Last Updated on 16 mins by Yash Majithia

The cryptocurrency market experienced a notable surge in its market capitalization, adding $40 billion within a single day, marking a significant contrast to the events of the previous Monday when Bitcoin (BTC) faced a sharp decline. This time, however, Bitcoin took a different course, launching an aggressive rally and reaching a nearly 7-week high at $28,500.

In tandem with Bitcoin’s impressive performance, the broader altcoin market also saw substantial gains. Noteworthy cryptocurrencies like Solana (SOL), Cardano, OP, MATIC, and others were all seen in the green.

Just one week prior, the primary cryptocurrency, Bitcoin, faced a steep decline of over $500, causing it to dip below the $26,000 mark for the first time in approximately two weeks. Yet, bullish momentum quickly intervened, preventing further declines. Bitcoin embarked on a path to recover its lost ground, surging toward $27,000 during the middle of the week. Although it initially encountered resistance at this level, it made another bullish move a few days later, surpassing this barrier.

While some resistance was encountered along the way, Bitcoin managed to hold its ground at around $27,000 throughout the weekend. As the early Monday Asian trading session commenced, Bitcoin broke through its resistance and reached $28,500 on Bitstamp, a price level not seen since August 17.

Although Bitcoin has retraced slightly from this peak, it still maintains a strong position above the $28,000 mark. Its market capitalization has surged beyond $550 billion, and its dominance over other cryptocurrencies has increased by 0.5% within a day, reaching 49.4% on CoinMarketCap.