• Bitcoin’s (BTC) social dominance has increased significantly since the start of 2021, with its market dominance increasing by 5% since January 1st.
• According to cryptocurrency social analytics platform LunarCrush, there are more people talking about BTC at its current market cap than at any other time.
• BTC’s Open Interest has also been in an uptrend since the start of the year, increasing by 63% in the last month.
Bitcoin’s (BTC) dominance in the cryptocurrency market has grown tremendously since the start of 2021, with the king coin’s price increasing alongside its social dominance. At the time of writing, its market dominance has increased by 5% since January 1st, and is currently at 44.18%.
Data from cryptocurrency social analytics platform LunarCrush revealed that the spike in BTC’s dominance and its price in the last 27 days has culminated in a spike in discussions around the king coin. According to LunarCrush, “there are actually more people talking about $BTC now than the last time it was at its current market cap.”
The king is not done just yet, as typically, a surge in a crypto asset’s social dominance while its price also increases can suggest euphoric sentiment among investors and traders. This usually indicates that the crypto asset’s price may be nearing a peak, and a drawdown in price may follow. However, an assessment of BTC’s performance on the daily chart revealed that the uptrend remains strong.
BTC’s Open Interest has also been in an uptrend since the start of the year, increasing by 63%, per data from Coinglass. An increase in an asset’s Open Interest suggests that more traders hold open positions in that asset. This can signal an underlying bullish sentiment among traders that can cause the asset’s price to increase further.
In conclusion, BTC’s social and market dominance have grown significantly since the start of 2021 and its Open Interest has also been increasing. This could suggest that the king coin’s price may increase further, as traders remain bullish on its potential.