Bitcoin, the so-called king of cryptocurrencies, has seen its popularity decline among U.S.-based eToro users over the past 12 months. Despite more volatility, altcoins are growing in popularity.
American users of the popular eToro trading platform are taking up altcoins with growing conviction, with the likes of Cardano’s ADA and Dogecoin (DOGE) becoming more popular buy-and-hold assets than Bitcoin (BTC).
New research shared that ADA is the most popular cryptocurrency held by United States-based eToro users, up from third place in the second quarter of 2020. After not making the rankings at all a year ago, DOGE is now the second most-held cryptocurrency among U.S.-based investors.
Rounding out the top five are Tron, Ether (ETH) and Bitcoin, which saw its Hold Rank fall from first place a year ago.
Despite experiencing one of their biggest-ever market corrections, and certainly the largest in dollar terms, cryptocurrencies remain in favor among retail investors. The research provided by eToro showed that retail investors are confident in the potential of the new asset class moving forward.
Other popular cryptocurrencies for U.S. investors include Stellar’s Lumen (XLM), Iota’s MIOTA token and Ethereum Classic (ETC).
Cardano’s high ranking is hardly surprising, given the massive community that founder Charles Hoskinson has cultivated over the years. As Cointelegraph recently reported, ADA is the most capitalized cryptocurrency in terms of staked value at just over $32.6 billion.
DOGE, meanwhile, burst into the mainstream this year thanks to an eye-watering rally through May. At one point during the rally, DOGE surpassed even Bitcoin in terms of tweet volume, which is a good proxy for retail interest.
With few exceptions, cryptocurrencies by and large remain in a firm intermediate downtrend. The short-term outlook remains tilted to the downside as Bitcoin continues to trade within a narrow range, unable to break above key resistance. Nevertheless, platforms like eToro continue to see an influx of users, as evidenced by the 214% increase in new registrations earlier this year.