[ad_1]
Market capitalization of all cryptocurrencies rose 10% to $ 1.042 trillion on January 7
Bitcoin Price News: Cryptocurrency bitcoin jumped more than five percent on Friday, January 8, to new highs of $ 41,530, reversing losses from its earlier performance during the session. The world’s most popular virtual currency rose to $ 36,618.36 on the Bitstamp exchange before rebounding. Rival cryptocurrency – ethereum rose 3% after plunging more than 10%. Bitcoin has rallied nearly 1000% since a March low. Bitcoin has seen a broader bullish run since October 2020, since the U.S. online payment company PayPal allowed customers to use cryptocurrency on its network. It first crossed $ 30,000 on January 2, after crossing the $ 20,000 mark on December 16. (Also read: Cryptocurrency Market Cap Hits $ 1 Trillion: Everything You Need To Know)
Higher demand from businesses, institutions and even retail investors has influenced bitcoin’s price spike, amid its inflation-hedging qualities and potential for quick wins. “We are seeing a continued spike in demand, driven largely by sustained and unprecedented institutional interest, showing no signs of slowing down as we approach 2021,” said Frank Spiteri of digital asset manager CoinShares.
On January 5, strategists at JPMorgan wrote that the digital currency has become a rival to gold and could trade up to $ 146,000 if it becomes a safe haven asset. Bank of America investment strategists said on Friday that the violent inflationary price action in the markets had helped bitcoin’s rebound in the past two months.
Bitcoin is also the first and largest cryptocurrency by market capitalization. Meanwhile, the market capitalization of all cryptocurrencies rose 10% to $ 1.042 trillion on Thursday, January 7, according to data from CoinMarketCap. Bitcoin accounted for around 69% of the total market cap, followed by Ethereum with a 13% share. Bitcoin broke the $ 40,000 mark for the first time on Thursday. (Also read:From $ 2,000 to $ 20,000 in 3+ Years: Everything You Need to Know About the Bitcoin Rally)
Witnessing a meteoric rise since March 2020, bitcoin has nearly quadrupled in value and has jumped exponentially since entering a four-digit value for the first time in 2013. Several major banks are exploring the possibility of allowing the issuance of virtual currencies. However, bitcoin is still a new-age asset and is not yet recognized as legal by many banks. Bitcoin is equivalent to money but comes in electronic form.
Source link
