have an account?【sign in】Altcoin Market Cap Dominance TradingView: An Analysis of Altcoins in the Crypto Marketplace
bastinauthorAltcoin Market Cap Dominance on TradingView: An Analysis of Altcoins in the Crypto Marketplace
The cryptocurrency market has experienced rapid growth in recent years, with new altcoins being launched and emerging as viable alternatives to Bitcoin (BTC). Altcoins refer to all other cryptocurrencies other than Bitcoin, and their market cap dominance is an important metric in understanding their impact and potential value. This article will provide an analysis of the altcoin market cap dominance on TradingView, a popular platform for crypto traders, to gauge the performance and potential of these digital assets in the crypto marketplace.
Market Cap Dominance
Market cap dominance is the percentage of a cryptocurrency's market capitalization that represents its total volume. It is calculated by dividing the cryptocurrency's market cap by the total market cap of all cryptocurrencies. A high market cap dominance indicates that a significant percentage of trading volume is driven by a single cryptocurrency, while a low market cap dominance suggests that trading volume is spread more evenly across the market.
Analysis of Altcoins on TradingView
TradingView is a popular platform for crypto traders, with over 14 million users as of October 2021. It allows users to create custom charts, track the performance of various assets, and perform technical analysis to make trading decisions. By analyzing the market cap dominance of altcoins on TradingView, we can gain insights into their overall performance and potential in the crypto marketplace.
The top five altcoins by market cap dominance on TradingView as of October 2021 were:
1. Polygon (MATIC): A Ethereum-based smart contracts platform, Polygon has a market cap dominance of 14.1%. Its success can be attributed to its integration with popular decentralized applications (DApps) and its ability to improve on-chain efficiency for Ethereum transactions.
2. Aave (AAVE): A DeFi (decentralized finance) protocol that allows users to create yield-bearing loans, Aave has a market cap dominance of 11.1%. Its popularity is driven by its innovative financial products and its ability to support multiple assets, including stablecoins and crypto assets.
3. Chainlink (LINK): A smart contract platform that enables oracles to provide reliable data for smart contracts, Chainlink has a market cap dominance of 10.5%. Its success can be attributed to its robust infrastructure and its ability to bridge blockchain networks, enabling interoperability between different tokens and platforms.
4. Cosmos (ATOM): A blockchain-based platform designed to facilitate inter-blockchain communication, Cosmos has a market cap dominance of 9.8%. Its ability to connect decentralized applications and protocols has made it a popular choice for developers looking to create secure and efficient cross-chain solutions.
5. Solana (SOL): A blockchain platform designed for fast, secure, and scalable transactions, Solana has a market cap dominance of 9.2%. Its innovation in allowing secure smart contract deployment and cross-chain communication has made it a favorite among DeFi developers.
The altcoin market cap dominance on TradingView indicates that a select few cryptocurrencies are driving the majority of trading volume in the crypto marketplace. This trend suggests that these altcoins have the potential to become mainstream and play a significant role in the future of crypto and digital assets. However, it is important to note that market cap dominance does not necessarily translate to actual value or long-term success. Investors and traders should also consider other factors, such as technology, innovation, and market adoption, when evaluating the potential of these altcoins.