Bitcoin above $19,000 as crypto market cap approaches $1T

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The crypto market held onto its gains on Friday after rising sharply on Thursday following the fresher report.

and held onto their Thursday gains on Friday, taking the global crypto market cap to its highest level since . The rally comes after new CPI data showed inflation fell to 6.5% in December from 7.1% a month earlier.

Global Crypto Market Capitalization at Highest Level Since FTX Crash

continues to hover around the $19,000 level after recently breaking it. The world’s second-largest cryptocurrency, , also held on to its gains after the global crypto market hit its highest level since November. The two cryptocurrencies are currently trading at $18,855 and $1,404.70, respectively.

Altcoins like (ADA) and (DOGE) are also in the green, up 0.75% and 0.37%, respectively. Conversely, (ADA) and (BNB) are down slightly over the past 24 hours. However, both coins have seen significant gains over the past week, up over 21% and 11%.

The latest crypto rally pushed the global crypto market cap to $909.58 billion from $851 billion last week. This is the highest level since FTX crashed in early November.

Meanwhile, crypto stocks have seen mixed performance over the past 24 hours. Coinbase (NASDAQ:), the world’s second-largest crypto exchange, is down in premarket trading, while Silvergate Capital (NYSE: shares rose 1.8%. The company’s shares plunged more down 40% last week after the bank sold assets at a large loss to cover about $8.1 billion in withdrawals. Shares of Michael Saylor’s MicroStrategy also fell more than 2% pre-open Friday .

Cooling inflation is the likely reason for the crypto rally

The jump in the crypto market follows the latest CPI print, which showed the annual inflation rate in the United States in December. The reading was in line with economists’ estimates.

The drop in inflation suggests that the Federal Reserve’s series of massive interest rate hikes is paying off. However, it remains unclear whether the US central bank plans to significantly slow short-term rate hikes as it attempts to bring inflation down to 2%.

Meanwhile, the robust labor market continues to support the US economy. The unemployment rate fell last week to 3.5%, its lowest level in 53 years, although some companies are still struggling to hire new employees.

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