BITCOIN'S DOMINANCE AFTER AN OVERWHELMING CORRECTION

Greetings dear readers of this prestigious platform, let this publication serve as an analysis that allows us to understand the influence of Bitcoin at this point in history, where the media attacks have not ceased and the crypto asset seems to have entered a large-scale correction and where the red figures have left many in check and more that where the psychological component has played a dirty trick on them, which have ended up selling their BTC to stop losing, actually assuming large losses that are compromising their accounts.

As has been constant in my publication this type of content I usually share it through the @CryptoDog community, the same is oriented to the analysis associated with the economic of the cryptomarket.

In such a way, from Elon Musk, to the media and negative publicity driven from China, Bitcoin seems to have lost the rally generated since 2020. However, beyond the present fundamental analysis, the dominance of BTC seems to be rising and to date has gone from 42% to 45% where cryptocurrencies have been losing ground in terms of price.

In the midst of the market decline, bitcoin's dominance rises to 47%, but it would be appropriate to explain what defines the dominance of an asset? And to answer this question we must know that the entire crypto market is influenced by BTC, hence any upward or downward movement of bitcoin, affects the rest of the cryptoassets.

Based on the above, dominance is the influence exerted by one asset over another and in a way this variable gives us signals of investor interest in the asset in question.

If we look at the graph, we realize that in these times of sharp fall, investors are turning to the purchase of the BTC coin, perhaps taking advantage of the low prices and betting on a recovery that exceeds historical highs, although we can not know for sure are the projections that have this impressive project.

On the other hand, the altcoin season seems to be fizzling out for a lot as bitcoin recovers in popularity and trading interest and it has been cryptocurrencies that have suffered the most from the attacks made on BTC, where in the last week have been recorded a decline of more than 20% in BTC and coins such as DOT, ICP have recorded larger setbacks and exceeding 50% of this, being the overall average of 35% cryptos according daos thrown by CoinMarketCap.

According to expert analysts BTC's bullish season is not over yet, however, its recovery to the 64K high will take time to reach it again. At this point if you found this information timely I invite you to leave your perspective in the comments section.

[1] Gracia et al. Factors influencing Bitcoin behavior and volatility. Article: Online Access

[2] Michael McLeay, Amar Radia y Ryland Thomas. Money in the modern economy: an introduction. Journal of Institutional Economics, vol. 17. Number 33. Article: Online Access