Bitcoin crosses $100K, leading crypto market gains

May 9, 2025 (MLN): The cryptocurrency market is experiencing a strong bullish trend, with Bitcoin crossing the $100,000 threshold for the first time since February.

The leading digital asset is currently trading at $102,929.22, marking a 5.02% gain over the past 24 hours.

However, it is Ethereum that has taken center stage, delivering a remarkable 20.25% rise within the same period and reaching $2,203.

Overall market sentiment remains positive, as the total cryptocurrency market capitalization has increased to $3.22 trillion a 3.66% gain in the last 24 hours, based on data from Coinmarketcap.

While not directly linked, recent comments from U.S. President Donald Trump on Thursday may have contributed to the optimistic outlook.

Trump indicated that trade tariffs on China, currently at a maximum of 145%, might be reduced depending on the outcome of upcoming talks.

These remarks have been interpreted as a sign of easing trade tensions, potentially boosting risk assets such as cryptocurrencies.

Ethereum’s dramatic rise appears to be supported by fundamental developments. According to Crypto Times, the network’s Total Value Locked (TVL) has surged by 41% over the past month, now standing at $52.8 billion.

This increase suggests significant inflows into decentralized applications and protocols within Ethereum’s ecosystem, reinforcing its role in the DeFi space.

Additionally, Ethereum has seen a 22% increase in daily transactions, now totaling 1.34m, reflecting growing user engagement, as Blockhead reported.

The report also highlights the expansion of major projects including BlackRock's BUIDL fund, Spark Protocol, and Ether.fi, which signal rising institutional and retail interest in Ethereum-based financial products.

A key factor behind Ethereum’s recent momentum is the successful implementation of the Pectra upgrade on May 7, 2025.

This update introduces 11 Ethereum Improvement Proposals (EIPs) aimed at improving scalability and user experience.

Among them, EIP-7251 significantly raises the staking limit for validators from 32 to 2,048 ETH, which could enhance network security by attracting more participants.

Meanwhile, EIP-7702 allows users to pay transaction fees using stablecoins like USDC or DAI, making the platform more user-friendly.

Ethereum’s gains have also been buoyed by Bitcoin’s climb past the $100,000 psychological level, which has added further momentum to the crypto rally.

Another contributing factor is Wednesday’s Federal Open Market Committee (FOMC) decision to maintain current interest rates while noting increased economic uncertainty.

Though this stance initially created some caution in traditional markets, the crypto sector seems to be viewing the absence of immediate rate hikes as favorable for risk assets.

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