- Bitcoin's market cap surpassed silver, hitting $1.75 trillion, as its price soared to $89,560 before a slight pullback.
- Institutional interest and favorable U.S. political shifts have fueled Bitcoin’s 30% weekly surge, overtaking silver for the second time in 2024.
Bitcoin's market capitalization surged past silver once more, reaching $1.75 trillion on Monday evening, positioning it as the eighth-largest asset globally. The leading cryptocurrency briefly hit a record price of $89,560 before retreating slightly, according to data from CoinGeckoin Bitcoin options contracts that are .
This latest rally, driven by robust institutional interest and anticipation around spot Bitcoin exchange-traded funds (ETFs), marks a 9% daily increase for the asset. Bitcoin’s growing popularity with institutional investors highlights its transformation from a speculative digital asset to a more widely accepted store of value, akin to gold and silver.
Notably, this is the second time Bitcoin has overtaken silver in 2024, having first surpassed the precious metal in March, as per Infinite Market Cap data. Silver’s market cap currently stands at $1.732 trillion, while Bitcoin has seen a remarkable 30% rise over the past week alone, compared to silver’s 6.24% decline.
The cryptocurrency's performance reflects broader market optimism following the re-election of pro-crypto U.S. President Donald Trump. His victory has signaled potential regulatory support for digital assets, further fueling Bitcoin’s rise. Investors have responded to this political shift with optimism, anticipating a favorable environment for the growth of cryptocurrencies.
Bitcoin options trading has also reached new heights. Deribit, a leading derivatives exchange, reported open interest in Bitcoin options contracts nearing $25 billion, just shy of its previous yearly peak. This surge in trading activity underscores growing investor confidence in Bitcoin’s potential for further gains.
The broader "Bitcoin Industrial Complex" index, which tracks Bitcoin ETFs and companies like Coinbase and MicroStrategy, hit a record $38 billion in trading volume. Coinbase's stock closed at $334.24 on Monday, its highest in three years, while MicroStrategy shares reached an all-time high of $351, the company’s best in nearly 25 years.
As Bitcoin continues to gain momentum, it trails only seven global assets, including gold, which boasts a market cap of $14.7 trillion. While Bitcoin's market cap is still dwarfed by gold, analysts are optimistic about its future.
“The fact that gold is still 10 times larger than Bitcoin is incredible,” noted The Kobessi Letter in a recent post on X. "Not only does this show how big gold is, but it also shows how big Bitcoin can be."
Edited by Harshajit Sarmah
