Bitcoin’s market cap beats JPMorgan’s, Bank of America’s despite market crash
Bitcoin (BTC) has experienced increased selling pressure in 2022, a factor that has also put a dent in the asset’s value. Despite the expanded capital outflows from Bitcoin, the asset’s market value remains superior to select traditional stocks that have tangible real-world assets.
Notably, as of October 18, Bitcoin had a market capitalization of $374.78 billion, placing the flagship cryptocurrency as the 14th most valuable asset class globally. Bitcoin’s market cap ranks higher than the valuation of retail chain Walmart (NYSE: WMT ), which stands at $363.93 billion, according to Companies’ market value data.
Elsewhere, Bitcoin has dwarfed social media giant Meta Platforms (NASDAQ: FB ) and JPMorgan (NYSE: JPM ), which control a market cap of $360.58 billion and $349.31 billion, respectively. In particular, Bitcoin supporters position the asset as digital gold, but the crypto trails significantly behind the precious metal, which ranks at the top with a market capitalization of $10.942 trillion.
Furthermore, Bank of America (NYSE: BAC) which ranks 31st follows Bitcoin with a market capitalization of $278.82 billion.
Bitcoin hit with volatility
It is worth noting that Bitcoin has accumulated more capital than the featured companies despite being around for barely a decade. At the same time, Bitcoin can have a higher rating without extended market volatility.
In fact, Bitcoin’s valuation has fallen from over $1 trillion when the asset peaked in late 2021. The valuation pushed Bitcoin to rank among the top ten most valuable assets globally.
Furthermore, despite the volatility, Bitcoin’s price has stabilized recently, consolidating around the $20,000 mark. The price movement has come with Bitcoin correlating with some of the highlighted traditional assets. Along these lines, both asset classes have traded significantly in the red zone amid a high-inflation environment caused by the Fed rate hikes.
The regulatory issue
In general, traditional companies have an advantage over Bitcoin as they continue to trade in a well-regulated environment. At the same time, the prospects for the digital asset depend on how the regulations will play out.
Interestingly, some of the companies are warming up to crypto because of Bitcoin’s potential to act as a store of value. For example, last year Walmart began hosting Bitcoin ATMs at some of its retail locations, and the company recently noted that cryptocurrencies are likely to be significant payment disruptors.
Disclaimer: The content of this page should not be considered investment advice. Investment is speculative. When you invest, your capital is at risk.
