Earlier today, the world’s largest cryptocurrency Bitcoin (BTC) surged past $52,500 to hit its new all-time high. The latest BTC price rally comes as the world’s largest asset manager BlackRock announced its entry into Bitcoin on Wednesday, February 17.
Interestingly, as Bitcoin touched its new all-time high today, it was just $1000 short of becoming the first cryptocurrency trillion-dollar asset class.
At $53,674, #Bitcoin becomes a trillion dollar asset.
— Documenting Bitcoin (@DocumentingBTC) February 17, 2021
As we know, post-Tesla’s BTC purchase, the institutional and corporate demand for Bitcoin (BTC) has skyrocketed to new highs. The result is Bitcoin (BTC) has surged a massive 30% in just over a week’s time. as per data by on-chain analytics platform Skew Analytics, the CME Bitcoin Futures registered a record $5 billion trading volume on Tuesday, February 17.
— skew (@skewdotcom) February 17, 2021
Post breaking the $50,000 levels, on-chain indicators for Bitcoin was healthy suggesting a healthy rally and this is what exactly happened. As CryptoQuant CEO Ki-Young Ju pointed out, the Coinbase Premium was still in the positive range indicating further rally.
Good news. $BTC Coinbase Premium looks good after breaking 50k.
We can go higher now
— Ki Young Ju 주기영 (@ki_young_ju) February 17, 2021
Is Bitcoin (BTC) Starting Is New Bull Run Above $50,000 Levels?
Popular market analyst and trader Peter Brandt recently stated that Bitcoin has entered a parabolic advance on the algorithmic scale and is all set to skyrocket further from here up to $240K. Also, despite this fast rally, the BTC price correction doesn’t look steep from here, says Glassnode.
The on-chain data platform shows that the sort of consolidation that Bitcoin showed in January 2021 sub $40,000 levels was unrealistic. A lot of indicators have reset since then allowing the BTC fundamentals to catch up. Thus, BTC has now formed new support at $48K.
The amount of consolidation #Bitcoin has seen since January is unreal.
It really allowed fundamentals to catch up and indicators to reset.
— Yann & Jan (@Negentropic_) February 17, 2021
We know that the Bitcoin supply at the exchanges has been falling steeply over the last few months with most of the institutional purchases going to cold storage. SkyBridge Capital founder Anthony Scaramucci expects BTC to hit $100K by the year-end.
— Squawk Box (@SquawkCNBC) February 17, 2021
Following Blackrock’s entry into Bitcoin (BTC) other financial players are also jumping into Bitcoin at the current levels. Financial and investment advisory giant The Motley Fool has pledged at least $5 million investment in Bitcoin (BTC) and expects it to touch half-a-million dollars.
1. We believe it will store value more effectively than gold over the long term.
2. We believe it may become a medium for transactions, as/if pricing stabilizes in the decade ahead.
3. We believe it can act as a productive hedge against inflation.
— The Motley Fool (@themotleyfool) February 17, 2021
On the other hand, Anthony Pompliano, Bitcoin evangelist and partner at Morgan Creek Digital Assets, said BTC will become the reserve currency of the world in the long-term. Pomp expects the BTC price to touch $1 million in the long term. He added:
“I think that bitcoin will eventually rise to become the global reserve currency. I think bitcoin will eventually be much much larger than the gold market cap”.
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