After hitting $ 25.000 on December 25 and $ 26.000 on December 26, the price of bitcoin is very natural (quotation BTC) rose over $ 28.000 at the start of December 27, rising over $ 2k in a single day and hitting a high of $ 28.221. The market value of BTC now exceeds $ 500 billion.
Bitcoin now competes with the major publicly traded companies by market capitalization
Recently, BTC hit a string of records after breaking the psychological threshold of $ 20.000 for the first time on December 16. In the past few days, BTC appears to have found another boost, breaking through $ 25.000 on Friday night for the first time and $ 26.000 on Saturday afternoon.
About half a day later, BTC rose to a new all-time high of $ 28.221,92 on Sunday morning, before stabilizing around $ 27.500 right now, up 11,04% in the past 24 hours.
Since the beginning of the year, BTC has increased by more than 270%. With a market value of $ 512,34 billion, BTC is now more valuable than all publicly traded companies except seven of them, and sits between Alibaba at $ 545,4 billion and Tencent Holdings at 509,7 billion. $, according to data from the analysis firm Statista.
Behind the scenes of the new record
Many analysts believe institutional investors are leading this record run. These include: Anthony Scaramucci's Skybridge Capital ($ 25 million in December); MassMutual ($ 100 million in December); and Guggenheim (up to 10% of its $ 5 billion macro fund).
With the end of the year looming, some fund managers may even be buying BTC so they can later boast that they were smart enough to buy BTC in 2020 by neglecting to say what price they did.
In addition, the US Federal Reserve, along with other central banks, has been printing money for huge amounts, trying to mitigate the severe economic effects of the pandemic. These stocks are seen by many as potential catalysts for inflation and negative for the US dollar, but they could be very positive for BTC.
While the huge rise in BTC might suggest that the cryptocurrency will stabilize at $ 28.000 on December 28, $ 29.000 on December 29, and so on, it is good to keep in mind that this increase is occurring on a holiday weekend with a volume thin.
Monday may bring a different narrative with it. However, there are those who think that BTC is only just beginning. Scaramucci claims that BTC is in the "first inning" and on Saturday afternoon, crypto venture capitalist and bitcoin advocate Tim Draper tweeted that the price of the major cryptocurrency could increase tenfold by the end of 2022.
