While Bitcoin jumped 19 per cent to a three-month high of over $46,500 on Wednesday, Ethereum scaled 21 per cent to more than $3,200. Likewise, Binance Coin was up nearly 19 per cent, Cardano around 22 per cent, XRP 32 per cent, etc. over the past week.
Recent crypto rally — after Bitcoin plummeted to under $30,000 last month — has helped the total market cap of over 8,800 coins to again hit the $2-trillion mark after nearly three months of its decline from $2.12 trillion on May 19, according to data from crypto exchange CoinGecko. The surge followed the significant jump in Bitcoin, Ethereum, and few altcoins over the past week. While Bitcoin jumped 19 per cent to a three-month high of over $46,500 on Wednesday, Ethereum scaled 21 per cent to more than $3,200. Likewise, Binance Coin was up nearly 19 per cent, Cardano around 22 per cent, XRP 32 per cent, etc. At the time of filing this report, the total market cap of all coins on CoinGecko had slipped to $1.9 trillion.
“Consolidation was triggered by institutional investors. For instance, Tesla had stopped accepting Bitcoin in May due to climate concerns but during the recent B Word conference, he had said the company will start accepting it again after the share of renewable energy in Bitcoin mining is over 50 per cent. According to a Bitcoin Mining Council report, the milestone has already been crossed now. So, there is speculation that Tesla will soon start accepting Bitcoin. Also, trading volume had increased by 50 per cent as compared to last month,” Hitesh Malviya, Founder, itsblockchain.com told Financial Express Online.
Importantly, total cryptocurrency listings on crypto tracking and crypto-related data aggregation platforms like CoinMarketCap, CoinGecko, and Coinpaprika had exploded in the first half of 2021. According to CoinDesk, CoinMarketCap had added 2,655 new crypto assets to its database during H1 2021, up from 2,000 coins in 2018 to take up the tally of coins listed to 10,810. In comparison, this had indicated an average of only 1,538 coins were added during every six-month period of 2019 and 2020. Similarly, CoinGecko had added 3,064 new assets while Poland-based crypto research platform Coinpaprika listed 2,000 new coins. Bitcoin was trading at $44,364 at the time of filing this report, down from $46,548 in the 24-hour window. The crypto king had recovered to $40,000 last month after around a six-week lull.
“As long Bitcoin stays above $40,000 it will then probably retest at $60,000. There is a very good chance to hit $100,000 by end of this year while total valuation may hit up to $4-5 trillion as Ethereum will also move. In the last quarter Ethereum recorded more trading volume than Bitcoin,” Malviya added.