The total ceiling of the encryption market can reach 4 trillion dollars in the second quarter – the analyst
The total market value of encryption was the highest new level ever reached 3.73 trillion dollars on December 14, 2024, but since, the scale has decreased by 21 % to 2.91 trillion dollars.
Despite the current clouds, one analyst believes that the scale can reach new levels of new levels in Q2 2025.
The total market ceiling and the global liquidity index are linked
Mark quantity, researcher in the encryption market, foot A study indicated that the GLI is the GLI Index (GLI) can pave the process of recovery for the encryption market, which may push the total ceiling of the encryption market to the highest level ever over 4 trillion dollars in the second quarter of 2025.
The Global Liquidity Index (GLI) measures the ease of financing in the global financial markets, and can be used as a measure to understand global financial conditions.
When Gli rises, it indicates that investors have access to more capital, which enhances the risks of assets such as encryption.
Bitcoin and global liquidity index. Source: x
As shown in the graph, Quant explained that GLI and Total Market Cap carry a strong connection of 0.77 with 74 days displacement. With GLI, the main indicator, its expansion often led to a bullish direction in encrypted currencies. Although the market may move sideways over the next thirty days, the analyst in early April expected to start a bullish gathering. He said the quantity,
“Once the liquidity is fully priced, the total $ 4 can exceed the 4T market, and is in line with previous liquidity courses.”
On a larger scale, Quant analysis draws similarities with Lin Al -Baldin Research from September 2024. Research article “Bitcoin: A Global Cidility Barometter” reported that Bitcoin moved 83 % of time towards global liquidity in any period of 12 months.
Bitcoin alignment with global liquidity. Source: Lynalden.com
Compared to other major assets categories such as SPX, Gold and VT, Bitcoin’s association with global liquidity is the highest. However, coding assets were subjected to short -term deviations from time to time through “distinctive events or internal market dynamics”.
Related: Why is the encryption market today?
Is the encryption market at the bottom?
Although the total maximum market has decreased by 20 % over the past three months, Dom, market analyst, He said He was currently testing its previous 2021 high and high session in March 2024 as support.
The analyst explained that the average relative weight price of the relative size or RVWAP sat directly below the current market ceiling, adding more support to the market structure.
Dom said,
“This is very clear in this monthly graph and adds to the idea that acceptance under current monthly declines will break the bull market.”
Likewise, Dan Chefro, Chefer, High The current weekly closure will be important from a bullish perspective. Currently, the total ceiling of the encryption market is still under its levels in 2021, which means that there is a declining acceptance looking for dominance in the high time frame scheme.
Crusion Market 1 week analysis by Dan Crypto. Source: x
This article does not contain investment advice or recommendations. Each step includes investment and risk trading, and readers must conduct their own research when making a decision.
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