Merry Christmas For Bitcoin Investors As Cryptocurrency Crosses $25,000 Mark - A 240% Rise This Year
Bitcoin BTC seems to be an unprecedented rise as it keeps reaching record high towards the end of the year. After crossing the $20000 mark for the first time early in December Bitcoin has now touched $25000 in value on certain exchanges. The strong growth in 2020 is being accredited to institutional investors.
The world¡¯s largest cryptocurrency Bitcoin (BTC) seems to be an unprecedented rise as it keeps reaching record high towards the end of the year. After crossing the $20,000 mark for the first time early in December, Bitcoin has now touched $25,000 in value on certain exchanges like Coinbase and Bitstamp.
As the world celebrated Christmas on December 25, the price of Bitcoin surged to an all time high of $25,005.53. It did fall soon after to $24,971.23, marking a 6.28% rise on the day. However, many expect BTC to climb back up again soon.
With this BTC wraps up a prolific few months wherein the cryptocurrency saw a strong resilience to corrections. The $25,000 in value marks a whopping 240%.year-to-date rise in BTC.
While a similar (but not equal) rise in BTC value has been observed before, there is an important factor differentiating the current bullish run of the cryptocurrency. The strong growth in 2020 is being accredited to institutional investors. A report by Coindesk highlights some of these to be ¡°Anthony Scaramucci¡¯s Skybridge Capital ($25 million in December); MassMutual ($100 million in December); and Guggenheim (up to 10% of its $5 billion macro fund).¡±
Bitcoin (Representative Image: Reuters)
The interest by the giants of the investment world has also helped bring more legitimacy to Bitcoin, something unheard of before. A report by Ambcrypto explains how respected traders have ¡°vocally come out¡± to appreciate the rise in Bitcoin, especially in the unstable economic scenario this year.
Another factor that influenced this rise is the newfound understanding of Bitcoin investors to hold the asset. As the global market overcame high levels of volatility this year, Bitcoin stood strong as an investment, which in turn helped reinstate confidence of the investors.
The cryptocurrency also saw an increased acceptance in several digital payment platforms including PayPal as a mode of payment. With Bitcoin overcoming legal hurdles in several countries this year, the wider scope of use was inevitable and eventually played a major role in increasing its value to the record high.
