Bitcoin (BTC) price dropped sharply after hitting a new all-time high of $69,324 on March 5. Meanwhile, altcoins, led by meme coins and AI-themed cryptocurrencies, have outperformed BTC over the past week. come This has led to talk about whether an “Altcoin Party” is about to start or not?
The total crypto market capitalization has reached $2.5 trillion.
Bitcoin surpassed $69,000 on March 5, pushing the global crypto market cap past the $2.5 million level, reflecting the current bullish momentum. By the time of publishing This figure is $2.52 trillion, according to CoinMarketCap.
Total market valueof crypto Source: TradingView
Altcoins show similar strength. The total market capitalization (see below) rose above $1.1 trillion on the same day. This metric measures the total market capitalization of all crypto assets except Bitcoin.
in the past three months This figure rose approximately 64% from $697 billion to $1.14 trillion on March 7, a slight improvement over Bitcoin’s 56% gain during the same period.
This increase is a testament to the growing investor interest in Altcoins.
Large Altcoins Outperform Bitcoin
The surge in meme coins and AI over the past week may be a sign that the market is in the early stages of an Altcoin Party.
Data from CoinMarketCap It shows that meme coins have seen double-digit and triple-digit gains over the past seven days, with Dogecoin and Shiba Inu in particular increasing 20% and 130% this week, respectively. For example, Pepe , Bonk (BONK) and dogwifhat (WIF) all increased by two to three digits during the same period.
Tokens within the AI ecosystem, led by Fetch.ai (FET), Synesis One (SNS), SingularityNET (AGIX), and Theta Network, also saw double- to triple-digit gains in 7 days.
part Bitcoin It increased only 8.5% during the same period.
Altcoin Party is approaching
The performance of altcoins appears to coincide with changes in the altcoin season index, indicating that an Altcoin Party is imminent. According to the Blockchain Center index:
“If 75% of the top 50 coins performed better than Bitcoin over the last season (90 days), that is the Altcoin Party.”
This figure shows that only 69% of the top 50 altcoins have outperformed Bitcoin in the past 90 days, although this metric has increased over the past few days. But it is still not enough to declare that the Altcoin Party has begun.
However, according toreportThe latest market update by K33 Research finds that this may change soon. It noted that Bitcoin’s surge to new all-time highs This makes its market capitalization more than double that of all cryptocurrencies except BTC and Ether from the end of November 2022.
K33 Research analysts say this reflects the altcoin’s rally in 2020 before catching up to Bitcoin’s upward trend.
“Looking at that history, altcoins will start to outperform where we are right now.”
Michaël van de Poppe, founder and CEO of MN Trading Consultancy, believes the Altcoin Party has not yet started. It points out that they still have “40-60% market cap” before reaching a high in 2021 of above $1.1 trillion.
For his part, Cardano founder Charles Hoskinson believes the Altcoin Party will kick off when DOGE overtakes ADA in market capitalization, as posted on March 5 on social media platform X.
refer : cointelegraph.com
picture coinpedia.org
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