Bitcoin Dominance Approaches 60%

The percentage of Bitcoin’s market value compared to the overall cryptocurrency market, known as Bitcoin dominance, has reached a new yearly high of 58% amidst a decline in both crypto and stock markets.

This surge in dominance was seen in the early hours of August 5, as Bitcoin fell 10% in a span of two hours, while Ether dropped by as much as 18%.

According to IG Markets analyst Tony Sycamore, this downturn is a reminder that Bitcoin and other crypto assets are considered high-risk investments.

This can be attributed to fears of a potential recession and military tensions, such as the recent exchange of rockets between Israel and Hezbollah and the US increasing their military presence in the region.