Bitcoin price on Thursday touched $55,000 for the first time in five months. The world’s largest cryptocurrency performed poorly in September but managed to get back to $50,000-mark at the beginning of this week. The currency is only $10,000 away from the record high price it had reached during April 2021.
Bitcoin saw a price surge of 6.82% within 24 hours taking its value to $55,077.67. It had already touched the touched $55,000-mark briefly earlier on Wednesday.
Analysts have found it difficult to credit one primary reason behind the volatility of the world’s favorite cryptocurrency. The increasing uncertainty in the international markets and the global outage of the social media platforms could be two of the factors which have contributed to this price surge.
Another factor contributing to the unexpected price hike could be the rumors circulating regarding the approval of the bitcoin exchange-traded product (ETF) by the US Securities and Exchange Commission in the coming few weeks. These reports are in line with Securities and Exchange Commission Chairman Gary Gensler’s remarks to the Federal reserve reassuring the crypto industry that the US is not planning to ban crypto. Gensler further indicated that stable coins should be regulated and encouraged crypto exchanges to register with the SEC.
As per the CoinDCX Research Team, “Traditional markets struggle with falling stock prices and the uncertainty of China’s property sector, investors turning to cryptos like bitcoin – evidence of digital asset’s continued resilience and safe-haven qualities”.
A number of other important cryptocurrencies also saw significant price hikes during the last 24 hours. Ether surged to $3,539 on October 6, however, Cardano and Binance Coin slipped over the day. The coin Shiba Inu jumped to around 80%, owing to CEO Tesla Elon Musk.
Chief operating officer at WazirX Siddharth Menon said, “Altcoins have been rather sluggish overall when compared to the Bitcoin surge. Cardano(ADA) looks prepared to bounce off from the recently formed flag pattern. Benjamin Cowen, a well-known crypto analyst, believes that the price of Cardano has the potential to hit $20 in this cycle. Cardano could possibly get to $4.5 if it performed as well as Bitcoin, and to $9 if the price of Bitcoin crosses $150,000 levels”.
The market capitalization of cryptocurrency globally rose by 2.97% to reach $2.29 trillion on Thursday. The market volume jumped 32.48% to a whopping $147.59 billion in the last 24 hours.
