The Crypto Market on Track to Surpass $4 Trillion Sooner Than Expected!

According to a recent study by crypto market researcher Mark Quant, the increase in the Global Liquidity Index (GLI) could be a key factor in the recovery of the cryptocurrency market. This dynamic could push the total market capitalization beyond $4 trillion in the second quarter of 2025, thus reaching new historical highs.

Crypto: global liquidity as a key indicator

Mark Quant’s analysis is based on the historical correlation between global liquidity and the total market capitalization of crypto ($TOTAL). By overlaying these two indicators on a graph, a correlation of 0.77 is observed with a 74-day lag. This means that the evolution of global liquidity often precedes that of the cryptocurrency market, making it a relevant leading indicator.

Historically, an expansion of liquidity precedes bullish trends in risk assets, of which cryptos are a part. According to this analysis, the period between the end of March and the beginning of April could signal the start of a more favorable environment for these assets.

$4 trillion in sight for the crypto market!

Currently, the market is in a stabilization phase. Over the next 30 days (orange zone), price action is expected to remain in a slight recovery dynamic or a sawtooth evolution, while liquidity conditions stabilize fully.

However, once this liquidity is fully integrated into the market, the total capitalization of cryptocurrencies could exceed $4 trillion, in line with previous bullish cycles driven by liquidity.

Is the bitcoin bull run coming soon?

The current stabilization of the crypto market, followed by a potential increase in capitalization beyond $4 trillion, could trigger a major bull run for bitcoin. This dynamic would be amplified by Donald Trump’s recent decree, which designates BTC as a state asset, thus reinforcing its legitimacy and attracting a wave of institutional investments.

Despite these optimistic perspectives, Mark Quant emphasizes the importance of discipline. Although favorable winds begin to form, such as the dollar’s decline, the crypto market remains in transition. The next sustainable bullish trend will come, but it will require patience.