09.11.202112:10 Forex Analysis & Reviews: Huge growth in the market capitalization of cryptocurrencies

The cryptocurrency market has reached a market capitalization of $ 3 trillion due to the growth of Etherum and Bitcoin. The digital asset market, which has existed for a little more than ten years, has already quadrupled its value at the end of 2020 as investors are more comfortable with established tokens like Bitcoin and networks like Ethereum and Solana, which continue to be updated and attract new features. Excitement about the possibilities of decentralized financing and interchangeable tokens is growing, and meme coins such as Dogecoin and Shiba Inu continue to attract attention.

The total market capitalization of cryptocurrencies reached $ 3.3 trillion as of 15:00 Universal time. The third and fourth largest tokens, Binance Coin and Solana, have gained over 20% in the past seven days. It is worth noting that all seven largest coins have risen over the past week.

Today, bitcoin has updated this year's high and is trading above $67,000.

However, we should not rule out the fact that the cryptocurrency is extremely unstable, and when Bitcoin last reached these levels, it declined by several thousand dollars and underwent multiple adjustments that reduced it by half or more. Other coins are even more unstable – meme coins soared wildly back and forth from time to time, while fraud and hacking occur with some frequency.

"The current Bitcoin rally was triggered by the trading debut of a Bitcoin-related ETF in the US, as well as Elon Musk's Twitter poll over the weekend. Due to the recent growth of Shiba and other meme coins and Facebook's rebranding to Meta, interest in altcoins continues to grow." - Head of Research & Strategy Ben Caselin said.