November marked a groundbreaking month for the cryptocurrency market, with remarkable growth in performance, activity, sentiment, and political dynamics, according to a report from JPMorgan published on Monday.
The report highlighted that the total market capitalization of cryptocurrencies rose by 45% in November, making it the best monthly performance to date. This surge pushed the crypto market cap to $3.3 trillion, fueled by broad gains across tokens, decentralized finance (DeFi), stablecoins, and publicly traded companies with crypto exposure.
JPMorgan analysts, led by Kenneth Worthington, credited much of the rally to the reelection of President-elect Donald Trump, which sparked a historic surge in market caps across the crypto ecosystem. The report also revealed that trading volumes in the crypto market more than doubled, with some digital assets experiencing even higher levels of trading activity, although non-fungible token (NFT) volumes lagged behind.
In addition, the report noted that U.S. spot exchange-traded products (ETPs) saw record monthly net sales, totaling around $7.6 billion. Bitcoin ETPs specifically saw notable growth in both size and trading volume. While these products haven’t significantly affected Bitcoin spot trading volumes, the report emphasized the increasing dominance of Bitcoin within the market.
Bitcoin’s dominance has been on an upward trajectory throughout the year, although it has seen a slight dip in recent weeks, partly due to the rising popularity of Bitcoin ETPs, which accumulated $105 billion in assets by the end of November.
Lastly, the report mentioned that mining economics improved in November, as Bitcoin’s price rally outpaced the growth in its hashrate, which is the computational power securing the Bitcoin network.
