The global cryptocurrency market capitalization climbed to an unprecedented US$3.4 trillion, with Bitcoin commanding 56% of the total.
The rally was bolstered by US$1 billion in net inflows into US-based spot Bitcoin exchange-traded funds (ETF). BlackRock’s iShares Bitcoin Trust (IBIT) led the pack with US$600 million in inflows, followed by Fidelity’s FBTC at US$300 million. All eleven ETFs maintained positive flows.
Other cryptocurrencies are riding the wave. Ethereum (ETH) rose 9%, lifting decentralized finance (DeFi) indices by 8%, while memecoins like Mog (MOG) and Pepe (PEPE) saw gains up to 27%. Solana (SOL) reached new highs above US$260, and XRP soared 25% following news of Securities and Exchange Commission (SEC) Chair Gary Gensler’s January resignation, which may ease regulatory challenges.
Traders remain bullish, with BTC futures for 2025 trading above US$100,000 and options at the US$100K strike showing US$2 billion in open interest.
However, analysts caution a short-term pullback could occur as Bitcoin approaches this psychological level.
Despite potential volatility, the current momentum highlights growing institutional support and a favorable outlook for the broader cryptocurrency market. For entrepreneurs and businesses, this moment could signify a critical opportunity to assess their crypto strategies and prepare for a new wave of digital finance innovation.
