Crypto Weekly Roundup: Bitcoin Dominance Down To 55%, Alt Season Cometh?

April 10, 2021

Welcome to the weekly cryptocurrency market roundup. The global cryptocurrency market cap once again crept above $2.5T CAD this week.

However, another interesting thing to note is that the overall Bitcoin dominance percentage has dropped to 55%, the lowest since August 2018. This is a significant factor since this shows that altcoins now have a more profound impact on the overall crypto market valuation.

Alright, let’s now take a closer look at the top coins.

NOTE: The charts here have been created in-house or taken from Santiment.

In Brief:

• MicroStrategy and Meitu purchase more Bitcoins
• DeFi market crosses $50M USD.
• The Cardano community eagerly awaits upcoming smart contract integration.

Bitcoin Falls And Recovers After Massive Transaction Spike On April 6

Throughout this week, the Bitcoin price has struggled to break above $75,000. However, despite having a relatively uneventful week price action-wise, BTC continues to attract institutional investors.

Firstly, MicroStrategy took advantage of the dip to further bolster their holdings by a cool 253 BTC. In fact, we tracked MicroStrategy’s investments since December 2020 and noted their tendency of constantly buying the dip.

Plus, Chinese smartphone company Meitu purchased $10 million worth of BTC more, as reported by Wu Blockchain:

“Exclusive: Chinese listed company Meitu’s 10mln dollars of Bitcoin was purchased on Hong Kong’s first compliant exchange OSL. Previously, 90mln were purchased on Coinbase. This is of great significance to the development of the crypto ecosystem in Hong Kong and Greater China.”

When we look at the on-chain analysis, there are two interesting charts from Santiment that I want you to check out.

This shows the “Age Consumed” metric, which shows the amount of previously idle Bitcoins that have recently moved. Usually, a spike in this chart triggers a movement in price. As we can see, there was a spike on April 6, which caused a dip in BTC.

Ethereum Struggles To Climb Above $2,650

The Ethereum price has been hovering around $2,650. While the price reached an intra-week low of $2,470, ETH has recovered to $2,605 as of writing. However, the long-term sentiment of Ethereum seems optimistic because of the burgeoning DeFi market. Last month, we made a chart that showed that the DeFi market finished 11 out of the previous 12 months at a higher valuation than the previous one.

The DeFi sector has continued this momentum into April and managed to cross the $50 billion mark! This is a significant milestone, and Ethereum will continue to benefit from this continuously innovating sector.

It looks like the whales agree with my long-term bullish outlook. The following chart shows the amount of ETH owned by the top 100 non-exchange addresses.

Throughout this week, the amount of ETH tokens held by these addresses has jumped up from 26.84M to 27.43M. This is a positive sign as it tells us that the whales are accumulating instead of adding to the selling pressure.

Cardano’s Alonzo Update Picks Up Hype, Yet Price Hovers Horizontally

The Cardano price is hovering between $1.50 and $1.55, reaching an intra-week high of $1.66 around April 6. Despite this horizontal trend, there is a lot of hype surrounding Cardano since the Alonzo smart contract update, which will be integrated later this month, as per their roadmap.

Speaking of the chatter surrounding Cardano, when we look at Santiment’s social volume metric, we can see a major spike on April 6.

Contrary to what you may believe, this isn’t a positive signal since a spike in social volume usually prompts a lot of FOMO and a major influx of newbie investors. However, these investors often flee at the first sign of trouble, leading to a price crash. When you see the chart above, you can notice the price rising along with the spike and then dropping down from $1.66 to $1.47. Since then, ADA seems to have stabilized itself around the $1.50 mark.

The crypto market is in a fascinating stage right now and if you want your friends and family to prosper from this unprecedented wealth-creating opportunity, this is what you need to do ⬇️⬇️.

Empower And Earn

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Your friend will have to:

• Use your unique invite link to sign up
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You can refer as many friends as you can by April 30th. You will be rewarded with a $60 referral bonus any time a friend funds their account.