Crypto Market Shoots Past $1 Trillion Registering Strong Rally, Ethereum Leads the Gains
On Tuesday, October 25, the broader cryptocurrency market made solid gains adding more than $80 billion in a single to the collective market cap. As a result, the broader crypto market cap has shot past $1 trillion once again.
The world’s largest cryptocurrency Bitcoin (BTC) is up more than 7% moving past $20,600 levels with a market cap of $396 billion. Historically, October has been a month of strong performance for Bitcoin and the overall crypto space. However, BTC has been late to the party this time and is up only 7% this month.
The cryptocurrency market rallied as the U.S. equity markets made strong gains on Tuesday. The S&P 500 rallied by 1.64% ending the trading session at 3,859 levels.
Some of the market experts believe that the Federal Reserve is close to pivoting towards less-aggressive interest rate hikes. However, the U.S. inflation data continues to peak over 8% pushing the Fed on the edge.
Some experts also believe that the U.S. central bank will announced 75 basis points hike during the next FOMC meeting in November. They also believe that the Federal Reserve won’t stop before raising interest rates as high as 4.5%. If the Fed monetary tightening continues, the U.S. is at a greater potential of slipping into recession by mid 2023.
If that turns out to be the case, we can see volatility on Wall Street and there will be certainly some spillover in the crypto space as well!
However, Tuesday’s market rally was a fresh breather for crypto investors. Along with Bitcoin, the altcoin space also registered strong gains with Ethereum (ETH) leading the show.
In the last 24 hours, the world’s second-largest cryptocurrency Ether (ETH) shot up by over 14% moving past $1,500 levels. This is for the first time that ETH crossed these levels since the Merge event in September.
As it turns out an ETH whale suddenly turned active on Tuesday after six long years of hiatus. As per on-chain data provider Santiment, the ETH whale moved a total of 15,000 ETH worth more than $22 million leading to strong ETH price surge.
Along with Ether (ETH), other top ten altcoins also showed decent move. Altcoins like Cardano (ADA), Solana (SOL), and Dogecoin (DOGE) have registered double-digit percentage gains.