Bitfinex Says Altcoins Market Cap Hit $788B This Month

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Over the past week, the price of Bitcoin has dropped by approximately 12.5%. However, the decline of the largest cryptocurrency has actually led to a more stable outlook for other digital currencies, according to analysts at Binfinex exchange.

In mid-March, the total market value of altcoins reached a high of $788 billion, and then hit a historic peak of $837.5 billion in April 2022.

Despite the fall in BTC, the Total3 index, which measures the performance of digital currencies other than Bitcoin and Ethereum, has been steadily rising since the beginning of 2024, reaching a local high last week.

This indicates that altcoins are holding up better compared to Bitcoin, as investors have diversified their portfolios towards smaller and medium-cap digital currencies, reducing their reliance on Bitcoin.

Additionally, the Bitfinex exchange has noticed a stabilization of the spot Bitcoin ETF market, suggesting that the influx of funds into crypto funds has also stabilized. This could indicate a decrease in enthusiasm among institutional investors entering the new instrument.