Bitcoin is unstoppable: while the cryptocurrency has hit a new record high, total market capitalization is approaching the magic mark of $ 1 trillion.
As if the last all-time high was not just a few days ago, Bitcoin broke the next sound barrier at full throttle in the early hours of the morning and topped the $ 35,000 mark for the first time. The crypto reserve currency has now gained almost 7,000 US dollars in seven days: not the worst weekly balance. At the time of going to press, Bitcoin is trading at $ 35,166, up 12 percent for the day.
Bitcoin market capitalization also set a new record overnight at $ 665 billion. In the past 24 hours alone, around 70 billion US dollars flowed into the digital currency. Currently, the value has corrected slightly downwards to just under 650 billion US dollars. However, if Bitcoin continues the rapid pace of recent weeks, the $ 700 billion mark is likely to fall in the foreseeable future.
Almost the entire crypto market is turning into positive territory under the surge of the dominant cryptocurrency. With the exception of the problem child XRP and the stablecoin Tether (USDT), the top 10 largest cryptocurrencies posted gains of up to 22 percent on a daily basis.
With the rush of investors, capital inflows into the crypto market are increasing rapidly. The total market capitalization is now already at 960 billion US dollars and thus only a short distance below the magic mark of one trillion US dollars. This number alone shows that the market is booming. Just two months ago, total market capitalization was just under $ 450 billion. In this short period of time, the value of all cryptocurrencies has more than doubled.
Regardless of which metric you are currently looking at: the signs point to growth. The number of active addresses, i.e. those that issue or receive transactions, is gradually increasing and slowly but surely making its way to an all-time high. With over a million active addresses, not much is currently missing until the (still) record high from 2017.
Meanwhile, the trend of dwindling stock market reserves that has been emerging since 2020 continues. Almost 2.3 million BTC are still in the reserves of the Exchanges. With the increasing demand, the limited stocks are becoming increasingly scarce. Of course, if the Bitcoin rate rises, less Bitcoin will be withdrawn in percentage terms. But if the number of new investors increases, and at the same time ever larger sums are transferred to BTC by institutional investors, at least the smaller stock exchanges could pull themselves blank in the foreseeable future.
The fact that the Bitcoin rally repeatedly experiences setbacks is in the nature of things. Profit-taking brings the cryptocurrency back to the ground again and again. The fact that growth was too rapid was ultimately shown by the formation of bubbles in 2017/18. However, in contrast to the bull year 2017, this rally shows far more sustainable growth and points to an overarching upward trend that will also outlast bear cycles. In any case, the indicators speak for themselves. Even daring price forecasts like those of the banking giant JPMorgan come as no surprise .