WATCH THE VIDEO HERE The global cryptocurrency market has surged to an unprecedented $3 trillion in value, as Donald Trump’s recent election as U.S. president has driven expectations of friendlier regulatory policies. These prospects have reignited investor enthusiasm, pushing the overall market value of digital assets to a new peak of nearly $3.2 trillion, surpassing the highs of 2021 when pandemic-driven stimulus sparked speculative investments. Bitcoin, the dominant cryptocurrency, played a major role in reaching the $3 trillion milestone as its price soared to an all-time high of $93,480 on Nov. 14, according to CoinGecko. The upward movement in Bitcoin is often a precursor for gains across the broader crypto market, with capital gradually rotating into alternative coins. “Typically, when Bitcoin makes a breakthrough, altcoins tend to follow suit. With this trend, we can expect the total market cap to continue growing,” said Matthew Dibb, Chief Investment Officer at Astronaut Capital. Trump’s election and the victory of several pro-crypto lawmakers in Congress have significantly boosted sentiment in the cryptocurrency space. The recent rally represents a stark contrast to the “crypto winter” of last year, where Bitcoin struggled below $20,000 following the collapse of FTX and other major crypto entities. Despite these gains, the $3 trillion valuation remains modest when compared to traditional asset classes like gold, valued at $19 trillion, or the S&P 500’s market cap of $50.6 trillion. Despite the varied performance within the crypto ecosystem, market participants are optimistic that increased market capitalisation will drive interest in decentralized finance (DeFi) and blockchain applications, said Danny Chong, co-founder of the DeFi platform Tranchess.
Crypto market hits record $3 trillion on optimism following Trump’s election
