Altcoins are Turning Green as Bitcoin Rises Above $29k

Bitcoin price coiled tighter around $29K. Altcoins like ETH and BNB are turning green

With AI cryptocurrencies taking over the market, many thought that Bitcoin and other top altcoins will continue their losing streak in Q2 as well. However, the king of all cryptos successfully managed to break the $29k barrier once again, gaining 0.41% to US$29,244.87 in the 24 hours to 10:30 a.m. (IST), according to CoinMarketCap data. The world's largest cryptocurrency has gained 2.56% over the past 30 days. The total crypto market capitalization relinquished 0.12% in the past 24 hours to US$1.20 trillion, and the trading volume dropped 20.05% to US$34.17 billion.

Bitcoin will Rule Once Again

When people have trouble in traditional markets, they tend to focus on alternative investment options like cryptocurrencies. Recently, many developing/developed countries have been fighting staggering inflation, the failure of several banks, and more which led to a surge in Bitcoin price. In the last 3 months, BTC's price increased by about 25.09% and some voices claim that the coin may be close to $100K by 2025.

Bitcoin value fluctuations that have been perceived over time are mostly affected due to the crypto market trend. When a particular cryptocurrency coin is broadly discussed in the media, its demand increases dramatically. The increasing demand for the coin inevitably leads to an increase in the coin's price when there is a shortage of coins. Along with this, the crypto coins get affected by external factors like rising interest on value gains in crypto.

Ethereum's Robust Community

Ethereum (ETH), the second-largest cryptocurrency in the world, gained 0.84% to US$1,896.86 but witnessed a drop of 0.27% in the past seven days. One of the key drivers of Ethereum's popularity is its strong community of developers and supporters, who continue to innovate and push the boundaries of what is possible with decentralized technology.

Its Proof of Stake protocol uses less energy by doing away with users doing complex and energy-intensive math problems to users who stake their crypto as collateral. The network then uses the users who have staked their assets to validate transactions and build new blocks in the blockchain.

Altcoins for the Win

Ethereum is undoubtedly the most well-known altcoin on the crypto market, but it is not the only option. Instead of jumping in on ETH, one can consider crypto projects like BNB which is the winner this week. Rising 1.03% to US$329.36 and bumping up its monthly gains by 3.47%.

XRP, an open-source cryptocurrency that uses an open-source distributed ledger called the XRP ledger, has witnessed a massive price surge in the past 30 days. It is the native coin of Ripple, which is an enterprise blockchain company that facilitates global transactions. The creators claim that XRP was built for payments and can settle transactions faster than most other cryptocurrencies securely and efficiently.

On the other hand, Solana is a highly functional open-source project that banks on blockchain technology's permissionless nature to provide decentralized finance (DeFi) solutions. The Solana protocol is designed to facilitate decentralized app (DApp) creation. It aims to improve scalability by introducing a proof-of-history (PoH) consensus combined with the underlying proof-of-stake (PoS) consensus of the blockchain. Because of the innovative hybrid consensus model, Solana enjoys interest from small-time traders and institutional traders alike.