Bitcoin Breaks $20,000 Psychological Level to Set a New Record-High
Bitcoin rose by 6.6 percent to a record-high of $20,573.15 per coin on Wednesday following weeks of consistent bullish run despite global uncertainty.
The world’s most capitalised digital asset with a US$380.926 billion market value broke a key psychological level during the U.S. trading session to surpass the US$19,920 record set on December 1, 2020.
Bitcoin value continues to surge with rising capital inflow from institutional investors following the U.S electors’ vote that validated Joe Biden as the next president of the United States.
Trying to explain the growing interest in the cryptocurrency space Soravis Srinawakoon, CEO and co-founder of cross-chain data oracle Band Protocol, said Bitcoin failed to cross the $20,000 psychological level in 2017 because of the limited products for new converts then.
However, with the growing adoption of blockchain technology and the introduction of numerous new products, new converts have more to experience today.
He said “When this [rally to near $20,000] happened in 2017, there was a real lack of products for the new converts to experience, whereas today there are endless uses, protocols, services across farming, lending, standard trading, etc.”
“Therefore, we’d expect to see the new adopters hang around this time.”
Breaking the $20,000 resistance level could open up Bitcoin for $100,000 as projected by most cryptocurrency investors, who over time have linked that key psychological level to broad bullish run and huge capital inflow from institutional investors.
With the total Bitcoins mined so far at 18,572,662 out of the 21,000,000 expected to be mined, growing demand amid scarcity could force the price of the world’s most dominant cryptocurrency even higher in the near-term.
Still, a series of new policies and regulations by Joe Biden-led-administration could halt the current bullish run and force the huge number of anonymous investors to cash out if the US and other governments decided to regulate the highly unregulated cryptocurrency market.
Bitcoin Needs Greater Regulatory Scrutiny – and Here’s Why: deVere CEO
Greater regulatory scrutiny of cryptocurrencies such as Bitcoin must become a priority as they continue to play an increasingly normalised role for investors, says the CEO of one of the world’s largest independent financial advisory and fintech organisations.
deVere Group’s chief executive and founder Nigel Green – a long time advocate of cryptocurrencies – is speaking out after both the UK’s Financial Conduct Authority (FCA) and the president of the European Central Bank (ECB) called for more robust regulations for cryptocurrencies this week.
The calls follow the price of Bitcoin jumping more than 300% last year and gained a further 40% earlier this month to reach an all-time high.
Mr Green says: “The calls by financial watchdogs and central banks for greater regulatory scrutiny must be championed as digital currencies, including Bitcoin, are set to play an ever greater role in the international financial system.
“What’s needed is a strong regulatory framework to be established and approved at an international level. The forthcoming UK-hosted G20 summit might prove to be the ideal opportunity.
“Such regulation will help protect investors, tackle cryptocurrency criminality, and reduce the potential possibility of disrupting global financial stability, as well as offering a potential long-term economic boost to those countries which introduce it.”
He continues: “There is sustained and growing interest in the likes of Bitcoin from both retail and institutional investors. They are now increasingly handling the assets as they would any other asset in the portfolio –for example, sometimes profit-taking, sometimes reinvesting, using the volatility to their advantage, and using these alternatives to help with all-important diversification.
“These mainstream, normalised investor strategies demonstrate that cryptocurrencies must come into the regulatory tent and be held the same standards as the rest of the financial system.”
Previously, the deVere boss has said that one of the best ways to address the regulatory issues is via the exchanges.
“Nearly all foreign exchange transactions go through banks or currency houses and this is what needs to happen with cryptocurrencies. When flows run through regulated exchanges, it will be much easier to tackle potential wrongdoing, such as money laundering, and make sure tax is paid,” he has noted.
“For this to happen, banks will need to open accounts for exchanges, which is why they must be regulated.”
Mr Green concludes: “Cryptocurrencies in some form or another are here to stay – and the market is only set to grow.
“There can be no doubt that regulation of the crypto ecosystem is required and, I believe, it should be a priority.
“The work being done by many international financial watchdogs, lawmakers and central banks, such as the FCA and the ECB, in this area is something I fully support.”
Bitcoin Briefly Crosses $40,000 After Blasting Through $38,000 and $39,000
Bitcoin rose above $40,000 a coin on Thursday after blasting through $38,000 and $39,000 in the early hours of the day.
The digit coin sets a new all-time record of $40,123.30 per coin following a 13.45 percent gain before pulling back to $38,444.18 per coin.
In 2021, Bitcoin has gained 36 percent or $11,000 in a move that suggests the world’s most dominant cryptocurrency could hit $100,000 or even more in 2021.
Growing global uncertainty continues to favour Bitcoin as more institutional investors, who fear global currencies could suffer devaluation in 2021, have continued to increase their investment in the digital asset.
Also, Ethereum, the world’s second most capitalised digital coin, extended its gains by 2.25 percent to $1,212.02 per coin while the embattled Ripple added 29.81 percent to $0.327712 per coin.
Bitcoin is now more valuable than all but seven global traded companies at $746 billion market value.
Bitcoin Extends Gain to Breach $38,000 Per Coin
There seems to be no end in sight for the world’s most capitalised cryptocurrency Bitcoin as institutional investors continue to dump more money on cryptocurrency assets.
Bitcoin gained 10.14 percent or $3,526.1 per coin in the last 24 hours to settle at $38,319.58 per coin as at 2:50 pm Nigerian time on Thursday.
The digital coin has now gained 32.29 percent in 2021 alone.
Investors traded Bitcoin worth $12.06 billion in 398,455 transactions in the last 24 hours while the average transaction fee stood at $11.81.
Bitcoin market capital rose to $711.885 billion, accounting for 69.74 percent of the global crypto market value.
However, the surge may not be unconnected to the Trump mob that stormed Capitol on Wednesday to disrupt the joint congress session and further up global uncertainty, especially with investors now doubting the acceptability of Joe Biden as President of the United States by the wider population given the size of people that voted for Trump.
Cryptocurrency4 weeks ago
US Securities and Exchange Commission Goes After Ripple(XRP)
News3 weeks ago
Heartbroken American Mistress Displays Dangote’s Buttocks in a Viral Video
News3 weeks ago
FCMB Group MD Links to Death of Tunde Thomas, Husband of Married Staff He Fathered Her Kids
Finance3 weeks ago
President Buhari Increases Npower Budget by N365 Billion
Crude Oil3 weeks ago
Crude Oil Rose to Almost $52 Per Barrel After Trump Signs Stimulus Package
Technology4 weeks ago
Facebook, Apple Privacy War Deepens as Facebook Removes Apple’s Verification
News3 weeks ago
Tunde Thomas: FCMB Commences Review Into Allegations of Unethical Behavior Against MD Nuru
Nigerian Stock Exchange4 weeks ago
NSE Launches X-PO Platform to Take Public Offerings Online