Bitcoin Dominance: Traders Preferring The OG To Dogecoin & Other Altcoins

On-Chain Data Highlights Influx of Bitcoin Investors, Altcoin Slowdown

Recent on-chain data from Santiment suggests that Bitcoin has experienced a surge in investor interest, while altcoins such as Dogecoin, Cardano, and others have witnessed a slowdown.

Bitcoin Total Amount of Holders Rise While Altcoins See Flat Movement

According to Santiment, the "Total Amount of Holders" metric for Bitcoin has seen a sharp increase. This metric tracks the number of addresses with non-zero balances on the network.

A rise in this indicator can be attributed to factors such as adoption, with new users creating addresses, or old investors returning to reinvest. Additionally, investors spreading their holdings across multiple wallets for privacy reasons can also contribute to the increase.

Historically, adoption has been a positive sign for blockchain projects in the long term. Conversely, a decline in the Total Amount of Holders indicates investor exits.

Chart: Total Amount of Holders for Top Cryptos

As the chart shows, Dogecoin experienced rapid adoption in early 2024, but this growth has since plateaued. Other altcoins like Chainlink and Cardano have also exhibited flat movement in the metric.

In contrast, Bitcoin has seen a more or less flat trend in the number of investors for most of the year, but has recently experienced an uptick in the metric.

It is possible that investors were initially drawn to Dogecoin and other networks, but with the recent bearish market conditions, traders are returning to the original cryptocurrency.

Overall, DOGE's holders have still increased by 13.8% in the past three months, while BTC's growth stands at 2.6%. Cardano is one of the few networks that have observed a slight decline (0.1%) in the Total Amount of Holders during this period.

BTC Price

Bitcoin has struggled to sustain any recovery, with its price currently around $63,000 after the latest failed attempt.

Disclaimer: This article is for educational purposes only and does not constitute investment advice.