The market capitalizations of all existing cryptocurrencies surpassed $ 2 trillion on April 5, according to data from Goingecko, led by the impressive growth of Bitcoin (BTC), Ether (ETH) and other altcoins in 2021.
The cryptocurrency market as a whole has become roughly as valuable as Apple, the world’s second-largest company after Saudi oil giant Aramco.
The milestone also comes less than three months after the cryptocurrency market surpassed $ 1 trillion for the first time on January 7, when the price of Bitcoin hovered around $ 33,000.
Will the bull market for Ethereum and altcoins continue?
In recent months, several major catalysts have propelled Bitcoin and Ethereum to reach new all-time highs.
Financial institutions, such as PayPal and Visa, are beginning to actively support cryptocurrencies, as Bitcoin led the uptrend of the cryptocurrency market.
In 2021, Bitcoin has faced several short-term corrections, but has now been consistently above $ 50,000 for almost a month with low volatility compared to altcoins, preventing both ETH and the altcoin market from experience severe setback.
In fact, the volatility of Bitcoin has fallen to the lowest level since November 2020, as the price of BTC has been consolidating between $ 55,000 and $ 60,000 in recent days.
In the same period, the price of ETH rallied and exploded against Bitcoin, hitting a new high above $ 2,000.
PayPal will allow US customers to pay in Bitcoin at merchants around the world
A trader known as “Rekt Capital” attributed ETH’s strong performance to Bitcoin’s consolidation below $ 60,000. He wrote:
“#BTC continues to only consolidate within this range. It is this consolidation that has helped $ ETH to reach new all-time highs. #ETH is possibly leading the market while $ BTC is trying to catch up. The good sign so far is that the orange resistance struggles to reject #Bitcoin. “
As long as the strength of the ETH / BTC pair remains intact and Bitcoin does not experience a major sell-off, the short-term outlook for the cryptocurrency market remains very optimistic for April and into the summer.
Coinbase IPO Boosts Market Sentiment
On April 2, Coinbase, the top U.S. crypto exchange, announced that the U.S. Securities and Exchange Commission (SEC) approved the company’s S-1 filing.
Coinbase is expected to be listed on the Nasdaq exchange on April 14, making it a publicly traded company on the US stock market. The company said:
“We are pleased to announce that earlier today, the SEC declared our S-1 registration statement effective and that we expect our direct listing to occur on April 14, 2021, with our Class A common shares trading on @NASDAQ under the COIN ticker.”
