Is It The Right Time To Move Your Bitcoin (BTC) Holdings To Altcoins?
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 been seeing swings. However, professional traders are well versed in the game. And are waiting for the bull run in the fourth quarter.
Despite the odds, the space has been performing pretty well. Altcoins have been stealing the limelight of star crypto. Consecutively, numerous investors have created fortunes out of their holdings. Netizens have been comparing the statistics of the year, with that of 2017. Hinting at a possible bull run around the corner.
How Well Have Altcoins Fared Over The Big Bull?
BTC’s price is at $42,709.97, from being $29,022.42 on the first day of 2021 at the press time. The star coin has given returns of ~300% for the year. Whereas, ETH is currently at $2937.52 from $738.62 on the 1st of January 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%.
Similarly, multiple other coins have grown exponentially. The possible reasons for the ALT coins outperforming Bitcoin are as follows:
- Higher volatility, which also means quicker gains.
- Inherent capabilities and fundamental developments like scalability, transaction time, charges, interoperability, smart contracts, and more.
- Enthusiasts are leaned more towards the layer-1 protocol, than the layer-2 protocol.
- Launch of dApps, De-Fi, and NFTs.
- 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 scheduled Cardano Summit. Similar events can be held by other platforms as well, which brings impetus to the ecosystem.
BTC Is Old, Yet Supreme?
Bitcoin has been receiving significant acceptance and mass adoption in recent times. This is helping the ecosystem evolve as an inflation hedge, and is now relatively less volatile. Consecutively, BTC is gaining immense interest among investors who are new to crypto trades. Hence it is worth mentioning that BTC still remains the go-to coin for holders. Netizens believe it is destined to surge leaps and bounds in the long run. Possibly, like what compounding 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 still has its upper hand. As it holds the lion’s share in the market cap which brings a notable difference, even with negligible changes.
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