Bitcoin is poised to further growth, unlike the situation when it reached its previous all-time high in December 2017.
On-chain analyst Willy Woo said $55,000 is the next landmark for Bitcoin as the leading digital asset hits an all-time high of $23,000. Bitcoin recently reached its all-time max, shortly after trading over $20,000 for the first time ever.
The top digital asset Bitcoin has crossed $20,000 for the first time in history on the 16th of December. At the time, Bitcoin had grown by over 170% since the beginning of January. Coinspeaker reported that the increasing gains are fuelled by institutional investors’ high demand for the king coin. Institutional investors now see BTC as a hedge against inflation and have moved to acquire large amounts of digital assets.
Analyst: $55,000 Is Next Bitcoin Landmark
The report further revealed that Bitcoin is poised to further growth, unlike when it reached its previous all-time high in December 2017. About 24 hours after breaking the $20,000 barrier on the 16th of December, Bitcoin hit a new high of $23,000 on the 17th of December. At press time, however, Bitcoin is trading at $22,958.19.
Before now, several analysts had predicted that Bitcoin would hit $20,000 before the end of 2020. Now the digital asset has reached $23,000, and analysts are becoming more bullish on its price.
We are not at the all-time-high juncture where the BTC Top Cap Model starts curving upwards.
Let’s see how high she runs in 2021.
— Willy Woo (@woonomic) December 16, 2020
Bitcoin’s market capitalization currently stands at over $426 billion and has climbed 4.10% in the last 24 hours.
Institutional Investors Bullish on Bitcoin
Cointelegraph said in a report that the price of Bitcoin may soon reach $30,000. In a Twitter thread posted on the 16th of December, Deribit Insights explained that institutional investors are bullish on the price of BTC:
“Institutional funds appear to remain bullish. Large buyers of Call spreads (20-24k popular before 20k broke). Today Jan + Feb 22k Calls both bought x250. Jan 30k x500 showing as buy. Near Calls profit, some roll to Jan+Feb, keep exposure. ATM 19.5-20k Puts sold – Bullish bias.”
Over time, the price of Bitcoin has been on the rise as more individual and institutional investors perceive the asset as an alternative to gold. In the last few months, several prominent billionaires have passed positive comments on BTC and even given details on their BTC investment.
MicroStrategy Inc (NASDAQ: MSTR) is one of the institutions acquiring BTC since the beginning of the year. Despite holding a large amount of Bitcoin, MicroStrategy has plans to purchase more.
MSTR has been recording gains over the last twelve months. The company jumped by 105.10% over the past year and 108.79% in its year-to-date record. MicroStrategy has upped 86.60% in the last three months and over 34% in the last month. Data by MarketWatch revealed that the company has also surged by 4.16% in the last five days.
Ibukun is a crypto/finance writer interested in passing relevant information, using non-complex words to reach all kinds of audience. Apart from writing, she likes to see movies, cook, and explore restaurants in the city of Lagos, where she resides.