Small Cap Altcoins Beat Bitcoin And Other Crypto Assets 10 To 1, But Why?

The Small Cap altcoins index has been outperforming the larger coins’.  NewsBTC reports that smaller caps are the most attractive investment over the last months. The smaller caps are still crushing the numbers, even though the bigger Caps have seen relief and recorded gains in March.

altcoins
Daily chart: Total cryptocurrency market cap of $2,1 Trillion| Source: TradingView.com

Performance of Small Caps is superior

According to data from the latest Weekly Report from Arcane Research, the whole crypto market has seen relief during March. Despite recent gains, however, the Small Cap Index has still outperformed all other indexes.

Below is a chart showing that Bitcoin and the Large Cap as well as Mid Cap indexes saw relevant gains between March 8-11%. The larger indexes, however, are trailing behind the Small Cap Index by 40%.

Source: Arcane Research

These gains are attributed to a handful of lead characters. Waves token has outperformed all the top 50 market-cap coins. The price has increased by 300% in the last month, which is a remarkable growth.

Source: Arcane Research

How is the Waves Token outperforming?

Waves, a worldwide open-source platform to decentralize applications, is available. Wave Labs, an American venture with a Miami headquarters, may have caused their native token to rise 50% within 24 hours. According to data, the token was the most successful of all the 50 top coins in terms of market cap over the week.

Source: Arcane Research

Wave Labs’ press release states that the venture will integrate Waves and leading blockchain protocols. It will also form an Ecosystem Fund, which will support Waves-related projects., and other strategic international plans aimed to become the “growth engine for the Waves ecosystem” so it can reach mass adoption.

“With the founding of Waves Labs, the ecosystem fund, and the extremely talented team in place, I do not doubt that Waves will reach mass adoption in 2022 and beyond,” Says Sasha Ivanov is the founder of Waves.

Waves 2.0 is the latest version The Waves Consensus is based upon Practical Proof-of-Stake Sharding, (PPOSS). has been gaining new attention as it promises a “highly scalable and EVM-compatible network” set to start this spring.

Waves is still relatively unknown in America compared with other Small Cap altcoins. However, there are many opportunities for Waves to expand. Investors might be attracted by this potential to generate higher returns.

Although small coins and projects can be more volatile and riskier than large coins such as Bitcoin and Ethereum, the volatility of smaller coins can mean they are more likely to grow and provide greater returns. The communities formed around Small Cap altcoins are committed to the coin’s trajectory and seeing an increase in its price.

Although they offer greater returns, altcoins with smaller amounts can crash very quickly.

Small Cap Altcoins Continue To March Ahead Of Bitcoin And Ether Gains| Small Cap Altcoins Continue To March Ahead Of Bitcoin And Ether Gains

Waves token is now more important. The WavesBTC pair just broke through its previous peak, hitting a new high. Traders have been long expecting an ‘alt season’ to happen soon and Waves’ movements could be seen as a bullish sign.

WAVESBTC reaches a new height | Source: TradingView.com

Altcoins is Coming to a Town!

Investors have long expected an altcoin boom to occur this year. As other digital tokens gain market dominance, altcoins may be able to take control of Bitcoin.

Bitcoin is making major moves as it breaks its three-month consolidation. An ascending bullish triangle pattern with an estimated target around $51k is being observed. In the crypto market, coins usually follow other coins’ moves. This means that Ethereum can follow Bitcoin’s price movements, and then other altcoins as well.

The same can happen for smaller coins. Altcoins that are outperforming others may be able to follow their lead. BTC’s ability to surpass its latest $48k high seems to be the key question. And as the report noted “the bitcoin dominance has been sitting at its highest levels since November,” and the time for altcoins might be around the corner if optimistic market sentiment continues.

Related Reading| Bitcoin Dominates Altcoins During War-Torn Month Of February

 

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