Cointime

Download App
iOS & Android

Bitcoin Rally Pushes BTC To Surpass All Global Banks in Market Cap

The recent Bitcoin (BTC) rally characterized by increased buying pressure has elevated the maiden crypto to surpass leading traditional finance entities in terms of market capitalization.

Indeed, with a market cap of $443.04 billion as of January 24, BTC is valued higher than any global bank. The capitalization has placed Bitcoin as the 16th most valuable asset globally, according to CompaniesMarketCap data.

As things stand, American banking giant JPMorgan Chase (NYSE: JPM) comes close to Bitcoin with a market cap of $402.79 billion and 19th overall. Bitcoin’s valuation also ranks higher than Bank of America’s (NYSE: BAC) at $274.44 billion in the 35th position. 

Bitcoin and banks asset class difference 

Although Bitcoin now controls a significant market cap compared to traditional finance banks, both entities belong to different asset classes. The banks’ market capitalization is backed by stocks with underlying assets. 

On the other hand, Bitcoin is not backed by any hard assets, with its price susceptible to volatility while being influenced by speculation and general market sentiment.

Overall, the latest Bitcoin milestone is a testament to proponents regarding the potential of the crypto to replace the traditional banking sector once maturity is realized.

Even as Bitcoin registered a surge in market cap, several global banks are also witnessing growth despite the global economy facing uncertainty. For instance, as per a Finbold report, European Union banks controlled assets worth €29.01 trillion during the third quarter of 2022, representing year-over-year (YoY) growth of 11.54%.

The milestone by Bitcoin follows the digital asset’s impressive 2023 run, with the flagship crypto attempting to find a bottom that would likely spark a new rally. The rally saw Bitcoin briefly surpass the market cap of electric vehicle (EV) maker Tesla (NASDAQ: TSLA) as of January 23.

However, by press time, Tesla had flipped Bitcoin in market cap, with the EV manufacturer controlling $453.92 billion. 

Bitcoin price analysis

As things stand, Bitcoin is trading at $22,881, gaining by almost 1% in the last 24 hours.

Currently, Bitcoin is attempting to break the $23,000 resistance level, having briefly breached the position in recent days.

Comments

All Comments

Recommended for you

  • Crypto payment platform Meso completes $9.5 million in financing

    The cryptocurrency payment platform Meso has completed a $9.5 million seed round of financing, co-led by Solana Ventures and Ribbit Capital, with participation from Canonical Crypto, 6th Man Ventures, and angel investors including Phantom co-founder Chris Kalani, Pinterest CEO Bill Ready, and Archie Puri of Bodhi Labs.

  • Chain gaming studio Crystal Fun completes US$5 million in seed round financing

    Decentralized blockchain gaming ecosystem and studio Crystal Fun announced the completion of a $5 million seed round of financing. This round of investment was participated by well-known institutions such as Kucoin Ventures, Actoz Soft, Waterdrip Capital, Comma3 Ventures, Stratified Capital, Cypher9 Ventures, Aelf Ventures, W Labs, and Masverse. The funds raised this time will mainly be used for the development and operation of its games. Currently, Crystal Fun has announced the launch of four games: "OUTER", "Endless War", "StarFall", and "Survivor". In addition, Crystal Fun also announced that it will start the second internal testing of the game "OUTER" today, mainly to test the balance values and pressure load in the game to ensure that players can enjoy the best gaming experience.

  • Dalian Securities Regulatory Bureau and other seven departments: Prevent illegal fund-raising in the name of "virtual currency", "Yuanverse", "wealth sharing", etc.

    The Dalian Securities Regulatory Bureau and seven other departments issued a risk warning about preventing illegal fundraising activities under the guise of "virtual currency", "metaverse", "wealth sharing", and other names. Recently, some lawless individuals have used the names of "virtual currency" and "metaverse" to lure investors to download illegal apps and purchase their self-created illegal virtual currency through online WeChat groups and offline national tour meetings, claiming to offer "wealth sharing" opportunities. These activities are suspected of illegal fundraising and fraud, seriously infringing on the property safety of the people and disrupting the order of economic and financial activities.

  • UK ministers expected to introduce legislation on stablecoins and cryptocurrency staking services within six months

    According to Bloomberg, Bim Afolami, the UK Treasury's economic secretary, has stated that the British government is "pushing hard" to legislate on stablecoins and cryptocurrency custodial services within the next six months. In October 2023, the Bank of England and the Financial Conduct Authority (FCA) announced a wide-ranging plan to coordinate regulation of the cryptocurrency industry.Additionally, according to CoinDesk, the stablecoin rule roadmap indicates that final rules will be discussed by mid-2024 and stablecoin systems will be implemented before 2025.

  • FTX network addresses still hold more than $3 billion worth of token assets

    As of February 20th, FTX currently holds token assets worth $3.158 billion in Bitcoin, Ethereum, and Solana networks, including:

  • Xu Zhengyu: The government believes that it is necessary to bring OTC into supervision

    Hong Kong Financial Secretary and Treasury Bureau Director, Paul Chan Mo-po, stated that the government believes there is a need to regulate over-the-counter (OTC) virtual currency trading platforms and will consult on the proposed regulatory framework in the short term, hoping that citizens and stakeholders will actively express their opinions. We are not sure how short this short term is, but what is certain is that OTC virtual currency trading in Hong Kong will usher in a compliant era. As an old international financial center, Hong Kong has always been relatively open and inclusive in its attitude towards virtual currencies. Hong Kong does not regard virtual currencies as legal tender or financial instruments, but defines them as "virtual assets" and takes corresponding regulatory measures based on the activities and risk levels involved.

  • Storage sector tokens generally rose, AR rose by more than 21% in 24 hours

    According to market data on February 20th, there was a general increase in storage tokens, including:

  • The total market value of stablecoins exceeds 140 billion US dollars

    Stablecoin total market capitalization has reached $140,001,543,646. Among them, the issuance of USDT reached $97.8 billion and the issuance of USDC reached $28 billion.

  • Open interest in Ethereum contracts across the network exceeds $10.5 billion

    According to Coinglass data on February 20th, the total open interest of Ethereum futures contracts on the entire network has risen to 3.5693 million ETH (approximately 10.584 billion US dollars), with a 24-hour increase of 3.75%. Among them:

  • LoongCity, an ERC404 improvement protocol project, completed a US$2 million seed round of financing, led by MAZARINE SEA

    According to official sources, ERC404 improvement protocol project LoongCity announced the completion of a $2 million seed round of financing with investment from MAZARINE SEA. It is reported that LoongCity will launch the ERC1321 protocol based on the ERC404 protocol improvement, which solves the problem that the ERC404 protocol cannot judge the rarity of NFTs by introducing on-chain oracles. LoongCity is an imaginary Chinese steampunk-themed metaverse and will conduct its first NFT minting tomorrow, and will subsequently develop towards GameFi and the metaverse.