Bitcoin's Market Cap Surpasses Meta's Despite Turbulent Week for Crypto
Bitcoin, the world's most popular cryptocurrency, has managed to flip the market cap of tech giant Meta, despite a turbulent week for the crypto market following the downfall of Silicon Valley Bank (SVB) and Signature Bank. According to Companies Market Cap, Bitcoin's market cap has reached $471.86 billion, surpassing Meta's $469 billion.
Companies Market Cap provides real-time monitoring and ranking of market caps for cryptocurrencies, public companies, precious metals and exchange-traded funds. Only 24 hours earlier, BTC's market cap was nearly $37 billion below Meta's, sitting at $433.49 billion. However, Bitcoin's market cap rose 9.7% in the past 24 hours, pushing the cryptocurrency to sit in the 11th spot among top assets by market cap, just below electric vehicle maker Tesla.
The crypto market has been experiencing a lot of turmoil lately, with the downfall of SVB and Signature Bank causing significant drops in the market. SVB, a key player in the cryptocurrency space, announced that it was shutting down all of its crypto-related accounts, while Signature Bank was sued by the New York Attorney General for allegedly facilitating money laundering for a cryptocurrency exchange.
Despite these setbacks, Bitcoin has managed to bounce back and surpass Meta's market cap. The gap between the two market caps is now more than $20 billion, though it still is quite a distance from gold, which sits in first position with a $12.59 trillion market cap, followed by Apple in second place with a $2.380 trillion market cap.
Bitcoin's price has risen 8.72% in the past 24 hours, sitting at $24,441. This price surge could be attributed to various factors, such as increased institutional adoption of Bitcoin and positive sentiment around the crypto market in general.
Bitcoin has been gaining popularity among investors and companies alike, with Tesla investing $1.5 billion in the cryptocurrency earlier this year. Other major companies, such as Square and MicroStrategy, have also invested heavily in Bitcoin as a hedge against inflation and a potential store of value.
Despite its popularity, Bitcoin still faces significant challenges, such as regulatory uncertainty and concerns around energy consumption. Many countries are still grappling with how to regulate cryptocurrencies, which could impact the market's growth and adoption.
Additionally, Bitcoin's energy consumption has been a topic of controversy, with some critics arguing that the amount of energy used to mine and transact the cryptocurrency is unsustainable and harmful to the environment. However, proponents of Bitcoin argue that its energy consumption is necessary to maintain the security and decentralization of the network.
In conclusion, Bitcoin's market cap surpassing Meta's despite the turbulent week for crypto is a positive sign for the cryptocurrency market. However, it still faces significant challenges that could impact its growth and adoption in the future.