The Market Capitalization of Cryptocurrencies Has Surpassed $3 Trillion
According to CoinGecko prices, the total market capitalization of cryptocurrencies reached $3.3 trillion on Monday.
As investors have become more acquainted with established tokens like Bitcoin while networks like Ethereum and Solana continue to develop and attract additional features, the market for digital assets has approximately doubled from its 2020 year-end value.
The interest in non-fungible tokens and decentralized finance is expanding, and memecoins like Dogecoin and Shiba Inu continue to draw attention.
In a letter, Katie Stockton, founder and managing partner of Fairlead Strategies, stated, “Bitcoin seems to be breaking out of a bullish flag pattern, and Ether is expected to confirm a long-term breakout on a close above resistance this Friday.”
According to CoinGecko prices, the entire market cap of cryptocurrencies was $3.3 trillion as of 9:54 a.m. in New York.
Binance Coin and Solana, the third and fourth largest tokens, have gained more than 20% in the previous seven days; all of the top seven currencies have gained in the last week.
On Monday, bitcoin soared as much as 5.6 percent to $66,414, approaching its previous high of almost $67,000.
Ether increased by as much as 3% to a record high of $4,768.
Miners Marathon Digital Holdings Inc. and Riot Blockchain Inc. each saw their stock rise more than 10% on Monday.
A day before announcing third-quarter earnings, Coinbase Global Inc., the largest U.S. exchange, rose as much as 3.6 percent.
Cryptocurrency is, of course, famously volatile.
Bitcoin fell several thousand dollars the last time it reached these levels, and it’s had multiple corrections that have knocked it down by half or more.
Other currencies are much more volatile — memecoins, for example, fluctuate significantly at times – and frauds and hacks are common.
According to Ben Caselin, head of research and strategy at crypto exchange AAX, Bitcoin’s recent bounce has been spurred by the U.S. trading debut of a Bitcoin-linked ETF as well as Elon Musk’s weekend Twitter poll.
“With the recent boom in Shiba and other memecoins, as well as Facebook’s rebranding to Meta, interest in cryptocurrencies continues to soar.”
