Executive Summary
On October 13, 2017, Bitcoin achieved a milestone that would have seemed unthinkable just months earlier: its total market capitalization surged past $97 billion, overtaking Wall Street titans Goldman Sachs ($93 billion) and Morgan Stanley ($89 billion). The cryptocurrency shot to an all-time high of $5,855 before settling around $5,600, capping a remarkable 96% rally since China announced its exchange crackdown in mid-September. The reversal of fortune is staggering — what was supposed to be Bitcoin’s death knell instead became the launching pad for its most aggressive run yet.
The Numbers Unpacked
Bitcoin’s price action on October 13 tells a story of relentless momentum. After breaking through the $5,000 barrier for the first time on October 12, the flagship cryptocurrency accelerated further, touching $5,855 in early trading on Friday. The 24-hour gain of 4.32% pushed Bitcoin’s circulating market capitalization to approximately $97 billion, based on 16.6 million tokens in circulation.
For context, that figure now exceeds the market caps of both Goldman Sachs and Morgan Stanley — two institutions that, ironically, paid penalties related to the 2008 financial crisis that inspired Bitcoin’s creation in the first place. The broader cryptocurrency market, encompassing 1,165 tracked digital assets, reached a combined valuation of $179 billion.
Bitcoin still trails larger banking giants: Citigroup sits at $198 billion, Bank of America at $270 billion, Wells Fargo at $275 billion, and J.P. Morgan Chase leads the pack at $340 billion. But the trajectory is what has Wall Street’s attention. Bitcoin has more than quintupled in value since the beginning of 2017, when it traded near $1,000.
Historical Context
The symbolism of Bitcoin surpassing the very banks it was designed to challenge is not lost on anyone who has followed the cryptocurrency’s journey. The pseudonymous creator Satoshi Nakamoto released the Bitcoin whitepaper in October 2008, at the height of the financial crisis, proposing “electronic cash” that would “allow online payments to be sent directly from one party to another without going through a financial institution.”
Nine years later, the student has, at least by one metric, surpassed the masters. The rally has been fueled by a dramatic shift in global trading dynamics. China, which dominated Bitcoin trading for years — accounting for 96% of all volume in 2016 — has seen its share collapse to just 5% following the government’s crackdown on cryptocurrency exchanges. In its place, Japan has emerged as the new epicenter of Bitcoin trading.
Japanese yen-denominated trading now represents 51% of global Bitcoin volume, with $30.3 billion changing hands over the past month alone. The U.S. dollar accounts for 31%, while the Korean won makes up approximately 7% of trades.
Expert Consensus
Fran Strajnar, CEO of data provider Brave New Coin, attributes Japan’s dominance to the country’s proactive regulatory stance. “The Japanese government has been extremely accommodating towards cryptocurrencies and Bitcoin in particular,” Strajnar explained. Bitcoin’s liquidity is “quickly moving from Chinese yuan to Japanese yen and Korean won, simply because of friendlier legislation, better clarity and better infrastructure.”
The institutional world is also taking notice. Goldman Sachs is reportedly weighing Bitcoin trading operations, while Fidelity has been mining Ethereum. Even International Monetary Fund Managing Director Christine Lagarde suggested that Bitcoin “could be the future one day.” This is a far cry from J.P. Morgan CEO Jamie Dimon’s September characterization of Bitcoin as a “fraud” — a comment that preceded a near-doubling in price.
Forward Outlook
With Bitcoin now within striking distance of $6,000 and a $100 billion market cap, the question is no longer whether cryptocurrencies are viable, but how quickly traditional finance will adapt. Two upcoming hard forks — one planned for October 25 and another expected around November 18 — could introduce further volatility and new spinoff currencies.
The power shift from China to Japan represents a structural change in the market that may prove more significant than any single price milestone. As Strajnar puts it, it is “all eyes on Japan and Korea as they continue to pave the regulatory way and in turn dominate crypto liquidity.” For a cryptocurrency born from distrust of banks, overtaking them at their own valuation game is a powerful statement indeed.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Cryptocurrency investments carry significant risk. Always conduct your own research before making investment decisions.
overtaking goldman sachs in market cap was surreal. remember the tweets from traditional finance guys absolutely losing it
BTC at $5,855 overtaking Goldman at $93B and Morgan Stanley at $89B. the reversal from China ban to ATH in weeks was the most classic btc move ever
macro_flippening Goldman at $93B felt like a massive milestone in 2017. BTC market cap is what, 100x that now? wild to look back
btc at $5,855 flipping goldman at $93B was the moment tradfi stopped laughing. now BTC market cap dwarfs most banks combined
Dario C. Goldman at 93B felt huge back then. now BTC dwarfs most banks and people forget how wild that moment was
macro_flippening China ban to ATH in weeks is the most BTC narrative ever. every regulatory scare became a buying opportunity and bears never learned
BTC at $5,855 overtaking Goldman felt like a fever dream in 2017. the 96 percent post-China-ban rally broke every analyst model
btc at 5855 with 97b market cap passing goldman 93b and morgan stanley 89b is wild
96% rally after the china crackdown. let that sink in. wall street still doesnt get it
the irony of goldman paying fines for mortgage fraud while btc quietly surpasses them is chef kiss
96% rally since the China crackdown in September. the thing that was supposed to kill bitcoin became its launching pad. you cant make this up
96% rally post-china ban was the ultimate counter-narrative trade. everyone shorted the ban news and got squeezed for months
chart_priest_ 96% rally post-China ban was the ultimate squeeze. everyone shorted the ban and got wrecked
that october 2017 price action at the new ath still feels like the real start of institutional attention
chart_priest_ China ban to ATH is the most BTC pipeline ever. every regulatory FUD event becomes the ultimate buying opportunity
$97B was just the start. nobody believed me when i said $100B was coming
Goldman and Morgan Stanley paid penalties for mortgage fraud while BTC just kept climbing. the irony was not lost on anyone in 2017
vault_keeper_ Goldman paid $5B in mortgage fraud settlements and BTC was the speculative asset. ten years later one has a pristine balance sheet
vault_keeper_ Goldman paid $5B in mortgage fraud settlements and BTC was supposed to be the risky asset. the irony wrote itself in 2017
BTC at 97B felt insane back then. its wild thinking Goldman at 93B was ever a meaningful comparison point
the 96 percent rally post china ban broke everyones brain. bears kept shorting bans and kept getting cooked for years after
96 percent rally since the china ban and 16.6m tokens in circulation made the flippening feel close
BTC at $97B passing Goldman Sachs at $93B in 2017. Goldman is now worth $170B and BTC is worth $2T. the crossover was just the beginning
96% rally since the China crackdown announcement. every time a government tries to kill BTC it comes back stronger. youd think theyd learn
16.6M BTC in circulation at $5,855 for a $97B market cap. now its 19.8M coins at way higher prices and Goldman is the one playing catchup