TOP 50 CRYPTOS
ONE YEAR AFTER THE TOTAL MARKET CAP PEAKED
IntroductionIt was on January 8, 2018 when the overall crypto market cap reached its peak of 828.5 billion USD. It was the peak of a phase of seemingly never-ending euphoria, and cryptocurrencies were said to be the new financial paradigm. From that point on, the cryptocurrency market moved into a totally different direction, with many coins/tokens losing over 90% of their fiat value in less than a year. In this article, I will take a look the TOP 50 cryptocurrencies at the peak and how they are positioned on the exact same day one year later.
TOP 50A comparison between different years for cryptocurrencies can be done with different parameters. You can base the calculation on the price, but that doesn’t consider (logical) price declines due to increases in circulating supply. The market cap of a cryptocurrency should therefore be better suited for a comparison, since it both includes price and circulating supply. The market cap itself is often referred to in USD, but due to most altcoins’ fiat value depending on Bitcoin’s fiat value, comparing the market cap in BTC should give better insights on how a coin performed over time, than it’s fiat value. Accordingly, in the following you can find the market cap of the TOP 50 cryptocurrencies on January 8, 2018 compared to their market cap in BTC on January 8, 2019.
InsightsAs we can see, there are only four coins in last year’s TOP 50, whose market cap was worth more in BTC, than it was one year later. EOS’ market cap gained 66.6% in Bitcoin, Binance’s market cap gained 80.8% and stablecoin Tether’s market cap gained 388% in Bitcoin value. Bitcoin’s market cap was also worth more (in terms of BTC) than it was one year ago, due to an increase in circulating supply. The market cap of all other 46 coins/tokens lost value against BTC, some less (Stellar lost only 21%), some more (DENT lost 90%). 36 coins remained in the TOP 50, while five coins even moved out of the TOP 100. One coin died completely, which is the infamous Bitconnect. On average, the market cap of coins/tokens in the TOP 50 lost 50.4% in Bitcoin value.
Price in fiat valueThe peak of the overall crypto market cap also meant a peak for most coin’s prices. With BNB, EOS and USDT, only three coins would have gained value against BTC, if you had invested in them at the peak of the market. But even they couldn’t gain value against USD. Besides stablecoin Tether, the best investment from a perspective of keeping your fiat value would have been Binance coin – it’s price in USD went down “only” 63.4%. If you would have invested an equal amount in each TOP 50 coin at the peak, you would have lost 88.9% of your fiat value compared to exactly one year later.
Wrap-upThe cryptocurrency market peaked at January 8, 2018. A comparison between the valuation of coins/tokens on this day and one year later is best done by comparing their market cap in Bitcoin value. At the peak, only an investment in Binance Coin, EOS and USDT would have gained value against BTC, while the average market cap of TOP 50 cryptocurrencies lost 50.4% of its value in Bitcoin. Talking about the TOP 50’s price valuations in USD is even more devastating: Binance coin lost the least with only 63.4% of its USD value, while the TOP 50 cryptocurrencies on average lost 88.9% of their USD value.
Let’s hope for a better 2019.