Bitcoin (BTC) dominance in the crypto market has reached a new high. On April 16, 2025, this indicator jumped to 54.7%, its highest level since February 2021, noted analyst Crypto Kavi. This increase indicates a clear shift: investors are increasingly choosing Bitcoin over altcoins, especially now that markets remain volatile against the backdrop of a tariff war.
Historical cycle is over
The current development is remarkable, to say the least. We usually see the crypto market reach a new high about 500 to 600 days after a halving. But this time, the pattern appears to be breaking. Instead of an upward explosion, we are in the midst of a sharp correction, which is also lasting longer than many analysts expected.
It is striking that Bitcoin is holding up relatively well, while altcoins, in particular, are suffering significant losses. Consider Solana (SOL), for example: In January, the coin reached an all-time high (ATH) of around $293. Just three months later, the price fell to a low of just under $100, a decline of approximately 69%.
Bitcoin Maturity
The fact that the historical cycle is somewhat different this time is due to several developments. First, Bitcoin is increasingly being recognized as a digital form of store of value. Consider, for example, the establishment of a strategic American BTC reserve, a huge bullish signal, although this news is currently somewhat overshadowed by the noise surrounding trading tariffs.
In addition, we see that institutional players and companies like MicroStrategy and Metaplanet continue to buy Bitcoin on a massive scale. This creates more confidence in BTC as a long-term investment.
The situation is different for altcoins. Many projects have yet to fulfill their promises and are therefore hit particularly hard in times of uncertainty. In a macroeconomically turbulent environment, investors prefer to seek safety, and they are currently more likely to find it in established assets such as Bitcoin and gold than in risky altcoins.
TheBitcoinNews.com – Bitcoin News source since June 2011 –
Virtual currency is not legal tender, is not backed by the government, and accounts and value balances are not subject to consumer protections. TheBitcoinNews.com holds several Cryptocurrencies, and this information does NOT constitute investment advice or an offer to invest.
Everything on this website can be seen as Advertisment and most comes from Press Releases, TheBitcoinNews.com is is not responsible for any of the content of or from external sites and feeds. Sponsored posts are always flagged as this, guest posts, guest articles and PRs are most time but NOT always flagged as this. Expert opinions and Price predictions are not supported by us and comes up from 3th part websites.
Advertise with us : Advertise
For the latest cryptocurrency news, join our Telegram!
