The venture capital market is showing signs of recovery, with a significant increase in megadeals in 2024. According to Crunchbase, the number of funding rounds exceeding $100 million has already surpassed last year's total, with biotech and healthcare startups leading the charge.

Despite the prevalence of down rounds, which accounted for 39% of late-stage deals in the first half of 2024, the data suggests that investors are still willing to bet big on promising startups. Biotech and healthcare companies have been the biggest beneficiaries, with 87 megadeals so far this year, followed closely by cybersecurity startups, which have secured 16 such deals.

The surge in megadeals is a welcome sign for founders, who have faced a challenging fundraising environment in recent years. The trend is also reflected in improved pre-money valuations for seed and Series A deals in the first half of the year.

The data suggests that investors are becoming more selective, focusing on high-growth areas like biotech, healthcare, and cybersecurity. This shift in focus could be a boon for startups operating in these spaces, but may make it even tougher for companies in other sectors to secure funding.

As the venture capital market continues to evolve, one thing is clear: the appetite for big bets on innovative startups remains strong. With the number of megadeals on the rise, 2024 is shaping up to be a promising year for startups with big ambitions.