The cryptocurrency market capitalization scored an all-time peak of $2 trillion on Monday, according to data and market trackers CoinGecko and Blockfolio, as earnings over the last many months pulled demand from both institutional and retail investors.
By mid-afternoon, the crypto market cap was about $2.02 trillion.
The wave was led by bitcoin, which scored its milestone by holding a $1 trillion market cap for the whole week. Bitcoin was closing up 1.4% at $59,045. Since catching a lifetime peak of more than $61,000 in mid-March, bitcoin has traded in a relatively narrow range.
Analysts said that as long as bitcoin lingers above $53,000, it will maintain its $1 trillion market cap.
The second-largest cryptocurrency Ethereum, in terms of market cap, was higher 1.3% at $2,103. The market cap was $244 billion on Monday. It scored a report high of $2,144.99 closing Friday.
“Momentum and interest have begun to expand beyond bitcoin and ethereum,” said Paolo Ardoino, who is the chief technology officer of crypto exchange Bitfinex.
“As the industry continues to mature, we expect more blockchain-based applications to be introduced to the world, and coinciding with that, a surge of interest around other alternative assets… as they become more market-ready,” he added.
In a research report, Blockchain data provider Glassnode said the fact that bitcoin has continued the $1 trillion market cap for the whole week is a “strong vote of confidence for bitcoin and the cryptocurrency asset class as a whole.”
It continued that on-chain activity remains to reinforce bitcoin’s strong position, with a bulk equivalent to over 10% of circulating supply accomplishing above the $1 trillion thresholds.
Also, Grayscale Bitcoin Trust, a $35 billion publicly on Monday, listed investment means holding bitcoin, said it continues committed to switching to an exchange-traded fund. In a blog column, Grayscale noted the timing of its development would depend on the regulatory conditions.
Bitcoin has grown more than 100% this time, while ethereum has increased nearly 190%. Both have massively exceeded traditional asset groups, supported by the insertion of mainstream companies and big investors into the cryptocurrency environment, including Tesla Inc and BNY Mellon.