Updated March 11, 2024, 11:35 am. EDT
Top line
Bitcoin soared to a new record high on Monday, topping $72,000 for the first time amid increasing institutional acceptance and continuation of an impressive rally that has pulled the market back from the depths of a deep “crypto winter” that is building momentum for years after a series of major collapses and scandals in recent years.
Key facts
The price of bitcoin rose by about 5% to $72,393 on Monday morning.
This is a new milestone for the world’s largest cryptocurrency, which has risen nearly 12% in the past week and climbed to a record high of around $69,000 last week.
Bitcoin rallied from around $42,000 at the start of the year, gaining around 70% and reaching – and then surpassing – prices last seen in 2021, when the market collapsed following a series of high-profile scandals and the collapse of major institutions.
Ether, which trails bitcoin as the world’s second-largest cryptocurrency by a significant margin, also climbed nearly 16% to $4,064 in the past week.
This is the first time the token has broken the $4,000 barrier since late 2021, bringing gains for the year to around 80%.
A variety of smaller but still valuable crypto tokens also gained in the past week, including Binance’s BNB (27%), Solana’s sol (14%), dogecoin (7%), Shiba Inu (30%), Avalanche (5 %) and polka dot (11%).
News Peg
The crypto rally is fueled by growing investor enthusiasm, the approval of crypto exchange-traded funds (ETFs) and an impending crisis through the halving of bitcoin, a key supply-limiting feature written into the cryptocurrency’s mathematical foundations which historically pushed prices. The UK’s financial regulator softened its stance on the digital asset on Monday, saying it would allow certain bitcoin-linked securities to be listed on the stock market. This comes after the Securities and Exchange Commission authorized bitcoin ETFs for the first time in January.
Big Number
$2.84 trillion. This is how much the total cryptocurrency market is worth at the time of writing. The market has grown almost 4% in the last 24 hours and by about 8% in the last week. Overall, the crypto market has nearly tripled in value over the past year, from just under $1 trillion to nearly $3 trillion. The sector is dominated by bitcoin, which accounts for about half of the market and has a market capitalization of about $1.41 trillion. Ethereum is a distant second to bitcoin, but with a total value of $484.5 billion it is about 17% of the total market and still a major market force. The only other cryptocurrency with a market capitalization of more than $100 billion is Tether, the world’s largest stablecoin.
Important quote
Former President Donald Trump spoke favorably of bitcoin on Monday, describing it as an “additional form of currency” that has taken on a “life” of its own. Trump, the presumptive Republican nominee for the 2024 presidential election, has suggested that his administration would take a lax approach to cryptocurrencies if elected. “I’m not sure I want to take it away at this point,” he said, stressing that he is a traditionalist who wants only “one currency,” the U.S. dollar, and that he “will not allow countries to go off the dollar.” Trump’s comments are a far cry from his stance on cryptocurrencies just a few years ago, when he said the sector was a “disaster waiting to happen” and labeled bitcoin a “scam.”
Further reading
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Disclaimer for Uncirculars, with a Touch of Personality:
While we love diving into the exciting world of crypto here at Uncirculars, remember that this post, and all our content, is purely for your information and exploration. Think of it as your crypto compass, pointing you in the right direction to do your own research and make informed decisions.
No legal, tax, investment, or financial advice should be inferred from these pixels. We’re not fortune tellers or stockbrokers, just passionate crypto enthusiasts sharing our knowledge.
And just like that rollercoaster ride in your favorite DeFi protocol, past performance isn’t a guarantee of future thrills. The value of crypto assets can be as unpredictable as a moon landing, so buckle up and do your due diligence before taking the plunge.
Ultimately, any crypto adventure you embark on is yours alone. We’re just happy to be your crypto companion, cheering you on from the sidelines (and maybe sharing some snacks along the way). So research, explore, and remember, with a little knowledge and a lot of curiosity, you can navigate the crypto cosmos like a pro!
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