You know how everyone always compares the cryptocurrency bubble to the dot-com bubble? Well, now the former is officially worse than the latter.
As reported by Bloomberg, yesterday saw the MVIS CryptoCompare Digital Assets 10 Index drop to a low of 80 percent from its all-time high in January 2018. This collapse is now officially worse than the infamous ‘dot-com bubble,’ which saw the Nasdaq Composite Index implode to 78 percent losses in 2000.
That fact is displayed clearly in the following chart from the privately held financial, software, data, and media company:
Like the dot-com bubble from the start of the previous decade, the weaker players in the cryptocurrency market are getting flushed out — or, ‘as the kids say,’ thoroughly rekt.
Not only the proverbial sh*tcoins are going down the drain, however. Market leaders like Ethereum (ETH), Ripple (XRP), Bitcoin Cash (BCH), and Cardano (ADA) are all hemorrhaging. In fact, only Bitcoin is managing to maintain some semblance of value under current market conditions — maintaining (though, just barely) key support above $6,000 per coin.
Neil Wilson, chief market analyst in London for Markets.com, told Bloomberg:
It just shows what a massive, speculative bubble the whole crypto thing was — as many of us at the time warned. It’s a very likely a winner takes all market — Bitcoin currently most likely.
It is hard to disagree with Wilson’s sentiment. Bitcoin is the most tried, true, and well-known cryptocurrency — and its current increase in dominance only reinforces why it is the market leader.
What do you think about the comparison between the cryptocurrency bubble and the dot-com bubble? Will Bitcoin be the winner that takes all? Let us know your thoughts in the comments below!
Images courtesy of Shutterstock, Bloomberg.
[Disclaimer: This article is not intended as financial advice. BeInCrypto is not responsible for any investment decisions made after reading this article.]