Bitcoin dominance in the cryptocurrency market: economic and social indicators

Eleven years later, Bitcoin is still king among other cryptocurrencies thanks to its many economic and social indicators.

Best known measurement methodThe “dominance of Bitcoin” over other cryptocurrencies is the calculation of relative market capitalization, that is, a comparison of the total supply of negotiable coins multiplied by the current price. According to the analytical portal Coinmarketcap, the Bitcoin dominance index is at 64% with a market capitalization of $ 167 billion.

The lowest level was recorded on June 202017, when the dominance of Bitcoin fell to ~ 51%. That day, the first cryptocurrency lost most of its market capitalization to Ethereum. Today, however, Ethereum ranges from only ~ 10% of total market capitalization.

In terms of Google Search’s global interest in the top five crypto assets last year, Bitcoin dominates with a relative share of> 80%.

The number of page views on Wikipedia is alsoconfirms ~ 70% of BTC dominance, although the number of page views on ETH increased around January 2020. BitcoinWiki has been translated into 99 different languages, and since the beginning of 2019, the total number of page views has exceeded 10 million.

By analyzing the volume of keywords in a cryptotwitter,in March 2020, there were 1.8 million tweets mentioning “btc,” and 891 thousand tweets mentioning “eth.” Currently, BTC fluctuates around ~ 50% of the relative volume of Twitter keywords compared to the six major cryptocurrencies.

In the same way, Bitcoin is gaining ~ 50% of the total number of subscribers to Reddit. Bitcoin's subreddit has almost doubled since 2018 to ~ 1.3 million subscribers today.

Despite the fact that these cryptocurrencies are closelyassociated with Bitcoin, BTC is the least volatile of all, so its price is more stable compared to other cryptocurrencies. Some of the most volatile cryptocurrencies include KNC, LINK, XTZ, and BCH.

What about comparing Bitcoin with world fiat currencies and gold? It is noteworthy that cryptocurrency surpasses the "market capitalization" of many world fiat currencies.

However, a more accurate comparison has been made.between Bitcoin and the market capitalization of gold. At the time of writing, the market capitalization of gold (that is, the estimated total amount of elevated reserves multiplied by the current price per ounce) is more than $ 10 trillion, compared with ~ $ 167 billion BTC.

Note that Bitcoin is globally accessible, portable, unstable, scarce, independently verifiable, easily divisible,

works 24/7 and does not require transfer by a trusted third party. In the end, Bitcoin is a leader in its class.