Bitcoin set several new records throughout 2024 and eclipsed the six-digit threshold for the first time, leading the charge amid a broader crypto rally following Donald Trump’s election victory.
However, the historic rise to $100,000 wasn’t even the most impressive market outperformance by a cryptocurrency in 2024, thanks to several altcoins (alternative assets) and meme coins also rising sharply.
Bitcoin, which has risen 47% since US Election Day, has added around $1.2 trillion to its market capitalization this year through December 19, rising 130% to just over $102,000.
But it was Pepe, a token named after the frog meme linked to far-right groups, that performed the best among coins with market capitalizations of more than $5 billion, gaining about 1,570%, according to CoinMarketCap.
Read: As Bitcoin Soars, Luxury Brands Consider Accepting Cryptocurrency Payments
SUI, the native token of the Sui blockchain network, is the next best performer with a 509% gain, while Dogecoin, a cryptocurrency promoted by Elon Musk in recent years, surpassed Bitcoin with a 333% increase, during which the meme currency reached highs not seen since the pandemic.
The token used by Ripple, a digital asset company co-founded by billionaires Chris Larsen and Jed McCaleb, also outperformed Bitcoin this year, as XRP rose nearly 304%.
Stellar, used by the Stellar blockchain network, and Toncoin, the native cryptocurrency for a blockchain developed by Telegram, rose by 233% and 155%, respectively, behind the Hedera network token, which grew by around 248%.
Read: Bitcoin surpasses $106,000 on hopes for strategic reserve
Another Shiba Inu-inspired token, Shiba Inu, and Tronix’s TRON cryptocurrency just outperformed Bitcoin this year by rising 150% and 155%, respectively.
The 10 best performing cryptocurrencies in 2024
Market capitalization greater than $5 billion
- Pepe: rises 1,570.7%, market capitalization of 9,000 million dollars
- SUI: up 509%, market cap of $13.7 billion
- Dogecoin: up 333.1%, market cap of $56.9 billion
- XRP: up 303.9%, market cap of $142.3 billion
- Hedera: 247.7% increase, market cap of $11.5 billion
- Stellar: up 233.4%, market cap of $12.9 billion
- Toncoin: up 155.6%, market cap of $14.6 billion
- TRON: up 155.1%, market cap of $23.7 billion
- Shiba Inu: up 150.1%, market cap of $15.2 billion
- Bitcoin: Up 135.9%, Market Cap of $2 Trillion
How much did the cryptocurrency market grow in 2024?
According to CoinGecko, in 2024 the global cryptocurrency market value increased by approximately $1.8 trillion, rising from just under $1.8 trillion to $3.6 trillion as of December 18.
Bitcoin has more than the majority of the market, at 56.8%, and accounted for approximately two-thirds of the overall market growth.
What are meme coins?
Meme coins are a form of cryptocurrency that is often linked to a viral internet joke, and their prices are often more volatile than those of any other token because they react to pop culture moments.
Dogecoin rose in November after Trump announced that Musk and former Republican presidential candidate Vivek Ramaswamy would lead the Department of Government Efficiency, whose acronym shares the name of the coin.
Read: BlackRock recommends investing up to 2% in Bitcoin for 11.5 billion compared to The Mag 7
Musk later posted images of a “DOGE” logo and a Shiba Inu that appear to refer to dogecoin, featuring the dog’s face.
It previously embraced dogecoin on social media in 2021, sending the token to a peak of nearly $0.70 before Musk’s comment on “Saturday Night Live” that the coin was a “scam” caused its price to return. to drop to just over $0.05.
Altcoins, or cryptocurrencies considered an alternative to Bitcoin, also tend to be more volatile, as some analysts say the market has become oversaturated.
How Trump’s Election Boosted Cryptocurrencies?
Trump was endorsed by several billionaires with ties to the cryptocurrency industry, including Gemini co-founders Tyler Winklevoss and Cameron Winklevoss, and Ripple’s Larsen.
Trump stated that he wanted the United States to become the “crypto capital of the planet” and has supported Bitcoin mining.
His election victory sent Bitcoin to new all-time highs as the token eclipsed the $80,000, $90,000, and $100,000 thresholds within a month after Election Day.
Ethereum, the second-largest cryptocurrency by market capitalization ($418 billion), rose 43% and added more than $118 billion to its capitalization.
In total, the aggregate market value of the global crypto market has increased by more than $1 trillion since Election Day, according to CoinGecko.
Key background
The cryptocurrency market hit new highs in 2024, starting with the U.S. Securities and Exchange Commission’s approval of the first bitcoin exchange-traded funds in January.
Spot bitcoin ETFs allow investors to invest in the cryptocurrency without paying the higher fees associated with purchasing the token directly on exchanges like Coinbase.
That decision generated about $15 billion in capital in the first five months, according to a Bernstein analysis.
The cryptocurrency market has since benefited from becoming the focus of the recent presidential election, including Trump’s embrace of the industry despite his previous criticism.
This article was originally published on Forbes US
Follow us on Google News to always stay informed
