bitcoin has surpassed the $50,000 mark today, according to data from CoinMarketCap, reaching this milestone for the first time since December 2021.
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The advance marks a significant recovery for bitcoin, which faced massive volatility and fluctuations over the past two years, reaching lows of around $16,000. bitcoin's resilience and upward trajectory underscore its status as a store of value and inflation hedge in the current bleak economic outlook.
Investors are closely monitoring bitcoin price movements, with many seeing the $50,000 level as a crucial psychological barrier. bitcoin's price rise reflects renewed confidence in the asset's long-term potential and its ability to attract institutional investment.
This year's bullish price movement has been primarily driven by spot demand for bitcoin ETFs, which are being adopted by major financial institutions, and growing participation from retail investors. Immense selling pressure from the Grayscale bitcoin ETF, in addition to coin selling by miners, now seems almost exhausted. So now that inflows into all other spot bitcoin ETFs are accelerating, buying demand is far outweighing any current selling pressure.
Furthermore, with the halving event fast approaching for bitcoin, market participants have expressed their desire to eagerly purchase btc before the mining reward halving, which is expected to trigger a supply shock. later in the year.
