Bitcoin’s recent rally has carried the largest cryptocurrency to a market capitalization of $1.72 trillion as of late Thursday. Not only does that make bitcoin the only digital currency with a market value in excess of $1 trillion, it’d make bitcoin the seventh-largest member of the S&P 500.
That’s an impressive statistic to be sure, as is the list of well-known companies that bitcoin is currently larger than as measured by market value. Some experts believe that should bitcoin continue its bullishness, it could eclipse the market caps of Amazon (AMZN) and Alphabet (GOOG) as soon as January. Such a move could benefit crypto-correlated stocks as well, including those found in the VanEck Digital Transformation ETF (DAPP).
The equity-based DAPP has participated in the crypto rally, surging 26.74% for the month ending November 14. That confirms the ETF’s leverage to bitcoin, indicating it could be a beneficiary of more bitcoin upside even though it doesn’t directly hold the cryptocurrency.
Timing Could Be Right for DAPP
While DAPP cooled off a bit last week — a logical response to the ETF’s recently torrid pace — the medium-term outlook could prove favorable for the fund and its components with some of that potential bullishness attributable to the incoming Trump administration.
“As we approach the start of a new US administration under President-Elect Trump, pro-crypto policies are expected to accelerate Bitcoin’s growth,” noted deVere Group CEO Nigel Green. “Trump’s stance on reducing regulatory friction for digital assets has injected a new wave of confidence among investors. This momentum could push Bitcoin into the top ranks of global assets, surpassing major corporations, such as Amazon, within a matter of weeks.”
DAPP, which follows the MVIS Global Digital Assets Equity Index, is relevant for another reason. President-elect Trump wants the U.S. to be a bastion of crypto innovation and leadership, which could lead to a favorable regulatory environment for the ETF’s member firms. A more hospitable regulatory regime could usher in a new wave of crypto innovation — one that sets the stage for broader adoption of digital currencies.
“This isn’t just about price—it’s about a broader financial revolution. Investors are recognizing that Bitcoin is not just another asset; it’s a shift in how value is stored, transferred, and recognized globally,” added Green. “Institutions’ growing interest has lent Bitcoin the credibility it needs to attract large-scale investments. Financial giants, from asset management firms to publicly traded corporations, are adopting Bitcoin as part of a diversified strategy. This shift reflects Bitcoin’s transformation from a niche asset to a recognized, strategic asset class.”
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