of 56.5% and the recent market sell-off due to geopolitical tensions, many smaller altcoins have struggled to find their place in the market, resulting in significant price dips.
As Bitcoin faces its fourth weekly decline, analysts predict a gradual climb to $80,000 in the coming months, assuming it can maintain support levels. Despite the current negative sentiment towards risk assets, Bitcoin’s resilience remains a beacon of hope for investors.
As the market landscape continues to shift, it’s crucial for investors to stay informed and adapt their strategies accordingly. Keep an eye out for the latest trends and insights to navigate the volatile cryptocurrency market with confidence. Subscribe to our newsletter for expert analysis and curated content delivered straight to your inbox every Monday.