Bitcoin exceeds 56,000 USD
The largest cryptocurrency by market capitalization skyrocketed nearly 10% this morning, exceeding $56,000, the highest price since the end of 2021. 
Bitcoin (BTC) soared this morning, surpassing the recent sideways price range as buying pressure suddenly increased
The market's highest-cap cryptocurrency broke through key resistance at $53,000 last night and continued to surge this morning, CoinDesk data shows. As of 10am, each BTC coin was trading at over 56,300 USD, up nearly 10% in the past 24 hours. Bitcoin's capitalization reached over 1,100 billion USD.
Ethereum (ETH), the second-ranked cryptocurrency in the market, also increased nearly 5%, reaching its highest level in nearly two years at 3,200 USD.
Top market cap cryptocurrencies such as Solana (SOL), Polygon's MATIC and Cosmos' ATOM led the gains among cryptocurrencies, with a margin of 5-7%.
MicroStrategy (MSTR) - the company that owns the largest Bitcoin - just spent $155 million to buy an additional 3,000 BTC, bringing its total holdings up to 193,000 BTC. According to filings with the US Securities Exchange Commission (SEC), these new purchases were made from February 15 to February 25, at an average price of 51,813 USD per BTC. Since the start of trading, MicroStrategy has spent more than $6 billion to buy Bitcoin, with an average price of $31,544. Currently, this company records a profit of more than 77%.
The market's rising momentum is the driving force behind stock prices in this sector. Shares of cryptocurrency exchanges Coinbase and MicroStrategy (MSTR) both increased 17% in last night's session on the US market. Large-cap bitcoin miners Marathon Digital and Riot Platforms are up 22% and 15%, respectively.
Some market observers have predicted Bitcoin could correct to $48,000 as the recent rally has slowed. However, the strong rally last night and this morning was seen as a decisive breakthrough, as Bitcoin broke through a historically important resistance level, just before the previous record high ($69,000).
“Bitcoin appears to have broken out of the sideways price range it has been in since February 15,” crypto analytics firm Swissblock said in a market update earlier this week. "The momentum is growing strongly. All sails are ready."
Swissblock analysts also forecast that the next level for Bitcoin's price target will be between $57,000-58,000, approaching the all-time high
Bitcoin capitalization returned to the threshold of 1,000 billion USD
The price of the largest digital currency by market capitalization increased to 52,000 USD, helping Bitcoin's capitalization exceed the threshold of 1,000 billion USD - the highest level in more than two years. Bitcoin price soared to 52,000 USD on the evening of February 14, after a sharp drop due to US CPI news a day earlier.
The upward momentum helped the market's largest cryptocurrency capitalization return to the $1,000 billion threshold after 26 months, as investors put faith in the ability of the market to continue to rise.
In the 15 years since its creation, Bitcoin has only had 145 daily closes above $50,000, according to CoinDesk data. Other top cryptocurrencies by market capitalization also increased, with Cardano's ADA and dogecoin both up 6%. Ethereum (ETH) - the second-ranked digital currency in the market - also increased more than 5% to 2,750 USD, the highest price since May 2022.
The sharp rise in the cryptocurrency market comes amid optimism about the possibility of continued gains. The options market is betting Bitcoin price will reach $75,000 in the coming months. Some other traders expect a target in the $64,000 region in the coming weeks as demand from spot Bitcoin exchange-traded fund (ETF) products increases.
Strong cash flows into ETFs listed in the US have supported investor sentiment, with BlackRock's IBIT attracting nearly 500 million USD on February 13. Meanwhile, net withdrawals from Grayscale Bitcoin Trust (GBTC) are showing signs of slowing down. Swissblock analysts noted in a Feb. 14 report that Bitcoin could continue its uptrend as it held key support at $46,000, but warned the pace of gains could slow.
