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The price of the digital currency continues to show strong growth and has achieved another historic record, due to the ongoing rise in trading volume.
The price of bitcoin keeps reaching new heights, growing by more than 80% during the last month. Its value hit a historic high of $4,747 on Thursday, while the crypto market cap for the first time surpassed $170 billion.
The growth continued on Friday, as the digital currency climbed to a new all-time high of $4,975, according to CoinMarketCap. The spike, in turn, has pushed the market cap of all virtual currencies to rise above $175 billion. On other exchanges, the price of bitcoin has been even higher, surpassing $5,000 mark. However, the cryptocurrency has since decreased and is currently worth $4,555.
Meantime, the price of other digital currencies has been showing significant gains as well. Litecoin, which undergone SegWit activation earlier this year, hit an all-time high of $78, rising by almost 50% within the past seven days. At press time, the digital currency costs $76, as CoinMarketCap shows. Ethereum, the main rival to bitcoin, has also surged to a record level of $394.
There are a lot of factors that have possibly influenced bitcoin growth. The cryptocurrency is becoming more attractive for investors looking for alternative assets amid political uncertainty and tensions between the US and North Korea. Overall, an increasing number of users come from areas with unstable political situation, like South America and some African countries. Moreover, the recent split of the bitcoin blockchain has driven demand from traders, who became more confident about the scalability and stability of the virtual currency.
Besides, more celebrities and well-known celebrities are expressing their interest in bitcoin, what brings additional attention to the digital currency.
A couple of days ago, a reality star and wrestler John Cena published a stock image of bitcoin on Instagram which already has more than 54,000 likes. Similarly, Floyd Mayweather, who recently won a fight against Conor McGregor, promoted crytocurrency startups, Stox and the Hubii Network, via his Instagram account. Other stars that showed their interest in the digital currency include Mike Tyson, Ashton Kutcher, 50 Cent, and such prominent investors as Mark Cuban and Brock Pierce.
Bitcoin supporters expect that the price of bitcoin will keep surging in the upcoming years. The stock analyst Ronnie Moas has recently predicted that bitcoin will reach $7,500 level in next year. He suggest the cryptocurrency could rise to $50,000 by 2027 as the number of bitcoin users will grow to as high as 100 million users from 10 million today in the next few years.
According to Dennis Porto, a bitcoin investor and Harvard academic, the digital currency could achieve $100,000 by 2021 if it continues to follow Moore’s law which describes the improvements of digital technology.