Bitcoin dominance in the crypto market has dropped, giving altcoins a small boost. This is the lowest Bitcoin dominance has dropped in one year.
In September last year, Bitcoin’s dominance was at 69.9%, its highest point since the 2017 first quarter. By May this year, the dominance level dropped to 67%. At the moment, Bitcoin’s dominance is just a little over 61%.
While Bitcoin has a current market cap of $213.6 billion, the combined market cap for altcoins is $140 billion, the highest point in two years. WIth the current total market cap at over $349 billion, the market needs an increase of about $21 billion to hit the $370 billion mark last seen in May 2018.
According to a recent Binance report, altcoins have seen some increase in volume. The report says that the volume of altcoins on Binance Futures grew to 40% from 32% in July. The report also adds that the altcoin performance can also be easily tied to the increase in the usage of Ethereum-based decentralized finance (DeFi) protocols. The increase in Ethereum activity also includes ETH accumulation and the possibility of staking in the future.
In July as well, the amount of DeFi-locked assets doubled to $4 billion from $2 billion. Also 92% of Ethereum’s dApp volume originated from DeFi.
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