- Bitcoin has now become the fifth-largest asset by market cap, surpassing the giant Google.
- Bitcoin is picking pace, and in the next few weeks, it may surpass NVIDIA if the rate of rise continues.
Bitcoin ($BTC) has recently surged past Alphabet (Google) to become the fifth largest asset in the world in terms of total market cap, valued at $1.861 trillion. The latest rally has taken Bitcoin past $93,700, making it its best year yet and solidifying its position among the world’s most valuable assets. It is now behind only NVIDIA, with a market cap of $2.412 trillion, which puts the gap at approximately $550bn.
The current milestone shows that Bitcoin has the highest-ever rank among assets. While its market cap was over $2 trillion when exceeding $109,000, today’s ranking means new territories. It is worth noting that earlier tech stocks boasted considerably higher valuations, suppressing Bitcoin’s comparative placement.
What is Fueling the Bitcoin Rally?
The push towards Bitcoin seems to be building again owing to the positive signals emanating from the U.S. and China trade war front. This has led to Nasdaq futures and tech equities rising due to increased investor sentiment, with Bitcoin now recognized by institutions.
The largest number of net ETF inflows was recorded on April 22, 2015, reaching $ 936 million, which is greater than $ 381 million on April 21, 2015. ARK invested $267.1 million, while 21Shares pocketed the profit by investing $253.8 million. This was the first time since January 17, and it boosted large investors’ confidence in these numbers.
Recently, the open interest in Bitcoin derivatives reached $67.19 billion from Coinglass. That amounts to a $9 billion increase in 24 hours. This number is close to the record high recorded in January this year. Analysts see this as market participation.
Peter Brandt, a veteran trader with a relatively conservative approach, recently shared that he is a Bitcoin holder. He noted a sharp rise above a primary trendline and a consolidation range, with a reference level of $99,416 as the next significant resistance level. Brandt’s move aligns with other technical analysts who have adopted the bullish structural view of Bitcoin.
He noted, “My goal is to advance stops ASAP toward a breakeven trade. I’m long $BTC. Wide bodied green bars allow me to advance stops quickly.”
Bitcoin’s Path to the Top Four Assets
Although it is ranked fifth, the question is how soon it will be able to overtake NVIDIA. The answer lies in the continuation of the ETF growth, macroeconomic stability, and positive equities changes. NVIDIA has retraced from the recent high while Bitcoin’s volumes and basic technicals remain very bullish.
If such rates persist, BTC may threaten NVIDIA in the short run with nearness. The increasing association with safe-haven assets and recent break from other risk assets imply capital rotation into cryptocurrencies may be in progress.
Notably, Bitcoin has also made a new high in terms of the Nasdaq index. The cryptocurrency scaled above crucial averages to triumph over leading tech funds in the past week. While Bitcoin was initially traded as a purely speculative commodity, more and more investors are using it as a hedge and as a store of value.
