Bitcoin Surpasses Amazon, Becomes Sixth Largest Global Asset

Bitcoin has overtaken Amazon in market value, becoming the sixth largest asset globally. While Amazon’s stock has declined over 21% this year, Bitcoin has seen gains exceeding 40%. Institutional buying and positive retail sentiment, alongside geopolitical developments, are contributing to Bitcoin’s surge.

Bitcoin has recently surpassed Amazon in market capitalisation, now ranking as the sixth largest global asset. On the other hand, Amazon’s shares closed at $173.18, up 3.5% on the day. The company, however, has experienced a significant decline of over 21% year-to-date and a slight negative return of 3.5% over the past year, while Bitcoin has gained over 40% in the same timeframe, highlighting a stark performance discrepancy between the two assets.

Institutional involvement is believed to be a major factor in Bitcoin’s price surge. Edul Patel, Co-founder and CEO of Mudrex, noted that the rally is significantly influenced by increased institutional purchasing, with Bitcoin spot ETFs reporting net inflows exceeding $700 million—totalling over $1 billion this week alone. This trend illustrates growing institutional confidence in Bitcoin.

The retail market sentiment is also shifting positively, as indicated by the Fear and Greed Index moving to ‘Neutral’. This suggests retail investors are re-entering the market. Additionally, a drop in exchange inflows points to reduced selling pressure; maintaining this trend could see Bitcoin potentially testing the $100,000 milestone, supported currently at $88,000.

Geopolitical developments are also impacting market positivity, according to Riya Sehgal, Research Analyst at Delta Exchange. She highlighted that comments from Treasury Secretary Scott Bessent and former President Trump regarding a potential reduction in US-China trade conflicts have bolstered overall risk appetite. This shift is benefitting both the stock market and digital currencies.