09.11.202111:40 Forex Analysis & Reviews: Cryptocurrencies' total market capitalization reached $ 3.03 trillion

The total market capitalization of the crypto space reached $3 trillion as Ethereum rose to new record highs and Bitcoin approached record levels.

According to data provided by CoinGecko, the total market capitalization of cryptocurrencies reached $3.03 trillion yesterday.

The biggest driving forces were the four main cryptocurrencies – Bitcoin, Ethereum, Binance Coin, and Solana. For the last seven days, Ethereum has grown by another 11.5%:

Bitcoin also rose by 7.7%:

Meanwhile, Binance Coin with Solana also did so by 23.8% and 23.3%, respectively.

At the beginning of the new trading week, ETH reached a new record high of $4,790, and BTC approached its historical highs, trading at $66,098.20.

In general, the crypto space has quadrupled over the past 12 months, indicating the growing popularity and wider adoption of the digital space this year.

Bitcoin and Ethereum are also gaining momentum as an inflation hedge, supporting current growth. In addition to this, the recent introduction of bitcoin ETFs attracts more institutional investors to this industry.

According to Edward Moya, OANDA's senior analyst, Bitcoin is growing due to increased demand for inflation hedging.

According to JPMorgan forecasts, the price of the main cryptocurrency could reach $73,000 for 2022 and does not exclude $146,000 in the future.

Due to the extreme volatility of bitcoin, both movements are possible – above $146,000 and below $30,000.

The demand for bitcoins as a means of protection against inflation is higher than for gold.

In a Twitter poll over the weekend, Tesla and SpaceX CEO Elon Musk asked his followers if he should sell 10% of his Tesla shares worth $20 billion. Referring to the fact that he will stick to the results of this survey.

By the majority of votes for the sale, Tesla shares fell by 3% during the day.

In the process, Musk also received a lot of responses in which he was offered to buy more Bitcoins in order to diversify.

According to Michael Saylor, CEO of MicroStrategy, if the goal is diversification, then it is worth considering as an alternative strategy – this is the transformation of the TSLA balance in US dollars in relation to the Bitcoin standard and the purchase of $ 25 billion in Bitcoins. Thus, it is possible to provide diversification, inflation protection, and other benefits for all investors in terms of tax efficiency.