It took more than 2 and a half years for Bitcoin to go beyond the price of US$ 13,000. The last time when the cryptocurrency was over US$ 13,000 was in January 2018.
Since the start of 2018, Bitcoin had seen many ups and downs. However most of the time it remained low and the cryptocurrency’s value was gradually going down. At one point in time in 2020, it went low as US$ 4,000 because Covid-19 had struck the entire world.
But since the last month, Bitcoin had been showing phenomenal results. It crossed multiple price barriers and came to a stage where it maintained a capped price of US$ 10,500.
In between this US$ 10,500 cap, Bitcoin underwent various ups and downs. However, it stayed over and above its capped price but from then onwards it got support from various factors. These factors then helped Bitcoin to remain strong in the month of September. Amazingly, since the beginning of October, Bitcoin continued to move up and by acquiring quick gains.
Till the time of this publication, Bitcoin’s price is about US$ 13,122 and the charts suggest further upward gains.
But it looks the conditions are not favoring other crypto products. For instance, in less than an hour, FARM, a tokenized crypto of Harvest Finance tumbled down at least 65 percent. On the other hand, the stocks in the European traditional markets went very low. This is due to the fact that Spain has imposed another Covid-19 emergency in the country. In addition, the Italian government has urged its countrymen to stay at home.
Similarly in the US, the equity futures trading went considerably low due to the growing number of Covid-19 cases within the country.
But the legendary cryptocurrency, Bitcoin was never underestimated that much as it did in the past three years. Many labeled it as a fraud while others termed it not suitable for investment purposes. Now that it has regained investors’ confidence, technicians are suggesting that it will maintain this rally for a long time.
On Friday, JPMorgan, which is the largest financial institution in the US, wrote that Bitcoin’s upward rally is exceptional. The Bank’s Quantitive and Derivatives Strategy Team then went on to co-relate Bitcoin with Gold. They said that the use of Bitcoin as an alternative to Gold is inevitable due to its popularity amongst the masses.