Crypto Market Cap Surpasses $4T, Flips Microsoft Amid Regulatory Wins
The cryptocurrency market has achieved a significant milestone, reaching a $4 trillion valuation. This surge represents a 4% increase in the last 24 hours and positions the crypto market capitalization ahead of tech giant Microsoft (MSFT).
Regulatory Boost Fuels Market Rally
Since early July, the crypto market has added $700 billion in value, fueled by the anticipated enactment of the GENIUS Act and CLARITY Act. These regulatory advancements signal growing acceptance and clarity within the digital asset space.
Further bolstering market confidence, speculation surrounds a potential executive order from US President Donald Trump, which could permit the inclusion of crypto assets in $9 trillion 401(k) retirement plans. This move would open the door for significant institutional investment in the crypto market.
Market Performance: Bitcoin, Ethereum, and XRP Lead Gains
- Bitcoin (BTC): Remains stable above $120,000.
- Ethereum (ETH): Spearheads the altcoin rally with an 8% increase.
- XRP: Achieves a new all-time high, gaining 18%.
Can Crypto Overtake NVIDIA?
The cryptocurrency market has experienced remarkable growth since mid-April, adding over $1.6 trillion to its market capitalization since the Trump Liberation Day. The recent passage of the GENIUS Act and Clarity Act by the U.S. House of Representatives has further propelled this rally, pending President Trump’s signature to become law.
Currently, the crypto market is less than 5% away from surpassing NVIDIA (NASDAQ: NVDA), which holds a market cap of $4.2 trillion. Should the current market momentum persist, the crypto market could potentially exceed NVIDIA’s valuation by the end of July.
Market Liquidation and Altcoin Strength
Despite the bullish trend, recent market activity saw nearly $600 million liquidated in the last 24 hours, with $380 million in short liquidations. While Bitcoin maintains its position, altcoins such as ETH, XRP, SOL, BNB, and DOGE are demonstrating substantial gains, ranging from 5-10%.
Increased inflows into spot Bitcoin and Ethereum ETFs indicate rising institutional demand for digital assets, with BlackRock leading the charge in the crypto ETF market. Expectations are also growing for the SEC to approve XRP and SOL ETFs by the end of the year.
Regulatory Developments: GENIUS Act, CLARITY Act, and 401(k) Crypto Investments
The CLARITY Act aims to provide a clear legal framework for the crypto market, while the anti-CBDC law suggests a supportive stance toward the crypto industry.
The GENIUS Act could spur major institutions to compete in the stablecoin market, projected to reach $3.7 trillion by 2030. Furthermore, President Trump’s potential executive order allowing 401(k) retirement funds to invest in crypto could inject significant liquidity into the market.
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