Bitcoin’s Dominance Index is About to Grow: Matrixport’s Analyst
Matrixport’s Markus Thielen has suggested in an interview with CoinDesk, that the BTC dominance index could continue to rise amid increased price decline risks for popular altcoins.
The market share for Bitcoin returned to levels above 50% on September 18, after being in the 39-49% range for over two years.
This increase in dominance follows announcements from major institutions like BlackRock, Valkyrie, Fidelity Investments, WisdomTree, and Invesco to launch digital gold spot exchange-traded funds.
These potential ETF listings have sparked hopes for a significant influx of capital into Bitcoin, leading to potential buying pressure for BTC.
Meanwhile, altcoins are facing pressure, including the sale of tokens from the bankrupt FTX exchange, a decline in Ethereum protocol income, and upcoming unlocks that will allow venture investors to sell their coins.
Despite the recent attention on Bitcoin, altcoins and Ethereum, in particular, have not seen the same boost in value. Thielen pointed out that while BTC reached its peak in July, ETH’s peak was back in April, and the ETF bids have not significantly benefitted altcoins or Ethereum.
