Daily Management Review

Bitcoin Surge to Record High Of ‘$28,600’


12/30/2020


The most popular of the cryptocurrencies in the world saw almost 50% surge once it broke the barrier of “$20,000 for the first time on Dec. 16”.



On Wednesday, 30 December 2020, Bitcoin surged to a record high of “$28,599.99” as digital currencies multiplied four times in value this year whereby luring bigger investors. The most popular of the cryptocurrencies in the world had seen a rise of “2.3% at $28,012”, which marks almost 50% surge once it broke the barrier of “$20,000 for the first time on Dec. 16”.
 
In particular, more and more U.S. investors continue to get drawn by Bitcoin due to its “perceived inflation-hedging qualities and potential for quick gains” while there are expectations that Bitcoin will join the mainstream for payment options. Bitcoin has a limited supply as the “mining” computers solve “mathematical puzzles” to validate “blocks of transactions”. As a result, there was been an upward moves towards the cryptocurrencies in the recent times.
 
In fact, many new comers who entered the market have also held on to their positions. Jacob Skaaning from ARK36, a “crypto hedge fund”, said:
“The supply side to the bitcoin market will remain tight”.
 
The CoinMarketCap website indicated that the recent gains contributed to “bitcoin’s market capitalisation” to over “$518 billion”. While Reuters reported:
“Other major cryptocurrencies, which tend to move in tandem with bitcoin, were flat. Ethereum, the second biggest, was down 0.4%, on track for a 2020 gain of around 465%”.
 
 
References:
reuters.com