The world-famous cryptocurrency Bitcoin hit its historic high value on Sunday, touching $34,000 for the first time, as reported by Coin Metrics.
With key financial markets resuming trade afresh in 2021, Bitcoin has resumed its dizzying ascent, showing an astonishing 30 percent increase from its rally in November 2020.
Closing at $34,115.14 on Sunday, Bitcoin clocked $33,043.14 today at 6 AM GMT+5.
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Chief Executive Marcus Swanepoel who heads the digital currency firm Luno, was skeptical about the recent crypto-surge, adding that “even the most bullish of bitcoin advocates could not have foreseen such a meteoric rise in price in such a short space of time”.
He suggested that a small pullback could follow, as recorded in cryptocurrency’s bleak, but eventful history.
However, Swanepoel expects Bitcoin to do well in the new year, remarking that “something approaching the $100,000 mark before the year’s end” had not been entirely impossible.
A Repeat of 2018’s Events?
On a lighter note, Bitcoin’s abnormal growth since October 2020 has caused concerns for a scary repeat of the events that had made headlines three years ago, when a bull market radically collapsed.
With people coming to terms with the crypto market since the crash, certain unsolicited trust issues compelled economist Nouriel Roubini to comment that Bitcoin’s November rally had been nothing more than a “pure speculative asset, and bubble with no fundamental value”.
My 12-parts thread on Bitcoin/Shitcoins. I stand by my views: the higher they bubble, the harder they will fall once the criminal Tether manipulation is crashed & FOMO driven retail/institutional suckers get burned hard as in 2018. The parabolic rise in BTC has no fundamentals https://t.co/xSLEsQ44Nq
— Nouriel Roubini (@Nouriel) December 17, 2020
Increasing Interest in Cryptocurrency
In contrast with the haters of the digital money game, some analysts have observed an increase in corporate and institutional interest in Bitcoin. Prominent investors like Paul Tudor Jones and Stanley Druckenmiller have always thrown their financial weight behind it, with the 401k bonds performing phenomenally. High-rise hedge funds in Wall Street had also added their support to the coin, and have been enjoying big returns ever since.
Similarly, PayPal announced in October that its exchange pipeline would incorporate cryptocurrencies, following security adjustments. The company said that American customers would also have the option to hold Bitcoin in their digital wallets.
Perhaps Coinbase takes the cake for ‘the biggest support behind the bitcoin rally’, with the crypto-exchange firm filing an application with regulators to go public in December.
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Fundstrat analysts in December 2020 suggested that “the conditions remain in place for a continued rally”, citing an institutional demand and a streamlined approach to digital currency holdings. The rally has been helped via signs that the digital market is becoming more refined and integrated into the financial system.
It would not come as a surprise if Bitcoin undergoes a ‘healthy’ correction in the short term. However, with the massive demand from professional and non-speculative investors poised for adjusting their financial streams within the folds of the crypto market, there is hope for the long term.
As of 6 p.m. PST today, Coin Metrics reports the following numbers:
With cryptocurrencies projecting unprecedented rallies time and time again, this is a developing story.
Stay tuned.
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What about BitPump Token in future..
Hahaha. Just forget about BitpumpsToken. 😂
It’s has been crashed already. Why you’re still stuck On Fx and their bloody centralized coin. It’s not going to rise ever. It would be faded soon. 😂