Top line
The massive concentration of Bitcoin continued over the weekend, boosting the market capitalization of the world’s first and largest cryptocurrency to $ 1.2 trillion on Saturday and leading to the largest monthly gain in the broadest cryptocurrency market on record. that institutional adoption helps pour billions of dollars into nascent space.
Bitcoin’s new high above $ 57,500 has helped the crypto market make its biggest monthly profit … [+]
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Key factors
As of 9:30 am ET, the price of bitcoin has risen 9% in the last 24 hours to about $ 57,350, bringing weekly earnings up more than 20%, according to CoinMarketCap.
The prices of ether and binance currency, the second and third largest tokens in the world, have risen by 13% and 120%, respectively, over the past week, which has helped the wider cryptocurrency market to accumulate. a total value of nearly $ 1.8 trillion, almost double that of its $ 1 trillion market capitalization in early February.
Experts, including Wedbush analyst Daniel Ives, fix much of the gains in a flood of institutional adoption in recent weeks after electric vehicle maker Tesla unveiled a $ 1.5 billion investment in bitcoins in early ‘this month.
MicroStrategy, one of the largest publicly traded Bitcoin shareholders, raised nearly $ 1.1 billion on Friday to buy more of the pioneering cryptocurrency, nearly double what the company initially planned to increase given the wave of interest .
On Thursday and Friday, the first two funds traded on North American stock exchanges debuted on the Toronto Stock Exchange, with an investment of more than $ 200 million.
Despite fueling much of the cryptographic alcoholism of recent weeks, billionaire Tesla CEO Elon Musk he tweeted early Saturday that bitcoin and ether prices now “look high,” though he also indicated that cryptocurrency can serve as better protection against inflation than gold, the safe haven’s original asset.
Amazing data
The price of bitcoin hit a new high of $ 57,505 at 7:45 a.m. Saturday morning, nearly 6 times its value a year ago.
Key background
Recent market gains have more than overshadowed the short-term price craze that began in 2017, during which prices multiplied by 15 to a high of nearly $ 20,000, thanks in part to apps like Coinbase that they facilitated trade for individual investors. That bubble turned out to be unsustainable and the price of Bitcoin crashed 80% in late 2018 once countries like South Korea started cracking down on cryptocurrency trading.
What we don’t know
The main question surrounding the future of cryptocurrencies is regulation, which eventually led to falling cryptocurrency prices three years ago. Securities and Exchange Commission officials have hinted that there could be improved control, but not all experts are convinced it will hurt the market. “Given its still incipient and volatile nature, we believe that less than 5% of public companies will travel the path of investing in bitcoins in some capacity over the next 12 to 18 months, but could increase significantly as it is regulated and ‘accept this coin takes more on the road,’ Ives said Friday.
Tangent
Even the most intense Bitcoin critics are warming up to the token amid recent gains. Billionaire Jeffrey Gundlach, the CEO of DoubleLine Capital who once called bitcoin a “lie,” called bitcoin “the stimulus asset” in a tweet Thursday, alluding to concerns about rising government spending that could lead to problematic inflation and deliver the value of the dollar while increasing safe haven assets such as bitcoin and gold.
To read more
The market value of Bitcoin exceeds $ 1 trillion amid the increase fueled by Tesla (Forbes)
Bitcoin rises to the maximum after Tesla said it invested $ 1.5 million (Forbes)
Not just Tesla: Large institutions continue to accumulate Bitcoin as price rockets exceed $ 50,000 (Forbes)