Bitcoin is back again making a record of crossing $94,000. As reported by Reuters, on November 20, the popular crypto reached a high of $94,078. After reaching a high of $89,000 on November 12, this is the second time it broke its early records.
The sudden rise is being associated with Donald Trump reportedly being in talks to buy crypto trading firm Bakkt. Other analysts suggest that the introduction of options trading for BlackRock’s iShares Bitcoin Trust (IBIT) could boost the rise. But what impact can this have in the global economy? Let’s have a look what the rising market mean to you!
Bitcoin hits another record: The reason behind
Bitcoin was trading at $92,355.44 ( November 20, 10:10 AM) with a market capital of $1.83 trillion. But what could be the reasons behind the sudden rise of the ‘seemingly dead’ cryptocurrency market? Crypto market analyst at IG, Tony Sycamore, explained that bitcoin’s rise to a record high can be supported by the Trump deal talk report.
Another reason could be traders taking advantage of the first day of options trading on the Nasdaq over BlackRock’s Bitcoin ETF. The introduction of options trading for BlackRock’s iShares Bitcoin Trust (IBIT) is another milestone. This has the potential of boosting liquidity and providing investors with more ways to gain exposure to the asset. This development represents a crucial turning point in Bitcoin’s evolution. Furthermore, this also highlights the growing institutional interest and a shift in the crypto market dynamics.
In addition to this another could be MicroStrategy’s Michael Saylor revealed plans to pitch Microsoft on adding Bitcoin to its treasury, arguing it would enhance the company’s stability and reduce risk.
Bitcoin and the global impact
So, what does the rising status of the crypto market mean to you and other crypto enthusiasts? For crypto investors and traders, this could be the best time of getting a better ROI (return on investment). Additionally, crypto could be an alternative form of investment, especially for the coming generation. A recent report suggests that about 75% of cryptocurrency investors belong to a young demographic, with ages spanning from 18 to 35 years. Rise in crypto investment could also mean foreign governments might invest in the Indian economy. This could overall boost Indian infrastructure.
Another advantage could be that cryptocurrencies can provide financial inclusion to the unbanked population. This could eventually provide a new avenue for investment on a global scale.
The way ahead
“The recent milestone is more than a price point. It signals the increasing mainstream acceptance of crypto assets, which could reshape global economic dynamics,”Vikram Subburaj, CEO, Giottus Crypto Platform, highlighted.
Looking at the future of the crypto currency market, “the Investors maintain a positive perspective, foreseeing ongoing price increases for Bitcoin and a rise in trading volumes for different ETFs,” Shivam Thakral, CEO of BuyUcoin, said.
Lastly, for crypto traders and investors, “Bitcoin’s recent surge marks the start of a larger movement towards mainstream adoption, with its future price potential looking more promising than ever,” Sumit Gupta, co-founder, CoinDCX, concluded.
