The cryptocurrency market has boomed in recent times, with its total market cap now exceeding the market cap of Microsoft. Currently, the market cap of cryptocurrencies has reached $3.62 trillion, while Microsoft's market cap is $3.085 trillion. This growth has made cryptocurrencies the second most valuable asset in the world, only behind Apple, which has a market cap of more than $3.548 trillion.

Reasons for the boom in cryptocurrencies

This rise in cryptocurrency prices is mainly due to political and economic factors. Positive changes have been seen in the market since Donald Trump became the President of America. Experts believe that Trump's policies have increased investor confidence, which has led to huge investments in cryptocurrency. 

How did the market cap of cryptocurrency increase

The cryptocurrency market cap was only $0.004 trillion in January 2015, which gradually increased over the following years. It touched the $1 trillion mark for the first time in January 2021 and then a year later it reached $2 trillion. However, it fell to $1 trillion last year, but it rose again to $1.75 trillion in January 2024 and has now reached $3.62 trillion.

What are the future prospects

Experts believe that if the demand for cryptocurrency remains like this, its market cap may increase even more in the coming times. Major investment banks like HC Wainwright have predicted that the price of bitcoin could reach $225,000 by the end of 2025. This is likely to increase the prices of not only bitcoin but also other cryptocurrencies.

A favorable regulatory environment will also be necessary to maintain the growth of the crypto market. Many countries have taken steps to legalize cryptocurrencies, which has increased investor confidence. There are positive expectations about possible regulatory changes in many countries, including the US.