Why is Bitcoin’s market share growing, along with Ethereum and Tether, while pretty much everyone else is seeing their portion of the crypto pool of value shrink? https://youtu.be/vuLpBSQgFCI

1. By: www.ProfitableInvestingTips.com

2. Once upon a time Bitcoin was the only
cryptocurrency. Then other tokens were
introduced to the point where today there are
more than 10,000. Nevertheless, Bitcoin has
retained its dominant position with its market
share over the last few years. It varies between
two-thirds and a third of all crypto market
capitalization.

3. Recently Bitcoin’s portion of crypto market value
has been on the way up. Why is Bitcoin’s
market share growing, along with Ethereum
and Tether, while pretty much everyone else is
seeing their portion of the crypto pool of value
shrink?

4. A Storm of Regulation Threatens Crypto
Exchanges and Various Tokens

5. We recently asked in an article if regulators will
kill crypto. Our take on the subject is that
regulation will be good for crypto in the long
run but there will be casualties along the way.
Much of this depends on how regulators view
individual tokens. The Securities and Exchange
Commission sees Bitcoin as a commodity and
outside of its jurisdiction. It sees many altcoins
as securities.

6. This decision may have a large and harmful effect
on the largest US crypto exchange, Coinbase,
and on cryptocurrencies like SOL, ADA,
MATIC, FIL, SAND, AXS, CHZ, FLOW, ICP,
NEAR, VGX, DASH, and NEXO. Coinbase
could conceivably go out of business and many
altcoin could end up with no crypto exchange
to trade on.

7. The Crypto World Hedges Its Bets

8. We wrote last month about how a crypto early
bird bailed out. Some long-term holders of
Bitcoin see the best days behind crypto and are
looking for the next great investment. Others
are simply hedging their investment risks
because they cannot be certain how the storm
of regulations will affect the vast majority of
small crypto tokens.

9. Thus, we see that the market shares of Bitcoin,
Ether, and Tether are going up while crypto
investors flee lesser tokens. Bitcoin trading has
been rather flat since its post-Christmas surge
so its market cap has not really gone up. The
shift in market share has more to do with
people bailing out of altcoins which are falling
in individual values and a move toward
caution in crypto.

11. Where Is Bitcoin’s Price Headed?

12. Bitcoin is beating the rest of the crypto herd in
terms of its portion of the crypto pool of value.
Meanwhile, Bitcoin itself may be in trouble.
Traders are looking closely at Bitcoin’s 200-day
moving average as a guide to whether it is
likely to climb back above $30,000 or fall down
to $20,000 or to where it sat at the end of 2022.
While Bitcoin dodged a bullet by not being
considered a security by the SEC, it is still the
face of crypto for most people.

13. The generalized loss of faith and even crypto grief
that came with crypto winter has not gone
away yet. We are seeing the results in less of a
taste for risk in Bitcoin and even more so in the
altcoin world. Recent inflation numbers
indicate that the Federal Reserve is probably
close to done raising interest rates.

14. That may result in a rare “soft landing” for the
economy with little or no recession and
minimal changes in employment numbers. If
that happens the stock market, and especially
the Nasdaq, will likely go up. Since Bitcoin has
tended to track with the Nasdaq, we might
expect to see its market cap, as well as its
portion of the crypto market, rise significantly.

15. For more insights and useful information about
investments and investing, visit
www.ProfitableInvestingTips.com.