Bitcoin’s market share has continued to decline, reaching a low of around 40% this week. According to Tradingview data, this is very close to the all-time low of 36.7 percent set in January 2018.
The market dominance of Bitcoin (BTC) is defined as the ratio of BTC’s market cap to the entire crypto market cap.
It’s hardly the first time in 2021 that dominance has decline. BTC had slipped to barely 40.3 percent of the total crypto asset capitalization in May, and it was close to the same level again in September.
On December 29th, Bitcoin critic and Europac chairman Peter Schiff tweeted about the event, stating it shows BTC is “losing its first-mover competitive edge.”
“With over 16,000 alternative cryptos to choose from Bitcoin’s market dominance”
“is now below 40% for the first time since June of 2018. With an unlimited supply of easily created cryptos with virtually identical properties, Bitcoin is losing its first-mover competitive advantage.”
— Peter Schiff (@PeterSchiff) December 28, 2021
According to TradingPlatforms’ research published on December 27, the data could indicate the start of a “alt season.”
Altcoin market dominance has expanded thrice in the last seven years. Thereby, rising from 21% in 2014 to over 60% this month.
Ethererum’s (ETH) market domination remains above 20%, with cap of nearly $500 billion. ETH’s market share has increased from 10% to 20% in the last year.
Crypto analyst “Altcoin Sherpa” claimed in a tweet on December 24. That the “alt season” had already been going on for a year. They cited a graph depicting Bitcoin’s market dominance, implying that the downward trend could continue.