BREAKING NEWS

Bitcoin Dominance Nears 50% Even As The Price Plummets

Bitcoin Dominance Nears 50% Even As The Price Plummets
08 Aug
8:08

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Bitcoin’s dominance — a measure of its total cryptocurrency market share — has continued to creep up over recent days, hitting year-to-date highs and approaching the psychological 50% mark for the first time since the massive bitcoin bull run in December last year.

This uptick in bitcoin’s market share comes amid a bitcoin sell-off following the U.S. Securities and Exchange Commission delaying a decision on a proposed bitcoin exchange-traded fund (ETF) until September 30 at the earliest. It was previously expected some time in August.

The bitcoin price lost some $500 in around six hours last night on the back of the news — taking it to around $6,500.

A rise in bitcoin dominance essentially means bitcoin is more in demand compared to the alternative cryptocurrencies and an increase in bitcoin dominance could be seen as the start of a bull run, as it’s a common route for fiat money to enter the cryptocurrency market.

Earlier this year there was a big rise in bitcoin’s dominance — with so-called alt coins falling back across the board — ahead of the bitcoin price rising to highs of $8,400.

Bitcoin dominance has risen over recent weeks to year-to-date highs.CoinMarketCap.com

The bitcoin and cryptocurrency world has been eagerly awaiting the ETF decision after last year’s bid by the Winkelvoss twins (of Facebook-founding and Gemini exchange fame) was shot down last year.

The ETF, if it happens, will be the first financial product of its kind and many expect it to open bitcoin and cryptocurrency investments to the mass market as an ETF tracks the price of an asset and is listed on an exchange — meaning investors don’t actually have to buy the underlying asset.

The ETF has been proposed by investment firm VanEck and financial services provider Solid X and is VanEck’s third attempt to push a bitcoin ETF through, having been rejected by the SEC twice previously.

Elsewhere, the bitcoin price, could be in for a boost after it was reported New York banking giant Goldman Sachs is mulling whether to get stuck into crypto.

Goldman Sachs is considering holding bitcoin and cryptocurrency securities on behalf of funds, according to an unconfirmed Bloomberg report.

“In response to client interest in various digital products we are exploring how best to serve them in this space,” a spokesman for Goldman Sachs told Bloomberg. “At this point we have not reached a conclusion on the scope of our digital asset offering.”

Source: https://www.forbes.com/sites/billybambrough/2018/08/08/bitcoin-dominance-nears-50-even-as-price-plummets/

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