Bitcoin hits $ 1 trillion in market value as cryptocurrency surge continues

The price of bitcoin took another big step on Friday, with the cryptocurrency’s market value surpassing $ 1 trillion, according to Coindesk.

The digital currency was trading at just under $ 54,000 per coin on Friday as it hit the new level and peaked at $ 54,880 later in the session, according to Coin Metrics. The price of bitcoin has now gained around 350% over the past six months. Before the recent surge, the digital asset never traded above $ 20,000.

This move was in part fueled by increased adoption of cryptocurrency by major investors and companies. The oldest bank in the United States, Bank of New York Mellon, announced earlier this month that it is moving into space. Elon Musk’s Tesla converted some of his balance sheet cash to bitcoin earlier this year and said he would start accepting digital tokens as payment.

Bitcoin “has started to get so big that it’s arguably creating its own demand as businesses and institutions begin to make inroads into an area they wouldn’t have touched a few months ago,” the strategist said. Deutsche Bank search Jim Reid in a note. “Ironically, it is turning into a credible asset class for many by rallying so much lately and also gaining increasing institutional buy-in.”

The market value is calculated by multiplying the price of bitcoin by the number created. While not a perfect comparison, the $ 1 trillion market value would make bitcoin worth more than any global stock except a handful. Tesla, for example, has a market capitalization of around $ 700 billion, while Apple is valued at over $ 2 trillion.

Pro-bitcoin investors and entrepreneurs celebrated this milestone on social media.

“From the $ 1 trillion white paper. #Bitcoin eat living gold, ”Gemini’s Cameron Winklevoss said on Twitter.

“RIP bear,” tweeted Anthony Pompliano, co-founder of Morgan Creek Digital Assets.

To be sure, not everyone on Wall Street has been convinced of Bitcoin’s future prospects. Citadel Securities founder Ken Griffin said on Friday he was not interested in cryptocurrency, while researchers at JPMorgan said the Bitcoin rally was unsustainable.