Cryptocurrency market data provider, CoinGecko, has revealed a significant drop in market capitalization during the first quarter of 2025. The report shows a decline of 18.6%, impacting major exchanges such as Binance, Coinbase and Bitget. This downturn is also reflected in declining trading volumes at these centralized exchanges. CoinGecko’s data suggests that this contraction in the crypto market cap coincides with security breaches and economic uncertainties. Notably, Bitcoin’s dominance increased to 59.1% during this period as investors shifted towards safer haven assets amidst the altcoin and DeFi token drops. These shifts in investor behavior follow a pattern of market corrections after significant security breaches in the past. The report highlights the need for greater scrutiny on the part of exchanges and potential regulatory changes in response to market volatility. CoinGecko emphasizes the importance of providing accurate data, even during volatile market conditions.