Key Points
- The global crypto market cap reached $3.02 trillion, with Bitcoin contributing $1.75 trillion due to its price surge.
- Standard Chartered predicts the crypto market cap could reach $10 trillion by 2026 due to regulatory shifts and potential SEC changes.
The global crypto market cap experienced a significant boost, soaring to $3.02 trillion. This surge was largely due to Bitcoin’s latest all-time high. According to CoinMarketCap, the figures increased by 9.54% in just 24 hours.
All of the top 15 cryptocurrencies recorded gains during this period, indicating a strong bull run in the sector.
Comparing Crypto Market Cap to Global Economies
Interestingly, the digital economy is now nearing a valuation comparable to France’s, the 7th largest economy in the world. As per Forbes, France’s GDP is approximately $3.17 trillion. It’s worth mentioning that Bitcoin led this surge, contributing $1.75 trillion to the market cap due to its price surge.
Other significant contributors included Ethereum at $408.6 billion, Tether at $124.1 billion, and Solana at $103.6 billion.
Factors Driving Bitcoin’s Rally
The impressive hike in Bitcoin’s value raises questions about the factors driving this rally. Anthony Pompliano, CEO of Professional Capital Management, suggested that crossing the $80,000-mark, an inflation-adjusted all-time high, has sparked investor interest.
Pompliano also noted that Bitcoin ETFs are attracting a new wave of capital, creating demand that wasn’t there in 2021. He anticipates Bitcoin will maintain strong upward momentum through the end of the year, driven by a robust influx of new buyers.
Institutions are not the only ones interested in Bitcoin’s value. Barbara Goodstein, Managing Partner at R360, also highlighted Bitcoin’s potential role as a strategic reserve asset.
Path to a $10 Trillion Crypto Market Cap
As Bitcoin rallies and the crypto market expands, experts are forecasting even larger milestones. A recent prediction from Standard Chartered suggests that the crypto market cap could reach a staggering $10 trillion by 2026.
This forecast is based on potential regulatory adjustments and shifts within the SEC, which could lead to a more positive stance on digital assets and open doors for further institutional investment.
Geoff Kendrick, Head of Digital Assets Research at Standard Chartered, expressed a positive outlook, stating, “The rising tide should lift all digital assets; those most exposed to end-use cases are set to benefit most.”
This optimistic forecast signifies the growing momentum and legitimacy of cryptocurrencies, especially as they edge closer to becoming crucial assets on the global stage.
