Crypto Market Cap Surges 2.44% to $3.9 Trillion on Bitcoin and Ethereum Gains

The crypto market has experienced a significant surge, with the total market cap reaching a massive $3.9 trillion, marking a 2.44% increase. This upward momentum is driven by Bitcoin's new all-time high of $110,000 and Ethereum's strong 6% gain, now trading at around $2,593.40. Both cryptocurrencies are testing key levels, supported by bullish chart patterns and fundamentals.

Bitcoin's recent price action has been notable, with a nearly 2% increase pushing it to a fresh all-time high. This move follows a period of consolidation between $102K and $110K, allowing the market to cool off and gather strength. The Relative Strength Index (RSI) is currently just below 60, indicating there is still room for price appreciation without becoming overbought.

Analysts, such as Crypto Patel, have observed that this Bitcoin rally is different from previous ones. It is characterized by quieter, less retail-driven activity and more institutional involvement. Large ETFs, like BlackRock’s, are making significant trades that move thousands of BTC, indicating a shift towards institutional investment.

Macroeconomic conditions are also contributing to the crypto market's bullish sentiment. The U.S. M2 money supply has reached a record $21.94 trillion, and the dollar index (DXY) has dropped to 96.37, its lowest level since early 2022. Historically, these trends have coincided with Bitcoin breakouts. Additionally, the strong performance of the S&P 500, Nasdaq, and tech stocks like NVIDIA has reinforced Bitcoin's correlation with equities.

Jump Crypto-linked wallets have added to the momentum by moving 7,499 BTC worth over $816 million. This transaction, after a two-year period of inactivity, aligns with the broader narrative of whales and institutions re-entering the market as Bitcoin approaches price discovery zones.

Lower exchange reserves further support this trend. With only 14.5% of the BTC supply now on exchanges, the lowest since 2018, selling pressure appears diminished. Analysts view these metrics as signals of accumulation phases, often preceding major rallies.

Ethereum's price recovery has been backed by technical and on-chain activity. Ethereum filled its fair value gap and bounced from the 0.618 Fibonacci retracement level around $2,118. It is now retesting an ascending channel’s resistance trendline, with a breakout potentially leading to the $2,877 to $3,000 range. Technical analysis of the 8-hour chart reveals a well-defined rising channel that has contained price action since May, with support forming around $2,500.

On-chain data indicates that over 36 million ETH is staked, a 3% increase during June. Whales are moving large amounts of ETH off exchanges, over 200,000 ETH weekly, indicating long-term holding intentions despite stagnant daily active addresses.

The total crypto market cap is testing the $3.35–$3.37 trillion resistance zone formed by a descending trendline since mid-May. Technical analysis shows a bullish ascending triangle formation, with higher lows from the $3.02 trillion swing bottom to early July pushing price action closer to a breakout point. A confirmed breakout above the trendline could send the market toward $3.42 trillion and possibly $3.48 trillion, levels last seen in May. If the market fails to break above, support lies at $3.19 trillion. A drop below this would put the $3.05 trillion level back into consideration, which would spoil the bullish configuration.

Overall, technical charts, macro data, and institutional behavior suggest that the market is poised to make further gains should key resistance levels be breached in the next few days.