Bitcoin accentuated throughout the night and this morning its rally initiated yesterday afternoon, so much so that it touched for the first time in its history the threshold of $ 48,000 this Tuesday morning, without even stopping on the $ 45,000 threshold that many analysts pointed to as potential resistance.
Now the highly symbolic threshold of $ 50,000 is within reach, as it would only take a hike of just over 4% to achieve it, from current prices.
From the $ 39,500 level where it was and yesterday’s rally started, BTC / USD posted to this morning’s high a gain of over 21.5%, in less than 24 hours.
Recall that the rise in cryptocurrency was rooted in Tesla’s announcement that the company had placed 1.5 billion dollars in Bitcoin, or nearly 8% of its cash according to data at the end of 2020.
But this announcement is ultimately only the latest evidence of the adoption of Bitcoin by institutional investors and the business community. Indeed, a growing number of large institutional investors, including Paul Tudor Jones and Bill Miller, have turned to bitcoin as a potential hedge against inflation, as the Federal Reserve and central banks around the world inject trillions of dollars. freshly created money in financial markets to boost their coronavirus-stricken economies, diluting the value of national currencies.
It should also be noted that Tesla (NASDAQ: TSLA) is not the first company to include Bitcoin in its balance sheet. MicroStrategy is another example of a company that has placed a significant portion of its cash in BTC.
“We believe this is just the start of a much wider adoption of institutional names, finally ready to make the transition to the cryptocurrency space,” said Joel Kruger, analyst at LMAX Digital, in an email. cited by Coindesk.
“The widespread adoption [of cryptocurrency] is happening before our eyes, and it is happening in front of the world,” Mati Greenspan, founder and CEO of Quantum Economics, wrote in her newsletter yesterday. .
Finally, as an amusing detail, we will note that at presently more than 892 billion dollars, the total capitalization of Bitcoin exceeds that of Tesla.