Bitcoin’s price rally stood apart from other developments in the crypto sector this week as the global crypto market cap consistently managed to trade over $2 trillion in recent days.
This week, traders witnessed soaring crypto token prices as Bitcoin’s price rally took the lead and crossed $63,000. The week started with BTC hovering near $51,000, but a sudden rally soon took off mid-week. Bitcoin’s price rally cooled down gradually, but its support was robust at $60,000. As a result, crypto stakeholders were highly optimistic regarding the market in the run-up to the Bitcoin halving event.
A leading market intelligence claimed the rally was all due to institutional investors picking up stakes in the crypto market. It said, “institutional investors could be steering this phase. Eyes are on ETFs as potential accumulators. Meanwhile, altcoin watchers anticipate if and when renewed retail interest will pivot Bitcoin’s up-only stage to broader market plays.”
On the other hand, the global crypto adoption rate could’ve also increased owing to the spot Bitcoin ETFs. The ETFs have been attracting billions of inflows and aiding new investors in gaining exposure to crypto. This continuous trend will likely boost the crypto adoption rate to record levels by the end of 2023.
The market was also boosted by Ethereum’s price levels, which have consolidated over $3,000. Earlier, Ethereum’s price had stagnated around $2,500, but the current rally has also staged an ETH price breakout. Moreover, other tokens like BNB, SOL, and DOGE also helped the global crypto market cap stay above $2 trillion.
The US has featured exclusively on the radar of the crypto community during the week. It started with the Carlson Group, a registered investment advisor (RIA), admitting four spot Bitcoin ETFs on its network. It was a significant push for new crypto investors to invest in BTC through RIAs. The development came again into focus on February 28 when Morgan Stanley considered adding the ETFs to their platform.
Former US President Donald Trump also admitted that the crypto adoption rate had increased. The change in perception of Trump regarding crypto also came as a positive sign for the industry.
On the other hand, two international organizations wrote about the changing scenario of the crypto industry this week. The Financial Stability Board (FSB) created a crypto roadmap for 2024 and wrote a letter informing the G20 nations.
The International Monetary Fund also outlined the rising use cases of digital money in the global economy. It mentioned CBDCs and stablecoins and provided suggestions on ensuring the mitigation of risks.
During the week, the following tokens witnessed the highest returns:
These tokens suffered the most losses:
Bitcoin’s trading levels could likely become the spotlight for the entire crypto sector in the upcoming week.
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