Key Takeaways
- The crypto market is up 7.03%, pushing total market capitalization to $3.15 trillion, led by Bitcoin (BTC), Ethereum (ETH), and XRP, which gained 8.03%, 10.05%, and 9.75% in the past 24 hours
- Cryptocurrency ETPs recorded $1.07 billion in inflows after four consecutive weeks of heavy outflows.
- Vanguard has begun allowing crypto ETFs and mutual funds that primarily hold Bitcoin, Ethereum, XRP, Solana, and other cryptocurrencies on its platform.
- Bank of America will now recommend a 1%–4% Bitcoin ETF allocation for its clients.
The broader crypto market continues its upside momentum for the second straight day, recovering after a sharp decline experienced at the beginning of the December series. Over the past two trading sessions (particularly after the opening bell of the U.S. market on December 2, 2025), market-wide sentiment has improved notably, with assets extending their gains.
According to CoinMarketCap, the overall cryptocurrency market is up 7.03% in the past 24 hours, lifting the total market capitalization to $3.15 trillion alongside a trading volume of $169.91 billion.
During the same period, major assets like Bitcoin (BTC), Ethereum (ETH), and XRP posted gains of 8.03%, 10.05%, and 9.75%, respectively.
Here’s Why the Crypto Market Is Up Today
The key catalysts strengthening the current momentum appear to be rising inflows into crypto ETPs, Vanguard’s plan to roll out crypto-focused ETFs and mutual funds, Bank of America recommending crypto exposure to its clients, and heavy accumulation across major assets.
Digital Asset ETPs Record $1.07 Billion of Inflows
The rally comes after a strong wave of inflows into crypto ETPs. Recently, a research firm, CoinShares, reported that Crypto ETPs recorded $1.07 billion in inflows after four consecutive weeks of heavy outflows. During this period, Bitcoin, Ethereum, and XRP attracted inflows of $464 million, $309 million, and $289 million, respectively.
The surge in ETP inflows indicates rising demand and renewed interest from Wall Street investors and institutions — a clear bullish signal that is currently reflected in the price action of BTC, ETH, and XRP.
Vanguard Open Door to Crypto ETPs
Another major catalyst strengthening the upward momentum is Vanguard — the world’s second-largest asset manager — opening the door for traditional investors interested in crypto.
According to a recent report, Vanguard has begun allowing ETFs and mutual funds that primarily hold Bitcoin, Ethereum, XRP, Solana, and other cryptocurrencies on its platform, effective December 2, 2025, marking the end of its long-standing stance against supporting crypto products.
The report further noted that while Vanguard will support crypto ETFs and mutual funds that meet regulatory requirements, it has no plans to launch its own crypto products and will continue to exclude funds linked to meme coins.
Bank of America Recommends Crypto Exposure
Meanwhile, another catalyst supporting the upside rally is Bank of America, which now recommends a 1%–4% crypto allocation for clients of Merrill, the Private Bank, and Merrill Edge.
The bank will also begin CIO coverage of four Bitcoin ETFs starting January 5, 2026, as shared by a local media outlet.
Whales Renew Accumulation
In addition, whales continue to add strong buying pressure by accumulating millions of dollars worth of crypto assets, as highlighted by blockchain transaction tracker Onchain Lens. In a post on X, Onchain Lens reported that two crypto whales — one individual and one institution — purchased 33,575 ETH worth $101.75 million over the past 24 hours.
Meanwhile, another whale wallet, “0xe9d,” showed renewed interest in AAVE, acquiring 17,779 tokens worth $3.3 million from Kraken. A separate whale also showed confidence in Aster (ASTR), spending $3 million to purchase 2.996 million ASTR tokens at an average price of $1.
All these factors — from institutional inflows to aggressive whale accumulation — have played a major role in reviving the overall crypto market. Going forward, market participants need to closely track these metrics to gauge demand across the crypto landscape, including whether whales continue their accumulation and if Wall Street investors remain interested in digital assets.
If demand and investor interest persist, the upside momentum is likely to continue in the coming days. However, any political developments or bearish whale activity could shift the trend, so investors should stay cautious.
