Crypto fundraising reached a remarkable total of $3.5 billion over just one week, marking a new peak for the sector. This funding surge occurred during a period of remarkable market activity. According to data from Cryptorank, this milestone was achieved from October 6 to October 8, surpassing the previous high of nearly $3 billion recorded in early August.

The last six months highlighted significant volatility, with weekly fundraising varying between $150 million and $2.9 billion. The notable increase in October showcases a resurgence of investor optimism in the crypto market.

On October 6, Bitcoin attained a fresh all-time high at $126,000 before the market experienced a sudden downturn, linked to a significant liquidation event on October 8 that stripped approximately $20 billion from the market. This turbulent market behavior underscores the fragile nature of investor confidence in cryptocurrencies.

Dominant Sectors in Fundraising

Data reveals that blockchain services claimed the majority of funding rounds last week, with 12 out of 28 rounds focused on this sector. Closely following were projects within Centralized Finance (CeFi), which accounted for six rounds. Notable investors included Pantera Capital, which engaged in four different funding deals.

This mix of investments reflects an increasing focus on service-based projects within the crypto investment space, especially as notable players like Coinbase Ventures maintained their leading role in the market, executing 73 deals over the past year.

The Shift Between Peaks and Crashes

The record-breaking fundraising period coincided almost perfectly with Bitcoin’s climbing and subsequent sharp decline. After hitting $126,000, news of U.S. tariffs imposed by President Donald Trump on China resulted in a steep price drop, significantly affecting the market sentiment and contributing to one of the most pronounced corrections in a short time frame. This volatility remains a key theme as the market progresses.