Introduction: The Expanding Universe of Altcoins in Cryptocurrency

The digital currency landscape has evolved immensely since the advent of Bitcoin in 2009. While Bitcoin remains the flagship of the crypto world, a vast array of alternative cryptocurrencies, known as 'altcoins', have emerged to offer diverse solutions and use cases.

These altcoins, ranging from improvements on Bitcoin's protocol to completely novel architectures, capture the spirit of innovation in the crypto ecosystem.

The term "altcoin" encompasses every cryptocurrency other than Bitcoin. However, within this broad category, it's essential to exclude stablecoins - digital currencies pegged to stable assets like the US dollar.

By focusing on the total market capitalization of altcoins without stablecoins, we get a clearer picture of the true volatile and speculative nature of the crypto market. This perspective helps investors and enthusiasts gauge the genuine growth and potential of the innovative side of the crypto world.

Major Players: Highlighting the Top Altcoins by Market Cap

Ethereum (ETH):

Often dubbed the 'silver' to Bitcoin's 'gold', Ethereum has firmly established its position in the crypto space. Unlike Bitcoin, which is primarily seen as a store of value, Ethereum offers a platform for developers to create decentralized applications using its unique 'smart contract' functionality.

This versatility has led to a plethora of projects being built on its blockchain, making Ethereum a central pillar in the crypto ecosystem.

Binance Coin (BNB):

BNB began as a utility token for the Binance exchange, one of the world's leading cryptocurrency exchanges. However, its use case has significantly expanded.

Binance Coin is now pivotal in Binance's decentralized ecosystem, powering its decentralized exchange, facilitating transaction fees, and being utilized in various blockchain-based projects. Its meteoric rise is a testament to its utility and the strong backing of the Binance platform.

Ripple (XRP):

XRP, the native token of the Ripple network, stands out for its focus on facilitating real-time, cross-border payments for banks and financial institutions.

Unlike most cryptocurrencies which aim to bypass traditional banking systems, XRP works in tandem with them. This bridge between the crypto and traditional finance worlds has positioned XRP as a leading player in the digital currency arena.

Cardano (ADA):

Founded by one of the co-creators of Ethereum, Cardano is a blockchain platform that emphasizes research-driven development and peer-reviewed designs.

Prioritizing sustainability, scalability, and transparency, ADA, the platform's native currency, has garnered significant attention. Its layered architecture and focus on rigorous academic research set it apart from other altcoins.

Dogecoin (DOGE):

What began as a meme-inspired joke has turned into one of the most recognized cryptocurrencies worldwide. Dogecoin's playful image, combined with its passionate community, has led to several viral internet campaigns, increasing its popularity and adoption.

While it may not have the extensive utility of other altcoins, its cultural impact in the crypto community is undeniable.

Factors Influencing the Altcoin Market Cap's Ebb and Flow

In the ever-evolving cryptocurrency landscape, the altcoin market cap's dynamic movements can seem like a maze to newcomers. Several factors influence these fluctuations and understanding them can be crucial for both enthusiasts and investors. Here are some primary determinants:

Market Sentiment:

At the heart of price volatility in the altcoin sector is market sentiment. News, regulatory changes, technological advancements, or even celebrity endorsements can swing the market either way. Positive news tends to drive prices up, while negative news can lead to rapid declines.

Bitcoin's Performance:

Given Bitcoin's dominance in the cryptocurrency market, its performance often sets the tone for altcoins. When Bitcoin's price soars, it can lead to increased confidence in the broader market, often benefitting altcoins. Conversely, a sharp decline in Bitcoin's value can send ripples across the altcoin market.

Technological Developments:

The introduction of new features, updates, or significant technological breakthroughs related to a specific altcoin can significantly influence its market cap. Innovations that enhance scalability, security, or utility are often seen as positive triggers.

