As of the deadline, the top five cryptocurrencies with the highest market capitalization are Bitcoin (BTC), Ethereum (ETH), Binance Coin (BNB), Polkadot and Tether (USDT).
Editor’s note: This article comes from Interface News, author Si Linwei.
On April 6, according to statistics from CoinGecko and CoinMarketCap, the total market value of cryptocurrencies has exceeded US$2 trillion. In the past three months, the total market value of cryptocurrencies has doubled.
In view of the volatility of the cryptocurrency market, with the exception of Bitcoin and Ethereum, which are firmly in the top two positions, the rankings of other currencies have changed significantly. Before the deadline, the top five cryptocurrencies with the highest market value were Bitcoin (BTC) and Ethereum. (ETH), Binance Coin (BNB), Polkadot and Tether (USDT).
Among them, the market value of Bitcoin has exceeded $1 trillion, accounting for 54.19% of the total market value of cryptocurrencies. The market value of Ethereum is about 245.7 billion U.S. dollars, accounting for 12.12%. Bitcoin has gradually been recognized by mainstream commercial organizations around the world, followed by Ethereum.
On January 7, according to CoinGecko’s tracking statistics, thanks to the Bitcoin price breaking through the $30,000 and $40,000 mark in a week, the total market value of cryptocurrencies officially exceeded 1 trillion. In the past three months, the total market value of cryptocurrencies has doubled again.
As institutional investors get involved in cryptocurrencies in order to increase the rate of return on cash in a world with near-zero interest rates, the price of Bitcoin continues to rise. Tesla (TSLA.US) invested $1 billion to buy Bitcoin and started accepting Bitcoin payments.
In addition, Morgan Stanley began to allow some of the wealthiest customers to add cryptocurrencies to their portfolios, and companies such as MasterCard (MA.US) and PayPal (PYPL.US) have all taken steps to accept Bitcoin.
Rui Dalio, the founder of Bridgewater Joint Fund, also said that in the past 10 years, Bitcoin and other digital currencies have become asset substitutes similar to gold.
In contrast to the continuous increase in the total market value of cryptocurrencies, entering 2021, the price of spot gold has continued to drop, and the peak of 1959.43 US dollars has been corrected by more than US$200, a decline of 11.5%. Currently, spot gold is quoted at $1733.01 per ounce.
Whether it is gold or Bitcoin, which is called “digital gold”, investors are favored by the global central bank’s loose monetary policy. On February 28, 2021, the U.S. Congress passed Biden’s $1.9 trillion (approximately RMB 12.3 trillion) economic stimulus bill. At the same time, US President Biden’s new round of infrastructure construction plans with a scale of more than 2 trillion US dollars have also been announced.
Before press time, according to Bitstamp market data, Bitcoin is quoted at US$58,742 and Ethereum is quoted at 2120 dollars.