Bitcoin exceeds $ 50,000 for the first time since May | Business and Economy News

[ad_1]

The crypto renaissance is fueling predictions that the largest virtual coin is back on track to hit $ 100,000.

Bitcoin topped $ 50,000 for the first time since May, as crypto prices continued an ongoing rally after a messy rout just three months ago.

The largest virtual coin rose 3.8% to $ 50,272 at 6:53 a.m. in New York City, with other tokens including Ether and Cardanos ADA also rising.

The revival of virtual currencies has thrilled the animal minds of crypto devotees, reviving predictions of $ 100,000 or more for Bitcoin. Others see the volatile asset carving out a wider trading range at the moment.

We were seeing some very bullish signs here, said Vijay Ayyar, head of Asia-Pacific with the Luno crypto exchange in Singapore. Bitcoin could test all-time highs again after breaking above levels that some saw as major challenges.

Market sentiment also benefited from PayPal Inc.’s announcement that it will allow UK customers to transact crypto. This is the first international expansion of the PayPal crypto service beyond the United States, and another hint of wider industry adoption.

In April, Bitcoin hit a record high of nearly $ 65,000, driven by a tide of liquidity, quick bets and optimism about growing demand from institutional investors. The favorable opinions of billionaire Elon Musk and the direct listing of digital currency platform Coinbase Global Inc. also fueled optimism.

But more critical opinions emerged later, including a flip-flop by Musk, focusing in part on the environmental cost of the energy consumed by the computers that underpin Bitcoin. A crackdown on cryptocurrency in China has also soured the mood. Bitcoin fell below $ 30,000 after a crypto rout in May.

$ 2.2 trillion

The recovery since then has seen the value of the crypto universe tracked by CoinGecko rise to around $ 2.2 trillion from $ 1.2 trillion a month ago.

The bulls took heart from more recent comments from Cathie Wood, Musk and Ark Investment Management LLC, as well as speculation about Amazon.com Inc.’s possible involvement in the cryptocurrency industry.

Musk said last month that he would like to see the token succeed and that he has personally bought Bitcoin, Ethereum, and Dogecoin. Arks Wood said companies should consider adding Bitcoin to their balance sheets.

The hash rate, a measure of the computing power put into the Bitcoin network, also rebounded from lows in early July, a sign the industry is adjusting after disruption caused by China’s crackdown.

(Bloomberg)

Bitcoin is approaching the high end of what I expect as a new $ 40,000- $ 50,000 trading range, Rick Bensignor, managing director of Bensignor Investment Strategies, wrote on Monday.

The ether also climbed, boosted by an upgrade to its underlying network that signals a more limited supply of the token. ADAcoin linked to the Cardano blockchain recently dropped to third place among technological improvements that could make the network more useful.

[ad_2]