Smaller %Cryptocurrencies, known as %Altcoins, are seeing their prices rise amid a selloff in %Bitcoin (CRYPTO: $BTC) and other digital assets.
The %Solana (CRYPTO: $SOL) network's Sol token has risen nearly 20% in the last week, while Avalanche's Avax coin has increased 17%, according to data from %Coingecko.
The rise of altcoins comes as Bitcoin’s price dropped 8% in the past 24 hours and fell below $63,000 U.S. amid a broad correction across the crypto sector.
Bitcoin has been slumping ever since it hit an all-time high of just under $74,000 U.S. As the slide worsens, investors appear to be shifting capital into smaller altcoins.
An altcoin is an alternative digital asset to Bitcoin. The word “altcoin” is a combination of the words “alternative” and “coin.”
While some analysts have dismissed the current selloff as short-term profit-taking among investors, the current decline in Bitcoin is dragging down much of the crypto market.
%Ethereum (CRYPTO: $ETH), the second-largest crypto by market value, has decreased 9% in the last 24 hours to trade below $3,300 U.S.
Shares of crypto exchange %Coinbase (NASDAQ: $COIN) are down 5.7%, while crypto miner %MarathonDigital (NASDAQ: $MARA) has seen its stock fall 6.6%.
Shares of software firm turned Bitcoin buyer %MicroStrategy (NASDAQ: $MSTR) has declined 10% even as the company announced that it bought another 9,245 Bitcoin for $623 million U.S.
At the same time, flows of investor capital into spot Bitcoin ETFs have begun to slow after steadily rising over the past two months, according to LSEG data.
