Cryptocurrency Market Cap Jumps $1.5 Trillion, Bitcoin Not as Hot as Ether!

The total market capitalization of cryptocurrencies increases by about $1.5 trillion in 2021, with bitcoin's share of the crypto market shrinking significantly in 2021 as other tokens soar, despite rising by more than 60% this year. In response, Vijay Ayyar, head of Asia-Pacific at Singapore-based cryptocurrency exchange Luno, said the downward trend in bitcoin's dominance is likely to continue next year given the explosive growth of assets in the crypto space and the variety of use cases.

Cryptocurrency Market Cap Surges

The total market capitalization of cryptocurrencies grew by about $1.5 trillion in 2021 and at one point was nearly $3 trillion long, reaching about $2.3 trillion as of Dec. 17, according to data from tracker CoinGecko.

Bitcoin's Declining Dominance

As Figure 2 shows, Bitcoin's market share has shrunk this year, while Ether's market share has nearly doubled.