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Why is the cryptocurrency market rising today? Bitcoin and Ethereum ahead
- The cryptocurrency market capitalization now exceeded $2.6 trillion.
- BTC and ETH continue to hold a larger percentage of the cryptocurrency market capitalization.
According to data from CoinMarketCap, the cryptocurrency market it has increased by more than 7% in the last 24 hours. All major assets posted substantial gains during this period. Why is the cryptocurrency market rising today?
The cryptocurrency market is experiencing a surge
At the time of this writing, the cryptocurrency market The capitalization is approximately $2.62 trillion, according to CoinMarketCap. The data also indicated that the market capitalization had increased by more than 7.6% in the last 24 hours.
This surge is driven by the rising prices of major crypto assets, which have significant market capitalizations.
An analysis of the main assets revealed this Bitcoin [BTC] AND Ethereum [ETH] have increased by more than 5% and 19% respectively in the last 24 hours.
Furthermore, Binance coin [BNB] AND Solana [SOL] they posted gains of more than 7% and 2%, respectively, over the same period.
At the time of writing, the market was experiencing positive sentiment, with the Fear and Greed Index at 70, indicating a state of “greed.”
Why is the cryptocurrency market rising?
Over the past 24 hours, reports suggest an increased likelihood that U.S. regulators will approve an ad Ethereum ETF.
This positive sentiment stems from the recent actions of regulators and institutions that have submitted proposals for the ETF.
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 spot ETF approvals.
This would result in a greater inflow of institutional funds into the market, allowing traditional financial traders greater exposure to cryptocurrencies.
Furthermore, after weeks of outflows, Bitcoin is now seeing back-to-back inflows into its spot ETFs.
According to data from Soso Valuenet inflows on May 20 were $241.12 million, marking the sixth consecutive day of net inflows.
Total value traded has exceeded $2.4 billion and cumulative net inflow now exceeds $12.8 billion.
Source: Soso value
Bitcoin and Ethereum lead the cryptocurrency market gains
According to data from CoinMarketCap, as of this writing, Bitcoin holds over 53% of the total cryptocurrency market capitalization.
BTC’s market capitalization has increased by more than 5% in the past 24 hours, reaching approximately $1.4 trillion.
On May 20, the real currency rose nearly 8%, closing at around $71,400. It is currently trading at around $71,100, marking a negligible decline of less than 1%.
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In contrast, Ethereum has captured over 17% of market capitalization as of this writing, surging around 20% in the past 24 hours to nearly $450 billion.
The altcoin king was trading at over $3,700, indicating an increase of over 2% from this ratio.