Against the backdrop of geopolitical risks and regulation, Bitcoin reached a record 65% market dominance. Altcoins face difficulties while institutional investments grow.
Bitcoin's Record Market Share
As of June 30, Bitcoin's market share soared to 65%, the highest for 2025. This marks a 10% increase from January's level. Meanwhile, the total market cap of altcoins shrank to $1.06 trillion.
Reasons for Bitcoin's Increasing Dominance
Geopolitical risks such as escalating conflicts in the Middle East and hawkish statements from the Federal Reserve have led to increased investment flows into Bitcoin. In June, there were net inflows of $11.3 billion into Bitcoin spot ETFs.
Altcoins in a Liquidity Crisis
Altcoins are facing a liquidity crisis. The ETH/BTC ratio has dropped to 0.024, nearing the critical level of 0.02. Daily trading volumes for altcoins have shrunk to $18 billion, which is only 28% of Bitcoin's trading volume.
Bitcoin's achievement of 65% dominance presents new opportunities but also risks for altcoins. Investors must balance their positions between Bitcoin and promising altcoins.
