Bitcoin has been on a roll lately, smashing through all-time highs and reaching a market cap of $1.6 trillion. The leading cryptocurrency, Bitcoin (BTC), has seen an 18% increase over the past week and is up 3% in the last 24 hours. It hit an all-time high of $81,858 before experiencing a slight correction and is currently trading at $81,000.
With Bitcoin’s consistent gains, its market dominance is now at 55.4%, making it the ninth-largest asset in the world, surpassing Meta’s market value of $1.48 trillion. This surge in Bitcoin’s price has also led to a doubling of its daily trading volume, which now stands at $92 billion.
The bullish sentiment surrounding Bitcoin has spilled over into the broader crypto market, pushing the global crypto market cap above $2.9 trillion, a level not seen since mid-November 2021. The total crypto trading volume has also increased by 80% to $306 billion, indicating a growing interest from investors.
The recent rally in Bitcoin and the overall market can be attributed to the U.S. presidential elections, where GOP candidate Donald Trump emerged as the winner. The crypto community hailed Trump as the “first pro-crypto U.S. president,” sparking a fear of missing out (FOMO) among digital currency investors.
As Bitcoin broke its previous all-time high of $73,000, short liquidations surged, reaching $630 billion in total crypto liquidations in the past 24 hours. Bitcoin alone saw $121 million in liquidations, with $38 million from long positions and $83 million from short positions. This increase in liquidations often leads to upward momentum and heightened volatility in the market.
Whales, or large holders of Bitcoin, have also been accumulating significant amounts of BTC, with nearly 32,000 BTC accumulated on November 10 alone. This whale activity has been moving in line with the price of Bitcoin since the election day on November 6, indicating a sense of FOMO among investors.
Overall, the surge in Bitcoin’s price and market cap, driven by Trump’s election victory and increased whale accumulation, has set the stage for a potentially volatile market in the near future. Investors should be prepared for fluctuations in prices and potential corrections as the market continues to react to the changing political landscape and investor sentiment.
