Bitcoin remains the driver of the cryptocurrency market, despite the fact that Bitcoin Dominance is declining.
The share of bitcoin in the cryptocurrency market has been declining for a long time, now Bitcoin Dominance is aiming for 43%. However, BTC several times intended to break up the $50K resistance level, broke it, and will rise above, according to experts. Meanwhile, analysts note that the market has grown mainly due to altcoins.
Now the market capitalization already notably exceeds $2 trillion. Since the beginning of August, the share of bitcoin has decreased from 48.6% to 43.8%, while the share of the most rapidly growing altcoin Cardano (ADA) has grown 1.5 times, from 2.57% to 3.75%. Cardano is growing on expectations of the Alonzo update, which will be made near September 12 and will add the possibility of launching smart contracts and DeFi projects t.0 the platform.
According to the popular trader and analyst Michaël van de Poppe, Cardano (ADA) can provide “insane profits” for long-term investors. Van de Poppe is well-known for his technical analysis. He provides the prospects for Cardano, using the Fibonacci extension. The analyst states:
– The next Fibonacci extension tools, or Fibonacci extension levels, are [$3.50] and [$5.00] for Cardano in the next impulse wave. That is based on the recent high and recent low [$1.02].
Cardano has already brought its hodlers a profit of over 1500% since the beginning of the year. The ADA price has risen from $0.18 as of January 1, to the current price over $2.8. Analyst firm IntoTheBlock notes that the number of ADA hodlers has grown by 233% to more than 226,000. At the same time, the number of addresses that have made a profit has increased from 80% to 100%.
It means every hodler got profits. If the ADA continues to rise in the next two weeks, then the $3.5 and $5 levels can be reached indeed. Obviously, retail traders and private investors can try to make easy money by buying ADA. But institutional investors are in no hurry to enter Cardano and remain loyal to Bitcoin.
BTC is growing on positive information from Coinbase. The first cryptocurrency exchange – a public company – stated that it builds a diversified investment portfolio and invests 10% of its quarterly profits on buying cryptoassets. Brian Armstrong, CEO of Coinbase, noted:
– We recently received board approval to purchase over $500 [million] of crypto on our balance sheet to add to our existing holdings.
Coinbase buys Bitcoin, Ethereum, and altcoins powered by Proof-of-Stake blockchains. Cardano is just such a blockchain.