[ad_1]
LONDON (Jan 3): Bitcoin, the world’s largest cryptocurrency, surpassed $ 34,000, just weeks after passing another major milestone.
The currency gained as much as 7.8% at US $ 34,182.75, before falling to around US $ 33,970 at 3:05 pm Sunday in Singapore. It advanced nearly 50% in December, when it topped $ 20,000 for the first time.
The latest gains top a surprising rebound for the controversial digital asset in 2020, which rebounded sharply after a severe slide in March that saw it lose 25% amid the coronavirus pandemic.
The coin “will be on its way to $ 50,000 probably in the first quarter of 2021,” said Antoni Trenchev, managing partner and co-founder of Nexo in London, which bills itself as the world’s largest cryptocurrency lender. Institutional investors returning to their desks this week will likely raise prices further after retail purchases over the holidays, he said.
Bitcoin has been increasingly “adopted into more global investment portfolios as holders expand beyond tech geeks and speculators,” Bloomberg Intelligence commodity strategist Mike McGlone wrote in a note last month. past. Proponents of the currency have also taken hold of the narrative that the currency could act as a repository of wealth amid supposedly rampant printing of money from the central bank, even as inflation remains mostly off.
Bitcoin should eventually rise to around $ 400,000, Scott Minerd, chief investment officer at Guggenheim Investments, told Bloomberg Television in an interview on Dec. 16.
Still, there are reasons to be cautious, in part because Bitcoin remains a poorly traded market. The currency slumped as much as 14% on Nov. 26 amid warnings that the asset class was lagging in a correction. The big price hike in 2017 was followed by an 83% drop that lasted for a year.
[ad_2]
