The cryptocurrency market is witnessing a significant shift as investor interest broadens beyond Bitcoin, which currently accounts for nearly 60% of global crypto value. Since 2023, the market capitalization of cryptocurrencies excluding Bitcoin has surged by 175%, with Ethereum growing by 142% during the same period. This expansion reflects a growing appetite for diverse digital assets offering various use cases, such as decentralized finance (DeFi) applications.
Indices like the CoinDesk 20 Index are emerging to provide investors with diversified exposure to the crypto market. The index, which represents 90% of the total crypto asset market share, is designed to adapt to the evolving landscape by rebalancing quarterly and capping asset concentration. This approach aims to mirror the diversification seen in traditional finance, offering a structured way to navigate the complex and rapidly changing crypto ecosystem.
Crypto Diversification Expands Beyond Bitcoin Amid Market Growth
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