The month of October was an interesting time period for the cryptocurrency. The stock market in the US dropped by quite a bit, while cryptocurrencies, and especially Bitcoin, continued to hold their ground.
One example of the last month situation includes the 8% drop experienced by the Dow Jones Industrial Average. Even now, the price is at least 5% below the highest point that it had in October. Stocks, bonds, and other traditional types of markets dropped one after another, and experts believed that cryptocurrencies are next.
Bitcoin Dominates The Market
To their surprise, this has not happened, and Bitcoin managed to stay well above $6,400 throughout the month. Many have spent months claiming that this is BTC's new bottom, and it is more than possible that such claims are correct.
However, there are also those who see Bitcoin's refusal to lose value as a sign that investors are using digital currencies as a hedge to their portfolios. At the moment, Bitcoin is dominating the crypto market, and it even holds around 53.74% of the total crypto market cap. This is very close to the situation in December 2017, where at one point, BTC even held as much as full 60% of the total cryptocurrency market cap.
Such dominance is unheard of in any other market, which makes Bitcoin continuously interesting to everyone, whether they support crypto or not.
While it is important to note how resilient BTC has been throughout October, the same cannot be said for most of its altcoins. In fact, a lot of very popular altcoins lost more than 85% of their value during the last month. Many believe that this is one of the reasons why BTC manages to dominate, as investors feel that it is safer to go for Bitcoin than for any of the altcoins.
Another reason why traders are going for BTC might be the plan to wait out the bearish market while holding on to BTC, and then return to their altcoins once the “storm” has passed. Whatever the reason may be, Bitcoin is evidently seeing a lot more activity than any altcoin, and it is usually the only one to grow, while all altcoins lose value.
The concept of altcoins is certainly not dead, and traders were quick to approach them back in January when their prices were still high. This means that support and interest in them exist. However, the problem is their price, which is caused by the bear market.
Is The Bear Market Coming To An End?
Since November started, the situation began to change, and numerous coins have already had their own, individual price surges. While none of them managed to start a real bull run as of yet, for many investors, this is proof enough that things are starting to change.
A lot of work was done on regulating the crypto space throughout 2018, and numerous stablecoins came to replace the old ones that proved to be flawed. Various exchanges have opened up to new altcoins, and even Coinbase is slowly adding new assets to its list.
It appears that the crypto market is slowly starting to recover, and many believe that this year's hard work on regulating the crypto space might be enough to prevent another large crash. Bitcoin seems to be quite stable, and it has been for the last several months. Experts are taking this situation as a sign that the bear market might finally be at its end, and that more prosperous times are to come.
It is because of this that many are suggesting that this might be the best time to buy cryptos. It might also be the last opportunity to get them for cheap. If the experts are right, a new price surge can come around at any time.