According to Coinmarketcap, Bitcoin dominance on the cryptocurrency market makes about 68% at the current moment, but analysts of Arcane Research consider that in reality it reaches 90% – BitcoinDoubler2x has learned. In addition, we can provide you with useful articles regarding double your bitcoins legit.
The researchers have stressed that while evaluation of BTC dominance services don`t take into account market liquidity and asset price reduction during mass token sale.
“For example, you can sell 1 token for $3. But what will happen, if you put up for sale 1 mln of such tokens? If you don`t take liquidity into account, market capitalization becomes absolutely useless measure”, – they note at the report.
The researchers have calculated trading volumes of various cryptocurrencies for the liquidity indicator and it has turned to be that Bitcoin occupies up to 90% of the market. What is more, stablecoins have been excluded from the research, because analysts believe that they don`t compete with other cryptocurrencies.
In such a way, altcoins have even fewer chances to occupy Bitcoin`s place. Moreover, crowd effect means even more in financial world, where “liquidity – is everything!”.
“With each passing day, when Bitcoin dominates on the market, other cryptocurrencies lose their chances to compete. This fact should be understood and accepted both by projects, creating its infrastructure, and by investors. Bitcoin`s value makes its blockchain even more reliable and makes users carefully control their passwords and keys”. – the analyst of Arcane Research Bendik Norheim Schei stressed.