Bitcoin Faces Rejection at $50k, Primed to Bounce Back
Leading cryptocurrency Bitcoin has achieved a significant milestone as it crossed the $50k mark for the first time today. The recent bullish run has been buoyed by a recent investment from institutions in February.
Major Milestone for Bitcoin
Bitcoin’s (BTC) bullish run shows no signs of slowing down despite a brief lean period towards the end of January. Driven by Tesla’s recent colossal investment, the price of Bitcoin (BTC) just exceeded the symbolic bar of $50,000 according to data from CoinMarketCap.
Since Tesla revealed that it had invested $1.5 billion in Bitcoin, BTC price has risen from $39,000 to over $50,100 as of the time of writing. This correlates to an increase of 28% in 6 days.
This is a staggering performance from Bitcoin, which strengthens its status as digital gold once again. Bitcoin’s market capitalization now stands at over $930 billion and ironically exceeds that of Tesla, which hovers around $780 billion. Bitcoin market dominance is currently set at 61.3% and its price surge has caused a ripple effect in the crypto market.
The Fundamentals are Getting Stronger
Over the next few weeks, there’s no denying that other major companies will follow Tesla’s lead. The “Bitcoin Club” continues to grow, and institutions can no longer ignore the leading cryptocurrency’s popularity.
Payment network Mastercard recently announced that it would integrate cryptocurrencies before the end of the year. At the same time, Twitter is considering adding bitcoins to its portfolio as a potential payment means for employees. The same goes for Uber, which is exploring the addition of cryptocurrencies as a means of payment for its services. These developments have led to excitement within the crypto-sphere, eager to know the next company to follow in Tesla’s footsteps.
The arrival of one of the members of GAFAM (Google, Apple, Facebook, Amazon, and Microsoft) will have a more significant effect on the price of bitcoin. For the crypto industry, the developments are coming fast, considering how the situation was a few years ago.
The future of bitcoin is mapped out, and all signs show that it will continue to reach new heights. To a certain extent, however, we must remain cautious and keep in mind that a correction in the price of Bitcoin is possible.