Cryptocurrency markets have recently enjoyed an unprecedented wave of impressive numbers and indicators, leading to new highs not only market capitalization. After exceeding the $ 2.5 trillion mark, the market is moving towards $ 3 trillion.
A $ 2.5 trillion market
After strong anti-Chinese sentiment, the market capitalization of the cryptocurrent market received a huge impact in the summer. After the slump in September, the global market capitalization rose sharply to around $ 2.5 trillion with the advent of October. Currently, the market capitalization is at $ 2.55 trillion, a 4% increase over the previous day, while the daily trading volume gained 14%.
The catalyst for this rocketing increase is undoubtedly price action Bitcoinu. The world’s largest cryptocurrency broke its previous all-time high to a new high of $ 66,930. This new maximum was achieved thanks to the launch of the first American ETF on Bitcoin in history (after almost 8 years of unsuccessful applications). ProShares Bitcoin Strategy Fund ETF It was launched on Tuesday and met with a great response from critics, after which it recorded assets worth $ 570 million and a staggering volume of trades of $ 1 billion.
The Altcoins also contributed a little to the mill, taking Solana, Ethereum, Terra and Litecoin recorded double-digit gains. Ethereum has an Altair update planned for October 27, which will lay the foundations for the transition to Eth 2.0. ETH has gained 16.50% in 7 days and is within reach of creating a new historical high. Solana recorded a profit of 25% per week and thus contributed significantly to the overall market cryptocurrency capitalization.
Are we on our way to $ 3 trillion?
After exceeding $ 2.5 trillion, another important milestone is the value of $ 3 trillion, but analysts differ. Despite differences of opinion, Bitcoin will play a key role in whether or not markets reach this threshold, as this asset has a market share of 47%.
“I wouldn’t be surprised to see Bitcoin climb to $ 100,000 during the fourth quarter of 2021, or the first quarter of 2022.”
– says Ulrik Lykke, founder of ARK36. The key to overcoming the $ 3 trillion mark is that Bitcoin will rise to $ 100,000.
Conclusion
The approval of the first bitcoin ETF – albeit so far only futures – has contributed significantly to the growth of BTC and the entire cryptocurrency market capitalization. Another key aspect is rising inflation.
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