Total Cryptocurrency Market Capitalization Hits A Major Milestone; Crossing $1 Trillion
The market capitalization of the entire cryptocurrency market has now surpassed $1 trillion, a level never seen before.
With this, the crypto market has achieved 10% of the gold’s $10 trillion market cap. With the crypto community waiting for Bitcoin to hit the sweet number of about $55,000 to reach the $1 trillion market itself, it is just the beginning and there are many zeroes to be covered for the entire market.
“There's a lot of room to keep moving up as more and more people adopt Bitcoin and other digital assets,” noted trader and analyst Josh Rager.
While the first trillion dollars took 10 years, Erik Voorhees of ShapeShift shared “It will take less than six months to get to $2 Trillion.”
This record high was the result of Bitcoin hitting new highs almost every other day. Just yesterday, BTC first breached $35k in the wee hours of Wednesday, and then later in the day, we broke through $36k, $37k, and remained shy of hitting $38k by a few hundred dollars.
Back in Dec. 2017, Bitcoins’ market cap peaked at $335 billion and now roughly 3 years later, it has doubled at $690 billion and is now the 8th largest asset by market cap.
“The chase higher is back on based on the notion that bigger main street investors are interested in building longer-term positions,” said Stephen Innes, chief global market strategist with Axi. “This is all about the new age embrace of blockchain technology to which Bitcoin is so uniquely intertwined.”
While offering a hedge against dollar weakness and the rising inflation risk in the current environment of fiscal and monetary stimulus, everyone from retail, quant funds, high net worth individuals, to companies is pumping up BTC.
“Bitcoin is better at being gold than gold is at being gold,” said Anthony Scaramucci, founder and managing partner of SkyBridge Capital who launched a Bitcoin fund this week.
But BTC is not alone in this uptrend, altcoins have also started running up.
As seen in BTC dominance, it topped out at 72.5% on Jan. 2nd, after a good run-up from 62% in late Nov. BTC dominance is now back under 70%.
And this has been because of cryptos like Ether going up. ETH that has been lagging behind the world’s largest cryptocurrency caught up fast, going above $1,200 but still a bit away from its ATH of $1,420.
Among the top cryptocurrencies, Stellar (XLM) and Cardano (ADA) had a good run-up this week. Today, even XRP is catching up.