Regulatory Environment:

As governments and regulatory bodies worldwide grapple with how to classify and manage cryptocurrencies, their decisions can have vast implications for the altcoin market. A friendly regulatory stance, such as clear guidelines or favorable policies, can foster growth. Conversely, strict regulations or outright bans can impede market expansion.

Adoption Rates:

As more businesses, financial institutions, and industries integrate and accept altcoins, their inherent value and market cap can rise. Mainstream adoption is a clear indicator of trust and utility and can play a pivotal role in an altcoin's long-term trajectory.

Traders' Toolkit: Leveraging Altcoin Market Cap for Optimal Strategies

Classical TA

Like most charts, Classical technical analysis can be performed on the altcoin marketcap chart. This includes support and resistance. The altcoin marketcap excluding stable coins chart respects support and resistance to a great degree.

Using this technical analysis is another useful indicator to traders. When the altcoin market cap chart visits former resistance or support, the likelihood of all altcoins either falling or jumping from that zone increases depending on the significance of the zone. Let’s take a look at some zones down below.

Altcoin Marketcap Chart Support and Resistance

Patterns in the Altcoin Market Cap Excluding Stable Coins Chart

The altcoin market cap can also be a tool to perform technical analysis on the broader altcoin market. The metric follows certain patterns which create a field of probability that a trader can look at. Some patterns have a higher probability of going in one direction than the opposite direction.

Take for example, falling wedges. These patterns have a 70% chance of breaking upwards and a 30% chance of breaking downwards. Thus, when we see this pattern in the altcoin market cap excluding stable coins chart, it is likely that the entire market is going to go upwards (70% chance).

We can see various other patterns In the altcoin market cap chart image below.

Alt Marketcap Chart Patterns

Why Excluding Stable Coins? Unveiling the Real Altcoin Market Cap

Stablecoins, by design, are created to resist the notorious volatility inherent in the wider cryptocurrency market. They achieve this stability by pegging their value directly to traditional and more predictable assets, such as the US dollar, gold, or even other fiat currencies. But when we set out to grasp the real pulse, vitality, and potential of the altcoin market, it becomes crucial to separate these steady players from the mix.

Excluding stablecoins from the altcoin market cap provides a more transparent view of the market's genuine risk and reward dynamics. Without the calming influence of stablecoins, we can observe the raw performance, volatility, and speculative nature of altcoins. This perspective allows for a clearer understanding of market trends, investment potential, and the innovation that propels the sector.

Furthermore, focusing on the market cap of altcoins without stablecoins emphasizes the pioneering technologies and novel use cases that various projects bring to the table. It accentuates the groundbreaking potential of blockchain and its myriad applications, allowing enthusiasts, developers, and investors to gauge where true value and innovation lie in the vast sea of cryptocurrencies.

Stable Coins Excluded in the Altcoin Market Cap Chart Metric

In assessing the total altcoin market cap, certain prominent digital currencies are intentionally left out to present a clearer picture of the market's dynamics. This exclusion, focusing on some of the most influential and widely recognized coins, provides a refined perspective on the true speculative and innovative nature of the altcoin arena. Here are all of the Stable Coins Excluded

Major Stable Coins Excluded

  • USDT
  • USD Coin(USDC)
  • DAI
  • BUSD
  • FRAX
  • True USD(TUSD)
  • Terra Classic USD(USTC)
  • PAX Dollar(USDP)

Other Stable Coins Excluded

  • USDD
  • Gemeni Dollar(GUSD)
  • FRAX
  • USDJ
  • Liquidity USD(LUSD)
  • Stasis Euro(EURS)
  • Venus USDC(vUSDC)

Other Stable Coins Excluded

  • VAI
  • sUSD
  • sUSD
  • Steem Dollars(SBD)
  • Venus USDT(vUSDT)
  • USDK
  • Euro Coin(EUROC)
  • HUSD
  • Reserve(RSV)
  • Celo Euro(CEUR)
  • And Many More!