XRP, Ethereum Rally Drives Digital Asset Market Above $4 Trillion Milestone

Crypto Market Cap Tops $4 Trillion as Altcoin Surge Reignites Bull Run

The global crypto market cap has crossed the $4 trillion threshold for the first time, powered by strong rallies in Ethereum (ETH), XRP, and a wave of capital rotation out of bitcoin (BTC), according to CoinGecko data.

The milestone comes alongside a breakout in the CoinDesk 20 Index — which tracks the largest digital assets — to a new all-time high above 4,000, marking a 35% gain in just the past month.

Crypto first reached a $3 trillion valuation in November 2021 at the height of a stimulus-fueled bull market. That surge quickly reversed as rising interest rates, the collapse of Terra and FTX, and tightening global liquidity dragged markets down, with BTC falling to as low as $15,625.

Now, after nearly three years of consolidation, the industry is back in uncharted territory — this time with stronger institutional backing. The recent resurgence began in late 2024 following Donald Trump’s re-election and subsequent market optimism over pro-crypto policies. The passage of the GENIUS Act has further boosted sentiment, particularly around regulatory clarity and ETF inflows.

November 2024 marked a turning point, with BTC climbing 36% — its best month since October 2021. Since then, ETH, XRP, and other altcoins have led the charge as traders increasingly rotate out of bitcoin and into higher-beta tokens.

With momentum building, analysts suggest the crypto market’s next leg up could come even faster. As institutional inflows accelerate and risk appetite spreads across altcoins, the path to a $5 trillion market cap could take months, not years.