Bitcoin has done it. The currency that pretty much the entire world has grown to love and fawn over has jumped past the $15,000 mark, thereby bringing forth a prediction that many analysts thought wouldn’t come true until the end of the year.
Bitcoin Has Grown to Great Heights
Bitcoin is showing itself to be stronger and more resilient than ever. The currency was originally slated by several analysts and industry experts to hit the $15K mark once we were ready to say goodbye to 2020. However, the price is coming two months early. This isn’t necessarily a bad thing, but it does appear to be stemming from several unsteady factors.
For one thing, the U.S. presidential election is still technically underway. There are countless accusations of election and voter fraud, and with so many ballots still being counted, one can’t help but wonder what’s true and what isn’t. There is still no clear winner, and it looks like all the hype and hoopla surrounding the event is causing bitcoin to spread its wings further.
The kind of speculation and concern stemming from the election is similar with what first emerged when the COVID-19 emergency struck in mid-March of this year. At that time, bitcoin suffered greatly and fell approximately $6,000 to below the $4,000 line, though two months later, the currency found itself back on its feet and trading for just under $10K, a figure it would eventually strike come summer.
Bitcoin’s rise to $15,500 – which is what it’s currently trading for – certainly didn’t happen overnight. The asset experienced a few drops here and there before finally finding strength in the chaos that was surrounding it. From there, bitcoin managed to strike a new chord with traders in both the U.S. and all around the world, it seems.
In addition, Europe is entering its second COVID-related lockdown, which means there is panic in other corners of the world as well. This panic is also likely causing people to stock up on bitcoin as fiat currencies lose balance – exactly what happened several months ago when the coronavirus first began battering the world’s financial markets.
Charles Hayter – the CEO and co-founder of digital asset data platform Crypto Compare – commented in a recent interview:
Bitcoin has broken through the $15,000 mark. The surge comes at a time when Europe enters its second lockdown, the dollar continues to weaken, and stock markets are rallying on the back of the US presidential election.
Chaos Seems to Fuel the Asset
Denis Vinokourov – head of research at Bequant in London – also discussed his thoughts, stating:
Bitcoin continues to grind ever so higher and, while calls for a retest of the all-time high continue to grow ever so louder, parabolic price runs are not necessarily what the market needs for growth to be sustainable.