Digital currency Bitcoin expanded its record-smashing rally over the weekend, starting the year with a surge over $30,000 for the first time, together with more investors and traders betting that it is on its way to becoming a mainstream payment method.
The price of the world’s most popular cryptocurrency traded as large as $33,099 on Saturday, with almost all other markets closed over the first weekend at 2021. It was last up about 12 percent at $32,883.
Bitcoin advanced more than 300% in 2020, and the latest leg higher has added more than 50% since crossing $20,000 two weeks ago.
The blockchain money has only existed for a decade or so, and in 2020 it has seen demand grow from bigger US investors, brought by its perceived inflation-hedging qualities and potential for quick gains, in addition to expectations it might turn into a mainstream payments method.
Investors said limited supply of bitcoin – produced by so-called “mining” computers that validate blocks of transactions by competing to solve mathematical puzzles – has helped electricity upward moves over recent days.
Some also saw it as a safe-haven play throughout the COVID-19 War, akin to golden.
“People have been steadily losing faith in their government currencies for years, and the monetary policies resulting from the economic impact of the coronavirus have only accelerated this decline.”
It deals on numerous exchanges, the largest of which will be Coinbase, which is itself planning to go public to become the first big US cryptocurrency exchange to record on Wall Street.
Multiple rival cryptocurrencies utilize similar blockchain, or electronic ledger, technology. Ethereum, the 2nd largest, gained 465% in 2020 and was up nearly 7% on Saturday.
The team at Platform Executive hope you have enjoyed this news article. Initial reporting via our official content partners at Thomson Reuters. Reporting by Jonathan Landay. Editing by Steve Orlofsky.
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