Investing.com — has fallen almost 50% from its $64,000 levels in April 2021 to a little over $33,000 today. Data from CoinMarketCap shows that Bitcoin’s share of the total cryptocurrency market capitalization has fallen from 70% in January 2021 to 44% right now.
The cryptocurrency market has been under a severe attack from China since June. The central bank has been going after companies related to crypto, even software companies that play a support role.
Until this imbalance is fixed, the crypto bear market will continue says Nikolaos Panigirtzoglou, an analyst at JPMorgan (NYSE:). “A healthy number there, in terms of the share of bitcoin as a percentage of the total cryptocurrency market cap, is 50% or above. I think that’s another indicator to watch here in terms of whether this bear phase is over or not,” he told CNBC.
He added that as Bitcoin price ran up in April, institutional investors took to . “There has been a divergence between Bitcoin and other cryptocurrencies. There was also some institutional interest from Bitcoin into Ethereum back in April, and now we are seeing the opposite,” he said.
On Thursday, Ethereum fell over 10% to $2,134. It was the largest one-day percentage loss since Monday, June 21, 2021. Does this mean investors are starting to look at Bitcoin again?