---
title: "As Bitcoin Nears Record Highs, $500B Missing from Altcoin Markets"
url: https://diffcoin.com/as-bitcoin-nears-record-highs-500b-missing-from-altcoin-markets/
description: "When Bitcoin prices peaked during the last market cycle, altcoins were surging. It hasn’t happened this time."
published: 2024-10-30
updated: 2024-10-30
author: "Mila"
site: "Diffcoin"
---

# As Bitcoin Nears Record Highs, $500B Missing from Altcoin Markets

The last two times bitcoin prices made new all-time highs, total crypto market capitalization was around $3 trillion. On Nov. 10, 2021, the metric topped $3 trillion when BTC hit its cycle peak of $69,000.

Total capitalization also neared the $3 trillion mark in March this year when the asset made its all-time high of $73,738.

However, as BTC closes in on new price discovery again this week, total capitalization remains at around $2.5 trillion. This means that altcoin markets are down around $500 billion from previous peaks.

## So What is Different?

The major drag on total capitalization at the moment is Ethereum, which has vastly underperformed this year. During the last bull market peak, ETH market capitalization reached $570 billion when the asset hit its peak price of $4,878 on Nov. 10, 2021.

In March of this year, ETH market capitalization reached $490 billion, and the asset topped $4,000. However, its market cap at the moment is just $317 billion, with prices failing to break resistance at $2,650, down 46% from their peak three years ago. Some traders remain unperturbed, however, viewing the lull as an accumulation zone.

> [$ETH](https://twitter.com/search?q=%24ETH&src=ctag&ref_src=twsrc%5Etfw)
> 
> As mentioned before, 30% of my total spot portfolio is in Ethereum – Not without a reason.
> 
> Beautiful accumulation. [pic.twitter.com/c2iaLgWcEQ](https://t.co/c2iaLgWcEQ)
> 
> — TraderPA (@Trader1PA) [October 29, 2024](https://twitter.com/Trader1PA/status/1851186624245166233?ref_src=twsrc%5Etfw)

Ethereum is not the only altcoin dragging its digital feet. Most of the high-cap crypto assets are down significantly from their peaks. Solana (SOL) is 31% down, XRP is 85% down, Dogecoin (DOGE) is 76% down, Toncoin (TON) is 39% down, and Cardano (ADA) is a whopping 88% away.

Other previously high-cap altcoins such as Polkadot (DOT) have collapsed 92% from their peak price while Shiba Inu (SHIB) is down 78%.

The only altcoin even close to its peak that was in the top ten in 2021 is Binance Coin (BNB), which is 16% away from a new price high.

This altcoin market cap drag comes despite a surge in stablecoin capitalization, which is currently $177 billion, up from around $120 billion in late 2021. Analyst James Check noted the impact of the stablecoin market cap, stating that it is “actually worse for altcoins” than it appears.

## Bitcoin Dominance Tops 60%

The altcoin crush and lack of momentum for most crypto assets indicate a lack of retail participation at the moment.

This is further evidenced by the surge in institutional Bitcoin ETF flows, which have seen more than $2 billion worth of inflows over the past five trading days.

Moreover, Bitcoin dominance has now topped 60% for the first time since March 2021, according to Tradingview. However, some analysts are confident that altseason is just around the corner.

> Altseason is about to start any moment now. [pic.twitter.com/pHK11MVjF5](https://t.co/pHK11MVjF5)
> 
> — Mister Crypto (@misterrcrypto) [October 29, 2024](https://twitter.com/misterrcrypto/status/1851268250036064723?ref_src=twsrc%5Etfw)

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