Bitcoin takes a breather as altcoins steal the spotlight.
The global cryptocurrency market capitalization surpassed $2 trillion on April 3, fueled by Ethereum's rally pushing altcoins' collective share to 45.5%. With Bitcoin struggling to break $60K after two mid-March attempts, investors shifted focus to altcoins—hundreds of which doubled in value monthly. Ethereum, the leading altcoin, hit an all-time high that day, reaching a $238B market cap (¥1.55 trillion).
Key Market Shifts:
- 2017: Bitcoin dominated 80% of crypto market cap vs. altcoins' 20%
- 2020: Bitcoin slid to 60% as Ethereum-powered altcoins surged to 40%
- April 2023: Bitcoin holds just 55.5% amid altcoin resurgence
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Altcoin Mania: Monthly Doublers Abound
While Bitcoin rose 13% in 30 days, altcoins outpaced dramatically:
- Ethereum (ETH): All-time high at $2,000+
- Binance Coin (BNB): Record $340/coin
- EOS ("Grapefruit Coin"): 50% surge (¥38.9B market cap)
- TRON (TRX): 138% monthly spike (¥55B cap)
- SOC: 600% in 3 months (¥270M micro-cap)
- OmiseGO (OMG): 12x year-to-date
"Bitcoin's post-$60K consolidation redirected capital to undervalued altcoins," noted a Shenzhen-based trader.
Why Altcoins Outshine Bitcoin
- Diminished Bitcoin Dominance: Post-$40K BTC weakened its "blue-chip" monopoly on capital flows.
- Cycle Rotation: Santiment's February report confirmed BTC/altcoin alternating bull cycles.
Institutional Shifts: Companies like Meitu (HKEX: 1357) now allocate more to altcoins:
- Portfolio: $50.5M ETH vs. $39.5M BTC
- Returns: 34.8% ETH profit ($13.06M) vs. 14.3% BTC ($4.94M)
Ethereum's Meteoric Rise
- 2017: 20% market share
- 2023: 13% solo (45% all altcoins combined)
- Forecasts: ETH could surpass BTC's market cap within a decade (Raoul Pal)
FAQs
Q: Are altcoins riskier than Bitcoin?
A: Generally yes—higher volatility but greater upside potential during market rotations.
Q: What's driving Ethereum's growth?
A: Smart contract utility and DeFi adoption complement its monetary use cases.
Q: How long might this alt season last?
A: Historically until Bitcoin regains momentum, often months.
👉 Explore altcoin investment strategies
Data reflects conditions as of April 3, 2023. All values USD unless specified.
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