The global cryptocurrency market capitalization reached $4.061 trillion yesterday (Monday). This marks a new record high for the sector. The increase was supported by strong performances from major cryptocurrencies. Bitcoin was trading near $123,000, while Ethereum surpassed $4,000.

In a recent regulatory development, U.S. authorities approved the inclusion of cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw Read this Term as eligible investments within 401(k) retirement plans. This change may allow plan participants to allocate part of their retirement savings to digital assets such as Bitcoin and Ethereum.

The decision is expected to increase crypto adoption by integrating digital currencies into established retirement investment systems. This could lead to higher participation from both institutional and retail investors.

Factors Driving Market Growth

Market analysts attribute the growth to several factors. These include increased institutional inflows, positive regulatory developments, and renewed investor confidence. The current market capitalization exceeds the previous all-time high recorded in late 2021. This milestone reflects ongoing expansion in the digital asset industry.

Market Data Overview

Data from CoinGecko shows the global cryptocurrency market capitalization at $4.03 trillion today. This figure represents a 1.93% decrease over the last 24 hours but an 84.49% rise compared to the same period one year ago.

Bitcoin holds a dominant position with a market cap of $2.36 trillion, making up 58.62% of the total cryptocurrency market. Stablecoins have a market capitalization of $279 billion, which is 6.91% of the overall market.

You may find it interesting at FinanceMagnates.com: XRP Trades in Range as Analysts Predict $6 by 2025 Amid SWIFT Transaction Decline

Bitcoin Price Forecasts Range from $140K to $1 Million

Several market participants maintain optimistic long-term price targets for Bitcoin despite concerns about short-term volatility. Cathie Wood of ARK Invest projects Bitcoin could reach $1 million by 2030. Her forecast is based on network effects and increased institutional adoption, viewing Bitcoin as a monetary network that grows with user adoption.

Standard Chartered’s research team estimates a medium-term target of $500,000, highlighting Bitcoin’s role as digital gold amid macroeconomic uncertainty, with emphasis on supply scarcity and rising demand from sovereign wealth funds.

Read More: DeepSeek AI Predicts XRP to Reach $5 and Bitcoin to Hit $500K in 2025.

On the derivatives exchange Deribit, the $140,000 call option strike price holds the highest open interest, exceeding $3 billion in notional value. This suggests that professional traders expect notable price increases from current levels as the contract approaches expiration.

Howard noted that historical trends following the 2025 Bitcoin halving Halving Halving represents a phenomenon when crypto mining rewards are cut in half. Cryptocurrency networks that run on Proof-of-Work (PoW) algorithms require the computers (nodes) that uphold them to solve complex equations that are used to confirm transactions. This process is known as mining. In exchange for their work, these nodes are given rewards in the form of the crypto token that belongs to that particular network. For example, on the Bitcoin network, halving happens regularly at preset interva Halving represents a phenomenon when crypto mining rewards are cut in half. Cryptocurrency networks that run on Proof-of-Work (PoW) algorithms require the computers (nodes) that uphold them to solve complex equations that are used to confirm transactions. This process is known as mining. In exchange for their work, these nodes are given rewards in the form of the crypto token that belongs to that particular network. For example, on the Bitcoin network, halving happens regularly at preset interva Read this Term suggest further price gains. While some expect a short-term correction, he anticipates Bitcoin reaching $150,000 before the end of the year.