Bitcoin and Ethereum hit historical highs
Lately, new records are falling like dominoes in the cryptocurrency sector. Just a little over a month ago, at the beginning of October, the total market capitalization of all digital assets in circulation was sitting at a staggering value of $2 trillion. Five weeks later, that major milestone seems already far off in the rearview mirror.
On the heels of the massive 50% increase in capitalization, numerous digital assets have obviously reached new price peaks. On Tuesday, the market’s de facto number 1 and number 2, pushed higher than ever before. Bitcoin hit a new all-time high of $68,476, while Ethereum surpassed the $4,800 level and peaked at $4,834.
Given the fact that Bitcoin repeatedly bounced off the $60,000 support level over the past two weeks, most crypto analysts are bullish about BTC’s growth potential going into the closing stages of 2021.
Bitcoin on-chain analyst and writer for Bitcoin Magazine going by the moniker ‘Dilution-proof’ on Twitter recently shared his price model for the world’s largest cryptocurrency. The prominent analyst believes, “Skies are clear for a new round of price discovery.”
A number of financial experts and crypto analysts alike are convinced that the recent price rallies have everything to do with concerns over inflation rates.
For instance, Goldman Sachs’ Global Markets managing director Bernhard Rzymelka recently shared his mid-term outlook on Ethereum and revealed that he believes ETH’s price will surge to $8,000 on the tailwind of investors looking for a viable hedge against inflation.
In a similar vein, last month, a group of JPMorgan strategists attributed the BTC price hike to inflation concerns and not the recently launched Bitcoin futures ETF.
Outspoken members BTC maximalist Tone Vays has long held the opinion that $100K Bitcoin by year’s end is not only possible but highly probable. Cryptocurrency market analyst Kevin Svenson not only agrees with Vays but assumes that the $350K price point for Bitcoin during the current market rally is not out of the realm of possibilities.
Crypto market cap increases from $2T to $3T in a little over a month
Earlier today, the total market cap has peaked at $3.01 trillion. The cryptocurrency landscape is changing very quickly, and that reality is even more apparent when the prices of digital tokens are surging the way they did since mid-October. When Bitcoin reached $60,000 a couple of weeks ago, we’ve decided to compare the market standings of the largest digital assets between two distinct market periods, which were separated by a three-month-long bearish market – May 2021 and October 2021.
The biggest difference in the cryptocurrency top 10 when compared to the same list from October, is Solana’s rise to the 4th spot on the list. Litecoin has slid out of the top ten and currently sits at the 14th spot. The trio of Bitcoin, Ethereum, and Binance Coin still top the chart and command similar market dominance as in May 2021 and mid-October respectively.
The road to $4 trillion starts today – let’s see how long it will be.
