Report: Bitcoin Dominates the Cryptocurrency Market in 2019 with a 66% Market Share, Up 11% Year-on-Year

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Report: Bitcoin Dominates the Cryptocurrency Market in 2019 with a 66% Market Share, Up 11% Year-on-Year

The "Digital Assets Data Year in Review Report 2019" reviewed the cryptocurrency market in 2019. According to the report, the cryptocurrency market showed seasonal trends throughout the year, presenting a "cold-hot-cold" pattern. In the first half of the year, the entire cryptocurrency market started to warm up, with the market value of cryptocurrencies represented by Bitcoin rising, and the market also saw an influx of investments. As summer approached, the market began to weaken, and the market enthusiasm subsided. As autumn arrived, regulatory signals from major countries such as China and the United States accelerated the cooling of the market.

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According to the performance of the top five cryptocurrencies by market value, Bitcoin has been the best performer among various cryptocurrencies, showing a steady upward trend overall. In the first half of this year, Litecoin (LTC) performed well, but its market value gradually declined after the halving. XRP has been the most severely affected in terms of losses among the top five cryptocurrencies.

Bitcoin dominated the cryptocurrency market share in 2019, accounting for 66%, an 11% increase year-on-year. In addition, tracking the price of "Bitcoin" through Google searches reveals a strong correlation between the two, with significant performance seen in mid-July. When Bitcoin reached its highest price of $12,500 this year, its Google search volume also reached its peak for the year.

It is worth mentioning that the report offers an opinion on whether "Bitcoin is digital gold." The report mentions that the discussion of Bitcoin as "digital gold" has fueled a bull market for Bitcoin this year. According to statistics, the total capital in the gold market is approximately $8 trillion, while Bitcoin's total capital at the end of 2019 was around $130 billion. If investors start accepting Bitcoin as a store of value, only a small portion of the market capitalization would be able to bring meaningful price increases for Bitcoin.

Gold has historically been used by investors to hedge against global economic uncertainty risks. Last year, Bitcoin returns and gold have shown a positive correlation, implying that Bitcoin seems to have a store of value function and can serve as a hedge asset. However, this year, perhaps due to a large influx of capital, this correlation has shown a negative trend.

This article is from our partner PANEWS

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