Cryptocurrency market capitalization exceeded the value of all US banks

Cryptocurrency market capitalization has reached $ 2 trillion, according to data from CoinGecko. Cryptocurrency market capitalization has surpassed the value of the SP Composite 1500 Banks index.

At the moment, 100 crypto projects are valued at more than $ 1 billion.

Traditionally, the first quarter has been bad for the cryptocurrency market, but not this time. Bitcoin is up 103% in the first three months of 2021, with some other crypto assets showing even stronger gains.

On the contrary, the second quarter was productive in 7 out of 8 cases.

Bitcoin growth in the quarter

At the beginning of the second quarter of 2021, the cryptocurrency market crossed a significant milestone of $ 2 trillion, according to CoinGecko. The head of the analytical company Bianco Research, Jim Bianco,  draws attention to the fact that now the cryptocurrency market has more value than the entire US banking system. 

Comparison of the crypto market and the SP Composite 1500 Banks index

The chart above compares the cryptocurrency market and the SP Composite 1500 Banks Index, an index of US publicly traded banking institutions.

«The total cost of all cryptocurrency surpassed the US banking system», –  says  the expert.

Bianco decided to develop his thought further and added that if the cryptocurrency market doubles from current levels, it will surpass the entire US financial system, including banks, brokers, insurance companies, asset managers and other financial institutions. Growth by 4 times will lead to the fact that the capitalization of the crypto market will be larger than the indicators of all financial companies in the world combined.

The crypto market is beginning to undermine the capitalization of gold, reaching 27.8% of the total value of the precious metal.

It is also interesting that at the moment 100 cryptocurrency projects are worth more than $ 1 billion. Such data are provided by the CoinGecko portal.

Will altcoins continue to grow? Bianco believes that there will be:

“In 2018, altcoins accounted for 70% of the total value of the crypto market. Then the bubble burst. Based on this information, it can be assumed that the market still has room to grow. «

At the moment, bitcoin dominance is 55.3%, according to data from CoinMarketCap.

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