Zinger Key Points
- Bitcoin dominance reaches two-year high.
- DeFi sector tokens have been down, as well as the metaverse and play-to-earn tokens.
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In the second quarter of 2023, Bitcoin BTC/USD demonstrated a strong performance, gaining market dominance over altcoins, according to a report.
Despite the crypto market experiencing a downturn, Bitcoin and Ethereum ETH/USD continued to build on their gains from the first quarter.
Other major cryptocurrencies such as Binance Coin BNB/USD, Ripple XRP/USD and Cardano ADA/USD experienced significant losses during the same period.
These losses were largely attributed to lawsuits filed by the U.S. Securities and Exchange Commission (SEC) against Binance and Coinbase, labeling Binance Coin and Cardano as securities.
The DeFi sector was also hit hard, with tokens like Uniswap UNI/USD, Chainlink LINK/USD and Lido LDO/USD suffering double-digit losses.
Also Read: Crypto Entrepreneur, Tron Founder Justin Sun Faces Lawsuit Over TrueUSD Acquisition
Similarly, the top five metaverse and play-to-earn tokens, including Axie Infinity AXS/USD, Sandbox SAND/USD and Decentraland MANA/USD, also saw losses of up to 40%.
Despite these losses, Bitcoin's dominance increased to a two-year high of just over 52% in late June.
It has since dropped back below 50% due to a recent altcoin rally driven by Ripple's partial court victory.
CoinGecko's report also highlighted the total market cap remained steady for the quarter, ending where it started at $1.2 trillion.
Bitcoin was the standout performer, outperforming the rest of the market with a gain of almost 7%, despite a 58.7% decline in its average daily trading volume from the previous quarter.
The report concluded by stating, "After a stellar Q1, Bitcoin still outperforms most major asset classes in Q2, only lagging behind the NASDAQ and S&P500."
It also suggested that hopes for an early "altseason" are dwindling as Bitcoin continues to reign supreme in the crypto market.
Read Next: Ripple's Legal Victory Will Be A Rising Tide For The Crypto Industry, Says Cantor Fitzgerald Report
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