Bitcoin To Secure Second Quarterly Gain As Smaller Tokens Struggle
Bitcoin (BTC) continues to establish its dominance in the digital asset market as it records new gains in the wake of the Securities and Exchange Commission’s (SEC) crackdown on altcoins.
The largest asset by market capitalization has surged 86.31% year-to-date (YTD) to recover from a turbulent 2022 which saw over 55% wiped off its market cap.
Bitcoin’s quarter-quarter growth is set to continue into Q2 2023 with the top asset recording a growth of 8.49% in the last three months. These gains have come on the backs of renewed institutional thirst for BTC.
Q2 was not all rosy for BTC as it touched lows in May following a bearish market outlook. Since then, the asset has tapped new highs not recorded in years including trading above $31,000 for the first time in 12 months.
Bitcoin also regained its 50% market dominance for the first time in nearly two years as the total market cap topped $1.2 trillion.
However, at press time, BTC has lost that lead and trades at $30,810 with a market dominance of 48.395% according to data from CoinGecko.
In contrast, altcoins were weakened amid overstretched regulatory woes meted out by a Gary Gensler-led SEC.
This month, the SEC filed fresh lawsuits against Binance and Coinbase alleging several misconducts including offering trading services to unregulated securities, commingling user assets in the case of Binance, and lack of proper regulation.
The regulator’s bite on altcoins led to a sharp decline in the prices of major assets including Ether, Solana (SOL), BNB, and Polygon (MATIC).
On the other hand, BTC has been exempted from the securities crackdown after regulators have expressed that the asset is more like a commodity.
Caroline Mauron, the co-founder of derivatives liquidity
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