(FinancialPress) — Second-tier cryptocurrencies are beginning to close the market share gap on leader bitcoin, as prospects like stellar and cardano began trailing a blazing hot path as 2017 winded down.
Only a month ago, bitcoin enjoyed a whopping 57% share of the crypto market. The number has since dropped to approximately 37%, as per data provided by CoinMarketCap. Stellar, a cryptocurrency tailored for cross-border payments, has reached a record height of over $13 billion.
This sort of action raises questions regarding the impact that speculators will have in driving up “class b“ digital coins at the expense of bitcoin – even when their purposes are diametrically different. On paper, the combined value of all cryptocurrencies has doubled to almost reach $700 billion in the past 30 days.
Correlation has become one of the measuring sticks of relative performance for altcoins, as their movements have historically remained in step with bitcoin. This metric is born from the need to analyze value for digital assets that can‘t have traditional techniques applied to the, such as profit and dividend potential for equities, or industrial-demand outlooks for commodities.
Despite the fact that there were several periods of disharmony, in the grand scheme altcoins seem to be oscillating in unison – shows a Bloomberg survey of more than 5,000 data points taken from CoinMarketCap and CoinCap prices. Now that bitcoin rivals are gaining more ground, the focus point is if they continue to move mostly in sync, as they have been doing for the most part since their early days.