How Summer Is Turning Into A Short-Lived Altcoin Season
Altcoin season is a phenomenon that excites investors in the crypto market. It often means a period of multiple gains as the altcoins see their valuations and prices grow rapidly. This usually comes after a bull run in the price of bitcoin, which is now the case with the current market. With summer coming into full bloom, altcoins seem to be having the time of their lives as performance has been outstanding all around.
Altcoin Run Up The Market
The altcoins have now dominated the market, although the gains bitcoin has posted. July has been a welcome reprieve for investors following the market crash of June. The numbers for the month are now in, and it shows that the crypto market had a good month in July.
Mid Cap altcoins emerged as the winners of the market last month. These cryptocurrencies, which continue to boast strong communities, gave the best run for the month. Data shows that the returns for the Mid Cap Index came out to 40%, the highest of all the indexes by a considerable margin.
Next was the Small Cap Index. It is interesting that it came in behind the Large Cap Index, given that this index is known to thrive in markets such as this. Nevertheless, the Small Cap Index saw the second-highest returns with 30% for the month of July.
Altcoins outperform bitcoin | Source: Arcane Research
The Large Cap naturally followed behind its smaller counterparts. It saw 26% returns for the month of June, putting it ahead of only bitcoin in this regard. These numbers show an incredible month for the market despite the issues that have rocked it.
Bitcoin Follows With Double-Digits
Bitcoin was not left out of the gains that were recorded in July. The leading cryptocurrency has also followed the trend of double-digit gains, albeit returning much lower compared to its smaller counterparts with 17% in gains. This is attributed to the gains made that saw bitcoin surge above $24,000 at one point. However, it also lost to altcoins on another front.
BTC recovers to mid-$23,000s | Source: BTCUSD on TradingView.com
The battle between Ethereum and Bitcoin remains one for the books, and the altcoin has been ramping up the fight in recent times. Ethereum’s strength against bitcoin had recovered, which saw it eat another 0.43% of market share once more.
Bitcoin’s market dominance fell by 0.22%, and stablecoins had also seen their dominance decline by 0.48%, 0.49%, and 0.14% for USDT, USDC, and BUSD, respectively. This signifies that positive confidence is returning to the market, and investors are no longer flocking toward safe-haven assets.
Featured image from Tekcore, charts from Arcane Reseach and TradingView.com
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