Bitcoin Dominance Hits Record High Amid Market Sell-Off

Bitcoin Dominance Hits Record High Amid Market Sell-Off

A coin dominance is a ratio of its market cap to the cumulative market cap of cryptocurrencies. It is calculated by dividing the coin’s market cap by the overall market cap of the top 125 coins and multiplying it by 100.

The fact that Bitcoin has hit a three-year high in dominance could indicate a potential altcoin bull run.

Glassnode co-founders support this view based on risk-on market. This indicates that investors are placing their bets on riskier assets that are likely to generate greater returns.

Analysts pointed to the fact that the tech-heavy Nasdaq index declined 2% on Thursday. For comparison, the iShares Russell 2000 ETF (IWM), an index that is composed of small-capitalization stocks, was up more than 3%.

This indicates that investors are placing their bets on riskier assets that are likely to generate greater returns.

This article was originally published on U.Today

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