Bitcoin Climbs New Record High Over $58,000

Jafrin  |  Feb 22, 2021

Bitcoin has set another milestone above $58,000, bringing the cryptocurrency’s year-to-date gain to over 100% in just less than two months in 2021. Over the past year, Bitcoin's price has risen by about 305%. The flagship cryptocurrency has been trading with an increasing price for the entire month of February. Analysts have speculated that Bitcoin’s serial all-time highs over the past several days has been mainly ignited by Tesla's announcement of investing $1.5 billion on the cryptocurrency this month.

Bitcoin Rose by More Than 90% Since January

The world’s largest cryptocurrency by market capitalization broke the resistance at $56,000 level while surpassing to a new all-time high over $58,000. In just one day, the cryptocurrency rose by almost $2,500 and gained almost 5% in value. Earlier last week, BTC’s extended two-month rally took its market capitalization to above $1 trillion. Bitcoin’s gains have been mostly fueled by its gaining acceptance among mainstream investors and companies, such as Tesla, Mastercard and BNY Mellon.

Earlier in February, Tesla announced an investment of $1.5 billion in Bitcoin. The electric car manufacturing company further announced on accepting BTC as payment for its cars and other products in the near future, prompting to more than 10% jump in the flagship cryptocurrency. The cryptocurrency has risen more than 90% since the start of January, pushing its total market value above $1 trillion.

Bitcoin Continues Hitting New ATHs

Bitcoin, which is also known for its wild price swings, has seen sharp price drops since its creation in 2009. For instance, when BTC broke through the $40,000 mark in early January, it triggered a downward trend that saw its price drop down to around $30,000 by the end of the month.

Critics have also argued that Bitcoin is less of a currency and more of a speculative trading tool, open for market manipulation. However, since the cryptocurrency passed the $50,000 mark on Feb. 16, it has continued its upward momentum resulting in its recent break through $58,000.

Related News