In just 2 months the total crypto market cap has risen from $175 billion to $303 billion, a 73% gain, simultaneous with the price of Bitcoin (BTC) rising 56% from $6,600 to $10,300. This is the first time that the total crypto market cap has exceeded $300 billion since the mini bull run that peaked in June and July.
Notably, the total crypto market cap has risen even faster than Bitcoin (BTC) in terms of percentage, indicating that altcoins are on average gaining even more than Bitcoin (BTC). Indeed, the Bitcoin (BTC) dominance percentage has declined from 69% to 62%, while the Ethereum (ETH) dominance percentage has risen from 7.1% to 9.5%. Most other top altcoins have seen strong gains as well, suggesting that ‘altseason’, i.e. an altcoin bull run, may have finally arrived.
There are a couple of fundamental factors which may be causing this crypto bull run which started 2 months ago. First off, the Bitcoin (BTC) block halving is coming in May, and there is plenty of speculation that this could lead to a major Bitcoin (BTC) rally since it will decrease selling pressure on the market.
The other factor may be the Coronavirus pandemic, which is causing a serious economic slowdown in China that could have negative ripple effects throughout the global economy, as discussed in a previous article on Crypto.IQ.
Regardless of the exact reasons for this rally, the one thing that is certain is that Bitcoin (BTC) and other major cryptocurrencies are by far the best performing assets of 2020 so far.