bitcoin has set a new record by surpassing $71,000, cementing its status as the digital counterpart to gold and surpassing the market capitalization of silver.
bitcoin a little close to $73 thousand
This achievement, which occurred with notable frequency since early March, saw bitcoin record a technology/2024/mar/11/bitcoin-price-70000-in-record-high-cryptocurrency-crypto-fca” target=”_blank” rel=”nofollow”>new all-time high of $72,750 today, marking a 5% daily increase and a 12% increase over the past week. The cryptocurrency's steady rise underscores its relentless rise in the financial world.
Amid the UK financial regulator's announcement that it would allow trading in cryptocurrency-backed securities, the price of bitcoin rose to a new all-time high of nearly $73,000. The leading cryptocurrency erased its previous high of nearly $69,000 set in November 2021.
On Monday, the Financial Conduct Authority revealed that it would not raise any objection to investment exchanges establishing a market segment for crypto-asset-backed exchange-traded notes (cETNs), a financial instrument similar to shares, on the list of United Kingdom.
This increase in value also occurs in the few months since thebitcoin” target=”_blank” rel=”nofollow”> alpha crypto asset It surpassed Tesla, Meta and Berkshire Hathaway, cementing its status as the eighth largest asset in terms of market capitalization, which currently stands at a remarkable $1.4 trillion. Although still in the shadow of industry titans like Microsoft, Apple, and Amazon, bitcoin's rise has been spectacular.
BTCUSD currently trading at $71,567 on the 24-hour chart at TradingView.com
The FCA said it maintains its stance that crypto assets are primarily unregulated and “high-risk investments.” and that investors should anticipate the total loss of their capital, the regulator said in a statement.
Neil Wilson, chief analyst at brokerage Finalto, described the FCA's action regarding the cryptocurrency market as “positive.” In reference to the sharp price increases, he further stated that technology/2024/mar/11/bitcoin-price-70000-in-record-high-cryptocurrency-crypto-fca” target=”_blank” rel=”nofollow”>“Parabolic” market movements tended to end with a significant pullback, but “we can no longer be sure with bitcoin,” he noted.
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Meanwhile, a notable catalyst driving this bullish rally is the upcoming bitcoin halving, which NiceHash estimates will take place in about 35 days. This event, which has occurred on three separate occasions before this, implies a decrease in the compensation provided to bitcoin miners for processing newly added blocks on the network.
The incentive will decrease from 6.25 btc to 2.125 btc as a result of this fourth halving, further reducing the supply of new coins.
Comparable to gold scarcity, this scarcity-driven paradigm has long been seen as a critical component of bitcoin's value trajectory. In the same way that the scarcity of gold serves as the basis of its value, the halving of new bitcoin supply events strengthens bitcoin's appeal as a store of value in the digital age.
Featured Image by Belle Co/Pexels, Chart by TradingView
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