According to a study conducted by alternative data provider Indexica, Bitcoin no longer rules the roost in the cryptocurrency market despite its high dominance.
Bitcoin is not alone
The BTC price endured a massive plunge to the $8,000 level after the Bakkt launch. This made many wonder whether Jeffrey Sprecher’s new venture put a spanner in the works for Bitcoin bulls.
As reported by U.Today, JPMorgan analysts suggested that Bakk’s underwhelming trading volumes could have had a negative impact on the market. However, Indexica invalidates this theory by showing that Bitcoin’s price woes have more to do with rivaling cryptocurrencies and innovative Blockchain technologies.
For instance, Mastercard made an announcement about its partnership with enterprise-oriented blockchain firm R3 on Sept. 11. According to the study, the talk about this tie-up made the Bitcoin price surge above the $10,400 in the following days.
The silver lining
Indexica Zak Selbert clarified that the fact that competing altcoins can influence the price of Bitcoin is not necessarily bad news for the top cryptocurrency. He told Bloomberg that the crypto king is now treated as “a big kid” whose price can be moved by anything, comparing BTC to gold and other fiat currencies.
“Now that Bitcoin is a big kid, anything can make it move, just like anything can make gold or a G-10 currency move.”
Earlier, Indexica alleged that Bitcoin turned into a mature asset given it started to attract the attention of high-brow academics and market analysts.
Can altcoins influence the price of the crypto king? Share your take in the comment section!