Having made strong gains in record time, cryptocurrency traders are increasingly looking to penny or altcoins as 2023 draws to a close.
The dollar value locked in a number of active Bitcoin-related futures contracts now represents 38% of the total futures surplus of contracts in the market of $30.45 billion. This is the lowest level in at least the last two years, according to data tracked by Coinalyze.
Coinalyze reported that all the money is now going into altcoins, explaining the decline of Bitcoin's dominance. The data shows a renewed appetite for risk in the cryptocurrency market, which is usually observed after a noticeable upward trend in Bitcoin.
Bitcoin, the leading cryptocurrency by market cap, has risen more than 60% since October 1 and is now hovering around the $43,000 level, mainly due to falling Treasury yields and expectations that the US Securities and Exchange Commission will soon approve one or more... Bitcoin ETFs.
Although monetary policy continues to be tightened in many periods of the year, the change in tone of monetary policy makers in recent months, in addition to the continuation of most major central banks to fix interest rates in the last period of the year, has contributed to supporting digital assets that have benefited from the decline of the US dollar. .
Despite the clear rise that Bitcoin witnessed this year and its approach to the $45,000 level, it is still far from the highest levels it reached in 2021 when it rose to $69,000.
As of writing, Bitcoin is up 161% on a year-to-date basis, and Ethereum, the second-largest cryptocurrency, is trading up 88%.
Bitcoin's dominance in terms of open interest futures contracts has fallen from around 50% in late October to 48%. Ethereum's dominance has remained constant at approximately 21%, while the share of altcoins has increased from 32% to 41%.
During the past few hours, the famous digital currency, Solana SOL/USD, broke the $100 barrier, regaining a price level that had not been seen since the eve of the collapse of the digital currency Terra a year and a half ago.
At the time of writing, Solana is worth approximately $113.78. Its value increased more than tenfold in 2023, and rose by more than 90% on a monthly basis, according to data available on the Investing Saudi website.
Much of these altcoin rallies are driven by strong bullish speculation for cryptocurrencies over the coming year. Some of the most popular crypto assets being traded on Solana currently are dog-themed digital memes.
Solana is a smart contract platform that supports fast and cheap cryptocurrency transactions. It has been compared to Ethereum, which despite Solana's rise, remains the most popular and popular place for cryptocurrency traders to trade on-chain.
Cryptocurrencies at 11:55 pm Saudi time
The combined market value of the crypto market during these moments of today’s trading amounted to approximately $1.66 trillion. The trading volume reached about $59.14 billion, according to data available on Investing Saudi Arabia.
Bitcoin fell during the last 24 hours to the levels of $42,699, by 1.3%, while recording weekly losses of 1%. Its market value now stands at $835 billion.
While Ethereum, which is the largest digital currency in terms of market value after Bitcoin, fell by about 2.1% during the last 24 hours, to reach $2,236, with weekly losses of 0.8%, and a market value of about $268 billion.
The price of Binance Coin BNB/USD rose by 3.5% to record $277.
While Ripple gained approximately 0.3% of its value, recording $0.62389, while rising by 1.5% in the last 7 days.
Solana fell by 0.9% during the last 24 hours to $113.78, and rose by 48% during the last 7 days.
Cardano witnessed a decline to $0.6069, by 0.73%, while it fell in the last 7 days by 0.9%.
At the same time, Dogecoin fell to the level of $0.092495, by 0.7%.
Avalanche AVAX/USD fell by 2.6%, recording $46.15, an increase of 11.7% in the last 7 days.
Polkadot also rose 8.8% in the last 24 hours, to $7.55.
