Bitcoin Hikes To $ 50,000 For The First Time In A Month – As Mike Novogratz Announces The Start Of His ‘4th Quarter Rally’ | Currency News | Financial and business news

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Bitcoin had a wild ride in 2021, surpassing $ 64,000 in April.

Given Ruvic / Reuters

Bitcoin broke above $ 50,000 for the first time in a month on Tuesday, after rising sharply over the past week. Crypto bull Mike Novogratz has said he is excited and this could be the start of a rally in the fourth quarter. Bitcoin had a wild ride in 2021, surpassing $ 64,000 in April before plunging below $ 30,000 in July. See more stories on the Insider business page.

Bitcoin topped $ 50,000 for the first time in a month, with crypto billionaire Mike Novogratz saying the rise could be the start of a rally in the fourth quarter.

The world’s largest cryptocurrency rose 2.4% to $ 5,183 at 6:35 a.m. ET, hitting its highest level since early September, according to Bloomberg prices. Bitcoin has rallied sharply in recent days, having traded around $ 41,000 just seven days earlier.

“Bitcoin… regaining the $ 50,000 mark appears to be the culmination of a process that began when crypto trading activity started to rebound in late summer,” said Curtis Ting, Managing Director of the Kraken crypto exchange for Europe.

There has been a surge in interest in bitcoin recently, Ting noted, after some traders turned to other digital assets, such as Ethereum Ether and Cardano’s ada token. He said that bitcoin volumes have recently been much higher than ether, the second largest cryptocurrency.

The “accommodating statements” from the US Securities Exchange Commission and the Federal Reserve bolster confidence in bitcoin, CoinShares said in a report on Monday, helping it attract entry at the expense of altcoins.

Novogratz, the founder of crypto investment firm Galaxy Digital, celebrated the rise of bitcoin on Monday in a tweet:

“Crypto is trading like nobody figured it out, the Q4 rally may have started.”

Novogratz said he was surprised and happy that bitcoin rose even as tech stocks were hammered on Monday. In the last share sale, bitcoin fell sharply as investors shed riskier assets.

Read more: Value investor Mike Alfred breaks down crypto portfolio strategy that is expected to significantly outperform the original 60/40 – and shares his bullish thesis on 3 undervalued crypto stocks

Bitcoin had a wild ride in 2021. It hit a record high of over $ 64,000 in April, as large companies and institutions such as Tesla bought digital assets, exciting retail investors.

But it then plunged in May, after Tesla CEO Elon Musk criticized the token’s power consumption and said the electric car maker would stop accepting bitcoin as payment. At the same time, China has launched a crackdown on the crypto industry. These pressures helped push the price of bitcoin down below $ 30,000 in July.

Analysts struggled to pinpoint the exact reason for the recent crypto rally, but noted that institutions still appear to be interested in digital assets despite their volatility.

In particular, enthusiasm has built around decentralized finance or DeFi – the use of crypto technology to perform financial tasks such as trading or lending, without the need for middlemen.

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