Market Wrap Year-End Review: Altcoins, NFTs Filled Void When Bitcoin Got Boring

 407 total views

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on pinterest
Pinterest
Share on whatsapp
WhatsApp
Share on telegram
Telegram

Market Wrap Year-End Review: Altcoins, NFTs Filled Void When Bitcoin Got Boring

By Damanick Dantes

In mid-2021, crypto traders turned their attention to “Ethereum killers” and ridiculous-seeming NFTs that fetched hundreds of thousands of dollars.

During the final two weeks of 2021, we’re using this space to recap this year’s most dramatic moments in cryptocurrency markets – and highlight the key lessons from this fast-evolving corner of global finance. Over a series of eight posts that started on Dec. 20 and will run through Thursday, we’ll recap what shook crypto markets this year. (Scroll down for today’s latest crypto-market prices and top gainers/losers.)

On Monday, we showed how some large investors began to cash out of their bitcoin trades in April and May, as prices retreated from the then-all-time-high price of around $65,000. Concerns about rampant speculation and a decline in global money supply growth were some reasons why investors began to jump ship. Then investors became concerned about bitcoin’s environmental footprint, which also caused Tesla to reconsider its involvement in the cryptocurrency. The selling pressure accelerated in May after China banned cryptocurrencies.

It was a wild first half of the year for bitcoin, but by June, the market began to settle down. BTC stabilized at around $30,000 after dropping nearly 50% over the span of a couple months. During that time, traders flocked to alternative cryptocurrencies (altcoins) and non-fungible tokens (NFTs) in hopes of greater profits.

Altcoin season in full effect

Around the start of the year, multiple altcoins began to outperform bitcoin (BTC), reflecting a strong appetite for risk among investors. The payments token XRP rallied nearly eightfold between January and April, and the prices of many decentralized finance (DeFi) tokens such as Aave’s AAVE token and Uniswap’s UNI also soared.

Even during the broad crypto market sell-off, altcoins began to account for a greater share of the total crypto universe – shrinking bitcoin’s “dominance” in the industry jargon. Many “Ethereum killers,” or competitors in the field of smart contracts blockchains, began to grab the attention of traders – such as Solana, with its SOL token. So-called layer 2 tokens such as MATIC from Polygon, which aims to increase the efficiency of transactions on the Ethereum blockchain, rose nearly twofold in July.

The chart below shows bitcoin’s market capitalization relative to the total crypto market capitalization, known as the bitcoin dominance ratio. BTC’s relative market cap loss began to accelerate between March and May before stabilizing at around 40% in the following months.

Bitcoin dominance ratio (CoinDesk, TradingView)

The NFT craze

It had been clear since March just how far this year’s crypto craze extended beyond bitcoin, when a piece of digital artwork sold for $69.3 million at a Christie’s auction by crypto artist Beeple. In the wake of breathless headlines in traditional media outlets like the New York Times, the potential riches from selling non-fungible tokens, or NFTs, attracted scores of artists, celebrities and traders seeking additional investments in the crypto market.

The Bored Apes Yacht Club became the second-most popular NFT collection by total trade volume behind CryptoPunks, CoinDesk’s Eli Tan wrote in August. At that time, the “floor price” for Bored Ape Yacht Club NFTs – the cheapest available on the open market – was 48.8 ETH, or $165,578. (By the end of the year, it would rise even further, to about $240,500.)

Owners of the high-priced NFT collection include National Basketball Association superstar Steph Curry, YouTube creator Logan Paul and musician Jermaine Dupri.


Dune Analytics: Average Bored Ape Sales Price

In the next episode, we’ll show how bitcoin’s price broke out of a two month-long sideways range as El Salvador came to the rescue.

Latest prices

  • Bitcoin (BTC): $47,735, -6.8%
  • Ether (ETH): $3,823, -6.6%
  • S&P 500: -0.1%
  • Gold: $1,807, -0.1%
  • 10-year Treasury yield closed at 1.482%, up 0.003 percentage point.

Biggest losers:

Asset Ticker Returns Sector
Internet Computer ICP −14.5% Computing
Cosmos ATOM −13.5% Smart Contract Platform
Chainlink LINK −12.6% Computing

 

Editor’s Note: 

Start investing In cryptocurrency with Bitxchange www.bit-xchange.org. If you’re new to the world of crypto and figuring out how to buy cryptocurrencies, then cryptocurrency exchanges like Bitxchange can help you to easily buy and sell crypto.

 408 total views

*Note We Deliberately Miss Spell Some Words or Add Capital Letters To Get Around Big Tech Censoring.

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on pinterest
Pinterest
Share on whatsapp
WhatsApp
Share on telegram
Telegram

Join www.truthbook.social our new social media platform backed by Independent Media. where you can speak the truth, and not be banned. Plus you'll receive $50 USD in www.truthcoin.social,the crypto currency backing the project, when you join, plus a lot more for sharing posts. www.truthbook.social

Truthbook.social offering hundreds of thousands in giveaways for those joining its new social media platform as many desert Facebook in droves because of censoring

Here is some of the current incentives being offered to new users

Subscribe for free to our ANR news emails and access 2 free ebooks plus Reports to share with family and friends about Covid fraud and the danger of the vaccines.

For ANR Smaller Donors please donate below to help fund our critical not for profit work. Together we can defeat mainstream media.

We are a not for profit Independent Media Company which survives off donations, even as little as $5 per month . Please donate now to help fund our work

Truthcoin Offer

$1000 USD turns into Now $7500 Truthcoin
$2,500 USD turns into Now $25,000 Truthcoin
$5000 USD turns into Now $65,000 Truthcoin
$10,000 USD turns into Now $150,000 Truthcoin
$15,000 USD turns into Now $250,000 Truthcoin
$50,000 USD turns into Now $1.15 Million Truthcoin
$100,000 USD turns into Now $2.5 Million Truthcoin

Leave a Reply

Your email address will not be published. Required fields are marked *

McIntyre Report
Political Talk Show

We are a not for profit Independent Media Company which survives off donations, even as little as $5 per month . Please donate now to help fund our work

Kylie Bartlett show

Craig Schulze Show

WHY WE NEED TO START SAYING NO TO GAIN OUR SELF RESPECT

Play Video

Raw Report

Ryan Jackson Saw show

Hero Nurse Exposes Government Policies Leading to Elder Abuse

ANR Conversations With Wayne Crouch and Lisa Johnston With Special Guest Simeon Boikov A.K.A the Aussie Cossack

Top 10 Crypto

in USD

in AUD

in GBP

in CAD

Jamie McIntyre

Truthbook.Social

Currency Exchange Rates in AUD

Live and updated every minute of the day

Current Price of Bitcoin 2.0
0.19 on Coinsbit

Nurses Speak Out

ANR Meme Report

with Nadine Roberts

Episode 002

21st Century Political System

Play Video

Editor's Pick

Enter email to receive ANR News articles, 2 free e-books, plus the Global Health Organisation Report

Download the Full PDF - THE COVID-19 FRAUD & WAR ON HUMANITY