Over the past few months, bitcoin's price trajectory has been very interesting. After plunging to around $ 5.400 at the start of the COVID pandemic in 2020, the world's leading digital asset has seen its price rise steadily as a result of increased adoption of cryptocurrencies. This is thought to be due to the overflowing turmoil in the financial world and increased institutional support.
Now bitcoin has struck another coup, surpassing its price average for 50 days, which has major implications for the future stability of the bitcoin market. This price movement provides information on bitcoin's current momentum and future price highs as per recent reports.
All about Bitcoin
The value of bitcoin is a very complex concept, which has seen dramatic increases and sharp drops over the years. While cryptocurrency lovers celebrate the existing bull run, there is the looming fear of an imminent and gigantic price collapse, as has happened in the past.
This is why this price rally is so important to the market. Being able to exceed a maximum price of 5 days means that the price of bitcoin has been able to remain fairly stable despite the cryptocurrency market being often very turbulent.
Furthermore, this type of price movement is often indicative of future price increases. Which is obviously good news for cryptocurrency users. At the same time, for the industry to attract more retail and institutional investors, price stability must be achieved at a certain level. So far, Wall Street giants and companies like WeWork, TIME Magazine, and Tesla (Tesla shares) are expanding their acceptance of cryptocurrency, which should only be encouraged.
What does all this mean
If the bitcoin quote can hold its current value and eventually rise in price, there are only more benefits. Especially since we are at the height of a great mass adoption. This sentiment was echoed by Bloomberg Intelligence's Mike McGlone who believes cryptocurrency fits well in today's world and has nowhere else to go but up.
"The decrease in supply juxtaposed with historically low interest rates and the substantial amount of money pumped into the system is a solid basis for Bitcoin's price appreciation if the rules of the economy apply," he said, adding that sees the price of bitcoin rise to around $ 100.000 at one point.
With all of this in mind, it looks like bitcoin and the broader cryptocurrency industry will have many more bright days ahead. Have you already started buying or trading cryptocurrencies? Or does their turbulence still frighten you? Let us know what you think, in the comments section below.
