Bitcoin Spends Record High Days Over $10,000
The pioneer cryptocurrency has now recorded its highest-ever time period trading about the $10,000 price level, which is now considered by many to be a major support floor for Bitcoin.
Bitcoin: Setting records
Previously, Bitcoin reached the $10,000 level only twice before: first in 2017 when it broke through the level and reached its all-time high of over $20,000 on some cryptocurrency exchanges, and then late last year in December and early-January when Bitcoin jumped to almost $13,000.
The digital money’s past record of 62-day streak above $10,000 was in December 2017 to January 2018, when Bitcoin arrived at its untouched high of above $19,900 on Coinbase in the wake of taking off almost 100% in about fourteen days.
Bitcoin’s most recent delayed period over the significant five-digit mark, nonetheless, has been generally calm, for the most part remaining in a minuscule range somewhere in the range of $10,000 and $12,500. As indicated by Coin Metrics, 180-day returns unpredictability for the main digital currency has plunged 41% so far in September.
The price movements came as institutional interest has reached unprecedented levels for Bitcoin.
Institutions Increasingly Turn to Bitcoin
As BTCManager reported last month, MicroStrategy, a publicly-traded company on the NASDAQ worth over $1.2 billion told shareholders in August invested $250 million in “alternative investments or assets,” which could see it move into Bitcoin, gold, and other asset classes.
Firm executives noted the firm returned more than $245 million to shareholders through the repurchase of 1.8 million shares since the fourth quarter of 2018. Moving forward, the firm’s strategy is to allocate more capital and return a portion of excess capital to its shareholders while investing a portion in assets with higher return profiles in cash.
MicroStrategy CEO Micheal Saylor said at the time regarding the Bitcoin purchase:
“Bitcoin serving as the primary treasury reserve asset on an ongoing basis, subject to market conditions and anticipated needs of the business for Cash Assets, including future potential share repurchase activity.
He added that as a result of this new policy, the Company’s holdings of bitcoin may increase beyond the $250 million investment that the Company disclosed on August 11, 2020.
Apart from Microstrategy, more businesses have adopted Bitcoin as their primary reserve asset with BTC’s scarcity being a major attraction. In August, Tahinis, a Middle Eastern restaurant based in Canada announced that it was converting all its cash reserves to Bitcoin.
Another Canadian company Snappa in the same month revealed that it started acquiring BTC in March 2020. The company stated that it held a significant portion of its cash reserves in Bitcoin.