In a quarter that began with Bitcoin’s recovery from its largest one-day decline in seven years, punctuated by the halving of its share price, and ended with a two-month period of stability, one would think that Altcoin would get a boost. Well, they did not. At least not for all the altcoins, but the largest of them had a massive increase.
According to CoinGecko’s recently published quarterly report, Ethereum saw its dominant position in the cryptocurrency market increase by 1.6% in the second quarter of 2020. Despite a drop to $80 on some exchanges at the height of the March 12 crash, Ethereum experienced a strong recovery, allowing it to take a larger share of the overall market. Ethereum, although its market capitalization is less than one-fifth that of Bitcoin, represents 10.2% of the overall market.
Bitcoin, although ending the quarter at $3,500 higher than the price at the beginning of the quarter, increased by 0.3%, placing it at 68.1% market leadership, according to the report.
While the increase in Bitcoin’s catch was expected in view of the price recovery and the absence of a significant price drop from April to May, for Ethereum the coast was not entirely clear. On June 24, more than 789,500 Ethereum, for an amount of $186 million, were transferred to an unknown portfolio, with the market expecting dumping, which lowered the price of Altcoin. On June 10, an Ethereum transaction of $134 or 0.55 ETH was sent with a transaction fee of $2.5 million or 10,668 ETH, in what was a blunder but still detrimental to Ethereum’s image
The cumulative increase in market dominance for the two major cryptocurrents was 1.9%, or more than $5 billion, and most of that increase came from XRP’s share, taking into account the losses of the fourth cryptocurrency. In a quarter in which XRP fell from third to fourth place, its dominant market position fell by 1.3%, representing $3.4 billion of the overall market position
Despite the deployment of numerous regional developments by Ripple and the increase in its individual currency exchanges, compared to the two major cryptocurrencies in the market, the coin’s market share fell significantly, even in a bullish quarter.