Market Cap Soars as Bitcoin Ignites Rally

The cryptocurrency market experienced a dramatic surge this week, with the global market cap jumping 11% to reach a new high of $1.82 trillion. This rally was sparked by a significant resurgence in Bitcoin (BTC), with altcoins like Solana (SOL) and Avalanche (AVAX) contributing to the momentum.

Bitcoin’s Bullish Streak Continues

Bitcoin kicked off the week with a strong performance, shattering the $43,000 resistance level on February 5. Despite a temporary setback below this threshold, BTC caught the attention of investors as it soared past $44,000 and closed the day with a 2.91% increase. The bullish trend persisted, with BTC surpassing $45,000 and reaching $45,300 by the day’s end, bolstered by high demand for spot Bitcoin ETFs, which saw inflows of $1.55 billion since their inception.

The surge in trade volume, a 55% increase from $16.8 billion to $26.2 billion by February 8, fueled Bitcoin’s strength, with volumes spiking to a monthly peak of $39.3 billion the next day. Bitcoin’s consistent gains led it to reclaim the crucial $48,000 mark, marking six consecutive days of intraday gains and aiming for a seventh, a streak last seen in October. Currently trading at $48,163, BTC has added a whopping $108.4 billion to its market cap this week alone.

Solana Breaks Through Resistance

Following Bitcoin’s lead, Solana experienced its own rally, with six straight days of gains. SOL reached a high of $98 on February 5 but encountered resistance near the $100 mark. Despite a network outage on February 6 that caused a temporary price dip, SOL quickly rebounded, closing at $96.85 with a 1.35% gain. On February 7, Solana surpassed the $100 psychological barrier and continued its upward journey, eventually overcoming the $106 resistance level that had been a significant hurdle since December 2023. Standing at $109.44, Solana is up 14.6% this week, with sights set on the $110 milestone.

Avalanche Targets New Yearly High

AVAX began the week with bearish sentiment, causing investor concern. After a slight decline to a low of $33.7 on February 5 and 6, Avalanche made a strong comeback with a 3.34% gain on February 7, reclaiming the $35 level. The asset’s price continued to climb, hitting $41 on February 10 as it aimed for the $43.47 yearly high reached on January 2. Despite encountering resistance, AVAX is currently preparing for another push to retest the $41 mark, with the $43 resistance level within sight.