Bitcoin has smashed its all-time high of $19,783.21 set on December 18, 2017. Just two weeks after Bitcoin failed to break the previously set high, the leading crypto shot to the new $23,586.91 record today.
Bitcoin’s Journey to a New All-Time High
As the markets opened for trade in 2020 Bitcoin tried and failed to breach its all-time high, maxing out at 19,845 in the process. After Bitcoin’s attempts were met with multiple rejections, the crypto retracted in the following days, creating a 14-day low of $17,619 on Dec 11, 2020.
Market analysts predicted a short-term retracement for the number one cryptocurrency, however, it has taken Bitcoin only 14 days after its rejection to cross the $20,000 mark. At around 11:20 today, Bitcoin effectively smashed its way through its all-time high, creating a new high of $23,586.91 in the process. Bitcoin is now up 190% in 2020.
How Bitcoin Able to Create a New High?
It is no news that interests from institutional investors always a positive impact on the leading cryptocurrency. Since its attempt first failed attempt at creating a new high, Bitcoin has enjoyed a lot of those.
In the 30 days, we have seen conservative insurance company, MassMutual throw in a $100 million into Bitcoin investment. On Wednesday, December 9, 2020 Business analytics firm, MicroStrategy announced that its senior convertible notes offering has hit $650 million, the proceeds of which were to be used for bitcoin investment.
Venmo recently announced that users of Apple Pay, one of the largest payment options globally, can now buy cryptocurrencies almost instantly. Similarly, wall street investors have been gradually accumulating Bitcoin. Influential investors like Paul Tudor Jones and Stan Druckenmiller have come out to openly talk about the future of Bitcoin.
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Bitcoin’s surge has boosted the portfolio of Grayscale Investments, the largest crypto asset fund, to more than $12 billion.
What Does the New-High Mean for Bitcoin?
No doubt that we are all delighted about the new high, and the overall market trend of Bitcoin, however, the future of Bitcoin is more important than its current trade price. The price crash of Bitcoin after its glorious run painted Bitcoin as a “project” doomed to fail. However, we are in different times now.
2020 has granted Bitcoin more use cases and interests from institutional investors than the previous six years since its launch. Going into 2021 with a new high confirms that Bitcoin has graduated from being a test project to becoming a global payment system and a store of value.
