Bitcoin falls out of global top 10 assets by market capitalization, below Elon Musk’s Tesla

Bitcoin’s market capitalization is now around $1.57 trillion, making it the 13th-largest asset by this metric, behind Saudi Aramco and Tesla stock.

The move came after its price dropped sharply from around $90,000 to $78,500, a loss of more than 11% over the last 7-day period. The recent price decline comes amid geopolitical tension, a breakdown in the precious metals rally, the nomination of a “Hawkish” next Federal Reserve chair and a partial government shutdown.

Bitcoin falling out of the top 10 assets by market cap is significant because, in recent years, it remained in the list as prices stayed elevated. Just on Oct. 7, when the prices hit a new all-time high, it was at 7th place. Earlier last year, it even made it to the top five list, surpassing tech giants such as Google and Amazon.

For comparison, during October’s record price, bitcoin briefly traded above $126,000 and approached a $2.5 trillion valuation.

The selloff

The recent decline in prices was partially the result of U.S. dollar’s strength.

Trump’s nomination of Warsh, a veteran of the 2008 financial crisis with Wall Street experience that’s known for favoring higher real interest rates and a smaller Fed balance sheet, led to the U.S. dollar’s biggest rally since May.

That led to a retreat in not just bitcoin but also the precious metals rally, which saw gold plunge 9% in a single trading session to just under $4,900, while silver dropped an astounding 26.3% to $85.3.

Gold is still the largest asset by market capitalization despite its recent drawdown, with a market cap of $34.1 trillion. It’s followed by silver’s near $4.8 trillion market cap. The largest company by this metric remains NVIDIA, at $4.6 trillion, followed by Alphabet at $4.08 trillion.

Ether ETH$2,456.38 also took a hit, falling to 56th place and now with a market capitalization just above $300 billion, after the cryptocurrency lost 14.5% of its value in a week. Previously, it was among the top 50 assets by market cap, and before the October 10 crash, it was near the top 25.

The second-largest cryptocurrency is now worth less than companies such as Caterpillar, Inditex, Coca-Cola, and Cisco.