Market Dominance

Definition ∞ Market dominance describes the extent to which a single cryptocurrency, blockchain protocol, or digital asset entity holds the largest share or influence within a specific market segment. This is often measured by market capitalization, trading volume, or user base. High market dominance can indicate network effects and established leadership.
Context ∞ Crypto news frequently analyzes market dominance metrics, such as Bitcoin’s share of the total crypto market capitalization, to assess overall market sentiment and asset allocation trends. Changes in dominance can signal shifts in investor preference or the rise of new competing protocols. Regulatory bodies also monitor market dominance for potential antitrust concerns or systemic risk implications.