The year has been a roller coaster of sorts for the crypto space. From initiating with the bull run to cryptos plunging in the mid-term, to the Evergrande crisis and FUD. The charts have seen fluctuations. However, professional traders are familiar with the game. And are waiting for the bull run in the fourth quarter.
Despite the odds, the space worked pretty well. Altcoins have been stealing the limelight of star crypto. As a result, many investors have created fortunes from their holdings. Netizens have been comparing the statistics of the year, with that of 2017. Foreshadows a possible bull run around the corner.
How Well Have Altcoins Fared Over The Big Bull?
The price of BTC is at $ 42,709.97, to be $ 29,022.42 on the first day of 2021 at press time. The star coin has given returns of ~300% for the year. Considering that ETH is currently at $ 2,937.52 of $ 738.62 on January 1, 2021. The returns for the year stand at ~740%. ADA has grown to $2.37 from its initial inning of $0.182 on January 1st. The returns are a whooping ~2750%.
Likewise, several other coins have grown exponentially. The possible reasons why ALT coins outperform Bitcoin are as follows:
- Higher volatility, which also means quicker gains.
- Inherent capabilities and fundamental developments such as scalability, transaction time, fees, interoperability, smart contracts, etc.
- Enthusiasts are leaned more towards the layer-1 protocol, than the layer-2 protocol.
- Launch of dApps, De-Fi and NFT.
- Development of communities, and conferences.
Cryptos like Cardano, Polkadot and Solana among many others have created a lasting impact in the industry. Cardano for instance is currently trending on the charts, despite prominent ones dwindling. However, the trend has a lot to do with the expected Cardano peak. Similar events can be held by other platforms as well, which brings impetus to the ecosystem.
BTC is old, but supreme?
Bitcoin has received massive acceptance and adoption lately. This is helping the ecosystem evolve as an inflation hedge, and is now relatively less volatile. In turn, BTC is generating immense interest among investors new to the crypto business. Hence it is worth mentioning that BTC still remains the go-to coin for holders. Internet users believe it is destined to take giant strides in the long term. Maybe, like what the composition does on long term investments.
Summing up, it is great to see Altcoins rising up the market charts, and offering real-time solutions. On the contrary, BTC always has the upper hand. As it holds the lion’s share in the market cap which brings a notable difference, even with negligible changes.
