Crypto Investors Dump Small Caps For Blue Chips Like Bitcoin

The current trend in the crypto market has seen investors reassessing their positions in digital assets such as bitcoin. As the market had boomed and the infamous altcoin season had blossomed, a lot of investors had flocked to smaller cap altcoins for some large gains. However, with these digital assets now in a decline, investors have had to find ‘safer’ alternatives which have brought them right back into the arms of larger caps like bitcoin. Small Caps Take A Beating Like with any declining market, small caps have borne the brunt of the losses. They have underperformed the other indexes by a large margin. Thus, making it imperative for investors to get out of these smaller cap coins and into other indexes that provide safe havens for the time being. Related Reading | Bitcoin Indicator Hits Historical Low Not Seen Since 2015 The small caps had been the best performers during the bull rally, all through to major market recoveries. They are often the first point of contact for investors who are looking to make large gains in a short amount of time. However, their tendency to grow very quickly also make them susceptible to large drops in prices, which is what the market is seeing now. Small Caps Index record the most losses | Source: Arcane Research The performance of the small caps index has been nothing to write home about as it has returned -46% in the losses for investors. It is almost half of where they were trad...