Two months ago a seismic shift appeared to be underway among cryptocurrencies. Ethereum was on the verge of overtaking Bitcoin in terms of both market share and fiat value. Other competing coins, such as Litecoin and Ripple, were also rapidly advancing. Although Bitcoin’s fiat value had reached record highs, many analysts believed that it would lose its position as the most popular crypto by the end of the Summer.
It would be easy to blame Bitcoin’s slide on the scaling debate, and no doubt it was an issue. Bitcoin needed an upgrade, and developers and miners seemed incapable of reaching a consensus solution. This alone would prompt investors to stay away. But Bitcoin’s loss of market share seemed based on something more fundamental. For the first time, investors were taking an interest in altcoins based on their own merits. Features such as smart contracts and fast confirmation times became relevant, and these altcoins could deliver. By mid-June, Bitcoin found itself in a race for supremacy based on core technology, and it was losing.