Markets
Why is the crypto market rising today? Bitcoin and Ethereum lead gains
- The crypto market cap now exceeded $2.6 trillion.
- BTC and ETH continue to hold a higher percentage of the cryptocurrency market cap.
According to data from CoinMarketCap, the crypto market increased by more than 7% in the last 24 hours. All major assets saw substantial gains during this period. Why is the crypto market rising today?
The crypto market is booming
At the time of writing these lines, the crypto market the capitalization is approximately $2.62 trillion, according to CoinMarketCap. The data also indicates that the market capitalization increased by over 7.6% in the last 24 hours.
This rise is due to the rise in prices of major crypto assets, which have large market capitalizations.
An analysis of key assets revealed that Bitcoin [BTC] And Ethereum [ETH] have increased by more than 5% and 19% respectively in the last 24 hours.
In addition, Binance Coin [BNB] And Solana [SOL] recorded gains of more than 7% and 2%, respectively, during the same period.
The market was experiencing positive sentiment at press time, with the Fear and Greed Index at 70, indicating a state of “greed.”
Why is the crypto market rising?
Over the past 24 hours, reports suggest an increased likelihood that US regulators will approve a spot. Ethereum ETF.
This positive sentiment stems from recent actions by regulators and institutions submitting ETF proposals.
The approval of an ETH ETF is seen as a significant victory, not only for Ethereum but also for other crypto assets.
Many believe that once an ETH ETF is approved, other cryptocurrencies will also have a better chance of getting one-time ETF approvals.
This would lead to an influx of institutional funds into the market, allowing traditional financial traders to gain more exposure to cryptocurrencies.
Moreover, after weeks of exoduses, Bitcoin is now experiencing back-to-back inflows into its spot ETFs.
According to data from Soso valuenet inflow on May 20 was $241.12 million, marking the sixth consecutive day of net inflows.
Total trade value has exceeded $2.4 billion and cumulative net inflows now exceed $12.8 billion.
Source: Soso Value
Bitcoin and Ethereum lead crypto market gains
According to data from CoinMarketCap, Bitcoin represented more than 53% of the total cryptocurrency market capitalization at press time.
BTC’s market capitalization jumped more than 5% in the last 24 hours, reaching around $1.4 trillion.
On May 20, King Coin saw an increase of almost 8%, closing at around $71,400. As of this writing, it is trading at around $71,100, representing a negligible decline of less than 1%.
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Conversely, Ethereum has captured over 17% of the market cap at press time, with its market cap climbing around 20% in the past 24 hours to nearly $450 billion.
The king of altcoins was trading above $3,700, indicating an increase of over 2% since this report.