Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.
Bitcoin’s price briefly hit a new record on Wednesday, by breaking$11,000 barrier.
It was just yesterday when bitcoin surged past the $10,000 barrier for the very first time and this has happened almost a month before we bid adieu to the most-glorious year of 2017 for cryptocurrency markets. Not only Bitcoin but the overall crypto markets have reached to record high valuations with a total cap of above $325 billion. Many analysts had already predicted a few months back that Bitcoin will cross $10,000 mark by the end of this year.
Now the interesting fact is that in just past two months, the Bitcoins prices have jumped by 100% with the major trigger provided by the announcement of Bitcoin futures contract by world’s largest derivatives marketplace – CME Group. The futures are to start from the very next week as officially announced by CME Group, and it seems that as the launch is coming closer retail investors are really excited for this moment.
As per reports, the major trading volumes post the $9000 mark have been contributed by retail investors and the $10,000 was a psychological barrier as it seems that Bitcoin is in no mood to stop even after that. After crossing the $10000 mark 24 hours back, Bitcoin has surged even 10% further and is currently trading at $11,105.80, according to CoinMarketCap. The 24-hour trading volumes have crossed $8.5 billion and the overall market cap of Bitcoin is now over $185 billion.
There is no doubt about it that Bitcoin has now managed to gain formidable grounds and is seriously viewed as a mainstream digital currency. Moreover, Bitcoin has managed to sustain against all odds and criticism coming from renowned personalities from global finance and financial institutions alike.
The credit for this certainly goes to the huge investor community who continued to believe in this Blockchain-based decentralized system of transactions. In fact, their continued support to Bitcoins has also forced several financial institutions to look inwards and rather participate in the Bitcoin revolution.
Today, the result is that looking to a huge investor demand even the early critics (which include big financial institutions like Goldman Sachs, JPMorgan and others) have turned positive for Bitcoin and as are also developing several Bitcoin-based investment products for its customers.
Expert Views Post Bitcoin Crossing the $10,000 Benchmark
After Bitcoin crossed $10000 there have been some interesting opinions and views coming from personalities associated with Bitcoin-related businesses. CEO of CryptoCompare, Charles Hayter, called this historic event of crossing $10000 as a “sentimental moment” for Bitcoin. In an email, he writes: “$10k represents the closing of the second cycle in Bitcoin which has drawn the interest of institutional investors who have so far been constrained from trading by their remits. This is starting to change as more sophisticated and regulated instruments are made available. This will lead to Bitcoins third cycle.”
Iqbal Gandham, Bitcoin supporter and UK managing director at eToro said that crossing this milestone so convincingly shows the confidence among investors that are all poised to become the mainstream digital currency of the future. He accepted that Bitcoin is currently”going through its volatile teenage years”, however, he outrightly denied that Bitcoin was anything but a bubble.
Commenting on the latest growth of Bitcoins, he said: “Everyone from central banks, hedge funds, governments, big incumbent financial institutions, and retailers are looking at use cases for cryptocurrencies. This trend isn’t going to slow down anytime soon. The reality is that emerging technologies carrying radically new ideas will always see swings in their value before their potential is fully realized and the price stabilizes. The difference here is that the technology in question – the blockchain – means all this volatility happens in public.”
Things are really taking a new turn, and one year back no one expected that Bitcoin would gain such a huge importance in such a short time. Long time supporter, investor, and creator of a $500 million crypto-hedge-fund – Mike Novogratz – has now set a new goal for the coming year and predicted that Bitcoin could well possibly touch $40,000 mark by the end of 2018.