Bitcoin Dominance Surges to Over 50% Market Share
New data shows that bitcoin's dominance in the cryptocurrency market has reached its highest levels since February 2021, with over 50% market share. Ethereum, the second-largest cryptocurrency, trails behind at just above 17%.
Bitcoin's Hegemony Grows in 12 Months
Bitcoin's dominance has witnessed a significant increase from 40.2% in October 2022 to the current 54% in October 2023. Fluctuations in bitcoin's dominance have been observed, ranging from 53.44% to 54.11%, according to insights compiled by Tradingview.
Bitcoin's Rise to Dominance
Tradingview calculates bitcoin's dominance by comparing its value against the top 125 cryptocurrencies. The current dominance level is a first in over 980 days, which extends beyond two years and eight months. In the past, bitcoin's representation exceeded 80-90% of the entire crypto market, but it has now settled at around 54%.
Ethereum's Declining Dominance
While Ethereum held a dominance of 21.24% in October 2021, it experienced a decline, reaching a low of 15% by May 2022. In October 2022, its dominance was 19.3%, but it has been on a downward trajectory since April 2023.
Bitcoin Leads the Pack
Bitcoin's dominance has been steadily increasing since April 2023, rising from 47.89% to its current position. Although Ethereum comes closest to bitcoin in terms of market share, other cryptocurrencies in the top ten pale in comparison. Collectively, bitcoin and ethereum account for 71% of the market.
Other Cryptocurrencies' Market Share
Tether (USDT), the third-largest cryptocurrency, comprises only 6.667% of the $1.26 trillion market. BNB and XRP represent 2.767% and 2.305% respectively. Excluding bitcoin and ethereum, the top eight digital currencies make up 17.55% of the market. The top ten cryptocurrencies collectively account for 88% of the total market.
The Future of Bitcoin Dominance
In the volatile world of cryptocurrency, rankings can change rapidly. It is entirely possible that these dominance levels could undergo a significant transformation by October 2024. Share your thoughts and opinions on bitcoin's rising dominance in the comments section below.
Frequently Asked Questions
How much should you have of gold in your portfolio
The amount of money you need to make depends on how much capital you are looking for. A small investment of $5k-10k would be a great option if you are looking to start small. You could then rent out desks and office space as your business grows. This will allow you to pay rent monthly, and not worry about it all at once. You just pay per month.
It's also important to determine what type business you'll run. My website design company charges clients $1000-2000 per month depending on the order. So if you do this kind of thing, you need to consider how much income you expect from each client.
You won't get a monthly paycheck if you work freelance. This is because freelancers are paid. You might get paid only once every six months.
Decide what kind of income do you want before you calculate how much gold is needed.
I recommend starting with $1k to $2k of gold, and then growing from there.
What does a gold IRA look like?
You can buy physical gold bullion coins at any time. You don't have to wait until retirement to start investing in gold.
The beauty of owning gold as an IRA is you can hold on to it forever. Your gold holdings will not be subject to tax when you are gone.
Your gold will be passed on to your heirs, without you having to pay capital gains taxes. And because your gold remains outside of the estate, you aren't required to include it in your final estate report.
To open a gold IRA, you will first need to create an individual retirement account (IRA). After you have done this, an IRA custodian will be assigned to you. This company acts in the role of a middleman between your IRS agent and you.
Your gold IRA custodian will handle the paperwork and submit the necessary forms to the IRS. This includes filing annual reports.
After you have established your gold IRA you will be able purchase gold bullion coin. Minimum deposit required is $1,000 A higher interest rate will be offered if you invest more.
You'll have to pay taxes if you take your gold out of your IRA. If you are withdrawing your entire balance, you will owe income tax plus a 10% penalty.
If you only take out a very small percentage of your income, you may not need to pay tax. There are exceptions. There are some exceptions. For instance, if you take out 30% or more from your total IRA assets, federal income taxes will apply plus a 20 percent penalty.
Avoid taking out more that 50% of your total IRA assets each year. A violation of this rule can lead to severe financial consequences.
Is physical gold allowed in an IRA.
Gold is money, not just paper currency or coinage. Gold is an asset people have used for thousands years as a place to store value and protect their wealth from economic uncertainty and inflation. Investors today use gold to diversify their portfolios because gold is more resilient to financial turmoil.
Many Americans today prefer to invest in precious metals, such as silver and gold, over stocks and bonds. It's not guaranteed that you'll make any money investing gold, but there are several reasons it might be worthwhile to add gold to retirement funds.
Gold has historically performed better during financial panics than other assets. The S&P 500 declined 21 percent during the same period. Gold prices increased nearly 100 per cent between August 2011 – early 2013. Gold was one of the few assets that performed better than stocks during turbulent market conditions.
One of the best things about investing in gold is its virtually zero counterparty risk. You still have your shares even if your stock portfolio falls. But if you own gold, its value will increase even if the company you invested in defaults on its debt.
Finally, gold offers liquidity. This means that you can sell gold anytime, regardless of whether or not another buyer is available. Gold is liquid and therefore it makes sense to purchase small amounts. This allows you take advantage of the short-term fluctuations that occur in the gold markets.
- If you accidentally make an improper transaction, the IRS will disallow it and count it as a withdrawal, so you would owe income tax on the item's value and, if you are younger than 59 ½, an additional 10% early withdrawal penalty. (forbes.com)
- You can only purchase gold bars at least 99.5% purity. (forbes.com)
- Instead, the economy improved, stocks rebounded, and gold plunged, losing 28 percent of its value in 2013. (aarp.org)
- This is a 15% margin that has shown no stable direction of growth but fluctuates seemingly at random. (smartasset.com)
- Contribution limits$6,000 (49 and under) $7,000 (50 and up)$6,000 (49 and under) $7,000 (50 and up)$58,000 or 25% of your annual compensation (whichever is smaller) (lendedu.com)
- 7 U.S. Code SS 7 – Designation of boards of trade as contract markets
- 26 U.S. Code SS 408 – Individual retirement plans
- Saddam Hussein’s InvasionHelped Uncage a Bear In 1989 – WSJ
- You want to keep gold in your IRA at home? It's Not Exactly Legal – WSJ
A rising trend in gold IRAs
As investors seek to diversify their portfolios while protecting themselves from inflation, the trend towards gold IRAs is on the rise.
Gold IRA owners can now invest in physical gold bullion or bars. It can be used as a tax-free way to grow and it is an alternative investment option for people who are not comfortable with stocks or bonds.
A gold IRA allows investors the freedom to manage their wealth without worrying about volatility in the markets. The gold IRA can be used to protect against inflation or other potential problems.
Investors also enjoy the benefits of owning physical gold, which includes its unique properties such as durability, portability, and divisibility.
Additionally, the gold IRA has many benefits. It allows you to quickly transfer your gold ownership to your heirs. The IRS doesn't consider gold a commodity or currency.
All this means that the gold IRA is becoming increasingly popular among investors seeking a haven during financial uncertainty.
By: Jamie Redman
Title: Bitcoin Dominance Reaches New Heights in 2023
Sourced From: news.bitcoin.com/with-over-50-market-share-bitcoins-dominance-echoes-its-2021-peaks/
Published Date: Tue, 24 Oct 2023 13:30:41 +0000