Bitcoin, the world's most valuable cryptocurrency, drove the moves of the broader cryptocurrency market in the first half of 2025, encountering historic highs and sharp corrections. While some investments were successful, others left a large hole in investors’ portfolios.
What Happened: Spurred by the apex coin's January peak, the total cryptocurrency market capitalization hit $3.64 trillion. But macroeconomic fears, precipitated by President Donald Trump's tariff policies, turned things upside down. The market capitalization fell by 18.6% in the first quarter, ending March at $2.67 trillion.
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Things worsened in the early part of the second quarter as Bitcoin tumbled below $75,000. However, with tariffs getting extended for three months and the administration forging deals with key trade partners like China, sentiment improved. The market capitalization soared 26% in the second quarter.
Among large-cap cryptocurrencies, Bitcoin was clearly the frontrunner, gaining over 15% since the year began. Solana also accumulated gains of over 7%.
However, leading coins like Ethereum, Dogecoin and XRP disappointed investors with negative returns.
The table below shows how much a $1000 investment in each of these coins at the start of the year would have grown to by the halfway point of 2025.
Cryptocurrency | Price (Recorded at 8:30 p.m. ET) | Year-to-date Gains | $1000 Investment Worth Today |
Bitcoin BTC/USD | $107,664.47 | 15.24% | $1152.41 |
XRP XRP/USD | $2.18 | +7.78% | $1,077.80 |
Dogecoin DOGE/USD | $0.1671 | -47.50% | $525 |
Ethereum ETH/USD | $2,503.04 | -25.71% | $742.90 |
Solana SOL/USD | $150.03 | -18.26% | $817.40 |
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It is worth noting that Bitcoin’s dominance increased from 56% to 64%, while the market share of altcoins, excluding Ethereum, fell from 31% to 26% in the first six months. A high BTC dominance typically implies that investors are more confident in Bitcoin relative to other cryptocurrencies.
Meanwhile, the reading on the Crypto Fear and Greed Index was 66, indicating a “Greed” sentiment. Interestingly, the reading was similar at the beginning of the year.
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