[NEWS] Bitcoin nears $90,000; Cryptocurrency market capitalization hits record high of $3 trillion

Bitcoin (BTC) is approaching the milestone of $90,000 (approximately 13.82 million yen). It rose to $89,900 at one point, but at the time of writing it is hovering around $89,300 (approximately 13.7 million yen).

Bitcoin has been rising in price every day, breaking new all-time highs. The increase in one week has exceeded 30%.

Major altcoins, led by Ethereum (ETH), have also shown a significant price increase. Among them, Dogecoin (DOGE) has risen 47% from the previous day at the time of writing, approaching a 150% increase in one week.

Currently, the cryptocurrency fear index (VIX index) is at 87, which is in the "extreme greed" category, approaching the peak of 92 recorded in March of this year. The higher this number is, the more investors want cryptocurrency.

▶︎VIX Index: Quoted from CoinMarketCap

Following Trump's victory in the US presidential election, funds are continuing to flow into the cryptocurrency market.

Led by the iShares Bitcoin Trust ETF (IBIT) offered by BlackRock, the world's largest asset management company, Bitcoin spot ETFs have also seen record inflows, with the total reaching $84 billion (approximately 13 trillion yen). According to Eric Balchunas, senior ETF analyst at Bloomberg, this is "two-thirds the size of a gold ETF." Balchunas points out that since the Bitcoin spot ETF was approved, it is likely to surpass the gold ETF before January.

The total market capitalization of the cryptocurrency market has also reached a record level. According to CoinMarketCap, the total market capitalization of the cryptocurrency market has risen to $3 trillion (approximately 461 trillion yen). This is a record high, surpassing the $2.85 trillion (approximately 438 trillion yen) recorded on November 15, 2021.

There is a possibility that funds will continue to flow into the cryptocurrency market, mainly Bitcoin, due to expectations for Trump. On the other hand, as prices have risen sharply, caution is also needed regarding a significant drop due to profit taking, etc.

Source: Balchunas's X
Image: Shutterstock

Related articles

Bitcoin surpasses $80,000; Dogecoin up 30% from the previous day

US company MicroStrategy buys large amount of Bitcoin, shares hit highest in 24 years