A comprehensive report by CoinGecko has revealed a remarkable uptrend in the cryptocurrency market throughout the first quarter of the year.
According to CoinGecko’s findings, the crypto market experienced robust growth during Q1, with capitalization surging by an impressive 64.5%, peaking at a staggering $2.9 trillion in March.
The surge in capitalization amounted to a substantial $1.1 trillion increase, nearly doubling the growth witnessed in the preceding quarter of 2024, which stood at $0.61 trillion.
Notably, this surge coincided with significant capital inflows into the spot Bitcoin ETFs sector following approval on January 10th.
The upward trajectory commenced in late January and persisted until mid-March, culminating in an interim peak in capitalization rates.
CoinGecko’s analysis also sheds light on the burgeoning assets under management (AUM) of U.S. Spot Bitcoin ETFs, which soared to $55.1 billion.
While Grayscale Bitcoin Trust ETF (GBTC) continues to dominate the market, competitors such as iShares Bitcoin Trust (IBIT) and Fidelity Wise Origin Bitcoin Fund (FBTC) have made significant strides in narrowing the gap.
Remarkably, Bitcoin itself witnessed a staggering 68.8% growth over the quarter, reaching new all-time highs.
Prior reports from Binance Research had indicated a rapid 16.3% increase in market capitalization within a single month.
Despite a slowdown in capital inflows into spot Bitcoin ETFs towards the end of March, funds continued to exhibit positive dynamics.
Since January, Bitcoin exchange-traded funds have attracted an impressive influx of over $12 billion in investments, reflecting sustained investor confidence and interest in the cryptocurrency sector.
