Key Points
- The crypto market’s capitalization grew by 64.5% in Q1, peaking at $2.9 trillion in March.
- U.S. Spot Bitcoin ETFs assets under management grew to $55.1 billion, with Bitcoin reaching an all-time high.
The first quarter of the year saw a significant expansion in the crypto market, as reported by CoinGecko. The market’s capitalization rose by 64.5%, hitting a high of $2.9 trillion in March.
In total, the market’s capitalization rose by $1.1 trillion. This growth rate is nearly double the increase observed in Q4 of 2024, which was $0.61 trillion. The capital inflows into the spot Bitcoin ETFs sector, which gained approval on January 10, saw a significant increase during this period.
Bitcoin ETFs and Market Trends
The upward trend started towards the end of January and continued until mid-March, when the capitalization rate reached an intermediate peak. CoinGecko’s experts highlighted that the assets under management (AUM) of U.S. Spot Bitcoin ETFs grew to $55.1 billion.
Despite the dominance of the Grayscale Bitcoin Trust ETF (GBTC), the iShares Bitcoin Trust (IBIT) and the Fidelity Wise Origin Bitcoin Fund (FBTC) have notably closed the gap. Analysts noted that Bitcoin’s value increased by 68.8% over the quarter, achieving a record high.
Binance Research had previously reported that the market capitalization had increased by 16.3% within a single month. Despite a slowdown in capital inflows into spot Bitcoin ETFs towards the end of March, funds continued to show positive dynamics.
Since January, Bitcoin exchange-traded funds have attracted over $12 billion in investments.
