Crypto Community Speculates Causes for Crypto Market Surge

• The global crypto market cap has exceeded $1 trillion in the last 24 hours.
• Shares of traditional companies, including Google, Apple, and Microsoft, significantly declined.
• UK parliament approved cryptocurrencies as regulated financial instruments.

The crypto market‘s value in the last 24 hours has crossed the $1 trillion cap by eight billion dollars, and the crypto community is wondering what led to the sudden bullish rally. YouTuber crypto analyst, Michaël van de Poppe, ascribed the situation to some macroeconomic events that happened within the last 72 hours.

Firstly, cryptocurrencies became regulated financial instruments in the United Kingdom after a motion by a parliamentary member scaled through second reading. By implication, crypto assets would be part of services under the regulation of the proposed Financial Services and Markets Bill.

Secondly, the market share of big tech companies experienced significant declines shortly before the crypto market picked up. According to reports, Google-parent Alphabet dropped 9.1% while Microsoft lost 7.7% shares after the company reported weaker-than-expected cloud revenue. Nasdaq, Amazon, and Apple equally suffered drops in value.

Furthermore, market chart analysts believe the recent price gains in the crypto were unsurprising as the market was due for a violent change.

William Clemente, a co-founder of crypto research firm Reflexivity Research, commented:

Pretty funny that volatility has been so compressed and we’ve become so conditioned as market participants that the slightest 3% move feels like a 15-20% move

In other news, over 112,500 Bitcoin traders were liquidated in the last 24 hours, with a cumulative loss of over $764 million. According to data from CoinGlass, the most significant single liquidation order happened on the Bybit crypto exchange, valued at $1.93 million. Additionally, 82% of Binance short traders lost over $7 million as Bitcoin moved to hit $21,000.