- The cryptocurrency’s latest push has been fueled by Paypal’s announcement to extend its cryptocurrency services to the UK.
- Market Analysts once again raise the notion of BTC heading towards $100,000.
On Monday 23rd Bitcoin broke the $50,000 barrier for the first time in three months. Investor interest in the cryptocurrency has been renewed lately, giving it a strong boost as the leading crypto became stuck at $46,000 for weeks.
At 09:25 UTC, BTC rose by 4% to hit $50,350, reaching its highest level since May earlier this year, after which the cryptocurrency sharply fell. Bitcoin, which has always been subject to intense volatility, initially declined following the announcement of China’s crackdown on mining and Tesla’s CEO, Elon Musk, declaring that the company would no longer accept crypto assets as payment due to their environmental impact, though the electric car maker later offered its support for Bitcoin.
Other big investors and CEOs like Jack Dorsey, founder of Twitter, joined the campaign to support the cryptocurrency.
The boost to the BTC listing has now been triggered by a recent Paypal announcement. Online payments giant Paypal has “extended its cryptocurrency buying and selling service to the UK,” commented independent analyst Timo Emden. He continued by adding that it was “a clear sign of growing demand,”
"And the announcement last week of [the platform] Coinbase, that it will invest 500 million dollars of its treasury in cryptocurrencies, participated in the enthusiasm of the market,"
said Markets.com analyst Neil Wilson in a statement to AFP.
Since June, BTC has climbed by over 70% after being quoted at $29,000. It is believed that it could reach $100,000 soon, though this particular forecast has been in place since it reached its previous peak of $65,000 in April which has been unseen since.
For Bensignor Investment Strategies analyst Rick Bensignor, Bitcoin “is approaching the highest point of […] its new exchange range,” which ranges between $40,000 and $50,000.
The Expansion of the Service to the UK
According to a statement made by PayPal, UK customers will be able to choose between four different cryptocurrencies, namely Bitcoin, Bitcoin Cash, Ethereum and Litecoin. The PayPal service will be progressively available for UK users in applications and also on the company’s website from this week.
In the United States, PayPal users began to buy, sell and hold cryptocurrencies through Venmo, their mobile payment service. In March, PayPal launched the cryptocurrency service on its platform, enabling customers to make online purchases from millions of merchants.
Coinbase’s investment announcement last week is also believed to have been a supportive factor in Bitcoin’s reboot on Monday.
“Last week’s news that Coinbase will buy $500 million worth of cryptocurrencies to put on its balance sheet and place 10 percent of quarterly earnings in a cryptocurrency portfolio has supported sentiment,” commented Markets.com analyst Neil Wilson.
On The Flipside
- It has already been well recorded how much Bitcoin’s price reacts to the news and certain movements of the whales. The volatility of crypto is one of its major disadvantages that it has yet to overcome.
Why You Should Care?
In recent days, the most leveraged and strongest cryptocurrencies in the market have recommenced upward trends. It seems that a new party season has begun for the industry, given the increasing insertion of digital assets among global finance.