Key Takeaways
Days after Bitcoin marked its all time high, the crypto market cap is now standing at $3.94 trillion. The market crossed $4.008 trillion in market capitalization on Thursday.
The altcoin index is also up by a whopping 19 points. Coinmarketcap altcoin index chart is at 49 at the time of writing.
Ethereum, XRP, Solana are up by 6.64%, 13.03% and 5.61% respectively. Bitcoin in comparison is only up by 1%. (price change percentage is 24 hour reading)
Crypto Market Today
Crypto investors rejoice as the market is making a new high. The golden asset, Bitcoin, is trading at $120,241 with a $75 billion trading volume in the last 24 hours. While Bitcoin has retracted in price its counterparts, Ethereum has reached $3660 signalling the much awaited altcoin season.
Rachael Lucas, BTC Markets Crypto Analyst commented,
“Altcoins posted strong gains, as traders rotate capital from bitcoin into higher-beta assets, a pattern typical of late-cycle rallies, but this time underpinned by improved technology and fundamentals”
Institutional Adoption and Legislative Boost
2025 has seen the much needed institutional adoption of cryptocurrencies. With over 11 Bitcoin and Ethereum ETFs launched by over 15 institutions. Bitcoin now appears on balance sheets of many firms across the world. Major firms like MARA Holdings, Tesla, XXI and Galaxy Digital Holdings have been stacking Bitcoin over the last few months.
The current bull run is being led by a renewed interest in America’s strides in regulating crypto with sound policies. The US House just passed the CLARITY Act (294-134), GENIUS Act (308-122), and Anti-CBDC Act (219-210).
The CLARITY act shares a clear demonstration for classifying a functional regulatory framework for digital assets. The GENIUS Act aimed at creating a comprehensive regulatory framework for stablecoins in the U.S.
The Anti-CBDC Surveillance State Act prohibits the federal reserve from issuing CBDCs. Trump has been an advocate of asset classes that offer privacy and control to the holders.
Wrapping Up
While the $4 trillion milestone is significant, experts caution about potential future challenges.
Kronos Research CIO Vincent Liu exclaimed,
“As liquidity deepens and flows become more fragmented, robust infrastructure and efficient execution will be crucial. Sustaining this growth will depend on resilient systems and smarter risk frameworks that can adapt to a maturing market.”
The next technical resistance level for the crypto market capitalization is near $4.5 trillion. However, potential downside risks include a slowdown in spot crypto ETF flows or a worsening of macroeconomic conditions.