Crypto Market Cap Might Hit $4 Trillion by the End of the Cycle, Analyst Says

Amidst the most recent crypto restoration, one analyst has said that the full market capitalization has accomplished its short-term correction and can restart its bull run quickly.

As the recent crypto recovery continues, one analyst has stated that the total market cap has completed its short-term correction and will quickly begin its bull run again. The analyst in question, Michael van de Poppe, believes that the next long-term target for the crypto market cap is at $4 trillion. At present, the market is valued at just over $2.3 trillion.

Van de Poppe tweeted:

He uses the 0.618 Fibonacci retracement level from the All-Time High (ATH) peak of $2.72 trillion to arrive at a retracement value of nearly $2 trillion. The crypto market cap followed the Fibonacci sequence and managed to bounce from the crucial support level. Had it been breached, the next level would have been at the 0.5 Fibonacci level, at around $1.85 trillion.

According to van de Poppe, the next long-term target for the cryptocurrency market cap is at the 1.618 Fibonacci level, just below the $4 trillion valuation ($3.95 trillion). After that, the next Fibonacci sequence is 1.786 and $4.85 trillion.

This prediction is feasible for the digital currency market as the bull market has only just begun. Bitcoin alone is expected to reach anywhere between $100k to $250k by the end of this cycle, targeting a market capitalization of $2-4.5 trillion. Altcoins are expected to follow suit and eat away at its majority share of the proceedings as the bull cycle progresses.

What Will Be the Contribution of Bitcoin and Altcoins?

While the total market cap is expected to hit at least $4 trillion during this cycle, the individual contribution of each digital currency is a bit far-fetched to predict. The crypto market has seen massive altcoin runs in the last two bull markets of 2016-2017 and 2020-2021. However, the primary mover in both these rallies was BTC, and the rest of the market followed suit. BTC is expected to have a major slice of the bull run, and its dominance may remain above 40% even at the end.

While pinpointing the exact timing of this major price rally is difficult, the market is expected to perform well in the latter half of 2024, eventually leading into a strong 2025. The total crypto market cap could reach record highs by Q3 or Q4 of 2025, although this depends on broader economic factors.

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