- Bitcoin’s attempted recovery over the past 24 hours suffered a minor setback with the current decline.
- A lot of BTC is now piled up with no buyers in sight.
Most recently Bitcoin [BTC] The price has seen a downturn, although there have been attempts to narrow the gap in the last trading session.
In addition to the price drop in recent days, the market dominance of the king coin has also decreased. Furthermore, Over the Counter (OTC) balances continued to rise as the price fell.
BTC dominance is declining
Recently, Bitcoin’s dominance in the cryptocurrency market has declined significantly as it has struggled to maintain its value.
AMBCrypto’s analysis showed that at the end of the trading session on June 24, BTC dominance was above 54%.
However, by the end of the next day, June 25, this had dropped to around 52.28%.
This rapid decline within 24 hours suggested that while Bitcoin lost value, some altcoins performed relatively better and gained market share.
Source: CoinMarketCap
At the time of writing, BTC’s dominance has decreased slightly, but still hovered around 53%.
This level of dominance indicated that Bitcoin was still responsible for more than half of the total cryptocurrency market capitalization.
Bitcoin dominance over other assets
Bitcoin’s market cap at the time of writing was over $1.2 trillion, while the total cryptocurrency market cap was around $2.27 trillion.
Ethereum [ETH] has the second largest market dominance, accounting for almost 18% of the total market capitalization.
The analysis found that changes in BTC’s price and performance can significantly impact the distribution of its market capitalization among different cryptocurrencies.
More Bitcoin Hits Reserves
According to recent data from CryptoQuantThere has been a noticeable increase in the volume of Bitcoin held in Over the Counter (OTC) reserves.
Over the past six weeks, more than 103,000 BTC, valued at over $6 billion based on current prices, have been added to these reserves. This accumulation indicated a significant increase in the OTC reserve balance.
The continued increase in OTC reserves indicated a lack of buyers at the moment, which could be attributed to the recent decline in Bitcoin’s price.
This price drop may deter potential buyers, leading to an accumulation of reserves.
Read Bitcoin’s [BTC] Price forecast 2024-25
The dynamic between falling price and increasing OTC reserves underlines the cautious stance of larger market participants during periods of price volatility.
At the time of writing, Bitcoin was trading at around $61,680 on a daily timeframe chart. It traded with a small decline of less than 1%.