Current Bitcoin Rally To Hit $45,000? Bitpay CEO Tells Bloomberg TV Why He Thinks So...
Video courtesy of Bloomberg
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Global Crypto Press Association / Breaking Crypto News
This bullish cycle of bitcoin began officially in July when it once again broke $10,000. This brought Bitcoin back into the headlines and caught the eye of those who sat on the sidelines in 2017.
It became clear that this time, many retail and institutional investors were not going to simply watch as it continued to rise.
Big money and everyday investors dove in head first, the top among them including Grayscale bitcoin fund (GBTC) which currently exceeds 10 billion in crypto assets, and MicroStrategy which just raised another $650M to bring their holdings to $1 billion. Other notable entry's include JPMorgan and Goldman Sachs.
Before today all this activity and Bitcoin's corresponding rising price was classified as 'recovery' - because anything under $19,834 happened once before, when it peaked in 2017.
But as of today, Bitcoin is officially done recovering and back to breaking new ground!
It's still on the rise as I write this, we have now smashed through the previous record and BTC currently sits at $21,346 (at time of publishing).
I expect the momentum to slow down soon, but it could still gain some before then.
Two Main Factors At Play:
It's really the classic law of supply and demand at play here.
The demand we talked about above, mixed with so many investors keeping their Bitcoins completely off of exchanges and in secure offline storage (aka 'cold storage').
Buyers, and there's lots of them, are basically currently forced in to a bidding war over a very limited supply of Bitcoin for sale, driving up the price at an abnormally fast pace.
No end in sight...
Ask the average Bitcoin investor how high they think it will go, and the answers you'll hear indicate most will continue holding on to theirs.
In fact, much of the Bitcoin for sale isn't *really* for sale, in the sense that they're done owning it - it's traders capitalizing on Bitcoin's famous volatility, and swing trading.
Selling some, but at the same time placing buy orders to purchase it back when the price drops, believing any dip will be followed by a rise back to the price they sold at. So far, a trading strategy that has paid off.
The next thing to watch out for: the #2 cryptocurrency launches it's upgraded version - Ethereum 2.0 is expected to give ETH a nice boost as well.
Shaan Puri is the director of Amazon-owned streaming platform Twitch, and he just tweeted "I have moved 25% into bitcoin."
He shared some details behind his decision, saying "Bitcoin is the only asset where you can go irresponsibly long – and then everyone tells you it’s not enough. And they’re probably right."
"I think people think this time it hits $20k is ‘just like last time’ but it’s not for many reasons." referring to the influx of established investment firms jumping onto the Bitcoin bandwagon, and thinks this is a wave that will continue for 2 more years.
Puri did not share how much Bitcoin his 25% bought him.
Earlier this year Twitch began offering 10% discounts to users who registered and paid with crypto.
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Author: Oliver Redding
Seattle Newsdesk
Bitcoin is quickly approaching new record highs, and Catherine Coley, CEO of Binance.US shares what she's observed, and what she believes is driving the price upwards during the current rally.
Video Courtesy of Bloomberg
That's right - in Bitcoin's entire lifespan it had only spent 20 days above $15,000 - until now.
Those days all fell between from Mid December 2017 and ended early January 2018 - a time period that includes Bitcoin's all time high when it briefly broke the $20,000 level.
But the market is VERY different now than it was back then.
What We Are NOT Seeing Signs Of...
As we all know, that epic rise was followed by a massive decline that brought Bitcoin down to the $3000s by the end of that year.
But this time, there's billions in institutional investments justifying the price. We also know many of those institutions have publicly stated their hopes for Bitcoin go beyond $20,000.
While last time it hit $20k a large portion if the market was made up of young investors somewhat shocked at the amount of wealth they were sitting on. They held on as long as the price kept rising, and had no problem selling once things took a downturn.
How Today's Market Would React...
I do not anticipate current investors feeling pressured to cash out if they see something like a dip from $20k to $19k- they're much more likely to hold believing it will recover and continue to soar to new highs.
We've seen the volatility reach about $2000 in either directional, while a slow steady climb happens simultaneously inching up the base number. All signs show that continuing.
There's still one announcement after another regarding large investments, or moves that make crypto more accessible to the public.
For example, today it was popular stock trading app Webull announcing the addition of crypto.
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Author: Mark Pippen
London News Desk