Bitcoin price roars back to touch $50,000-mark on October 5

Bitcoin price surged 7.18 per cent in 24 hours to $54,927.78 at the time of writing this article, according to coinmarketcap.com

  • Last Updated:October 07, 2021, 08:27 IST
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Bitcoin price on Thursday reached $55,000 for the first time in five months. After a poor show in September, Bitcoin returned to $50,000-mark at the starting of this week. The world’s largest cryptocurrency by market capitalisation is now just $10,000 away from the all-time price it touched in April this year. Bitcoin price surged 7.18 per cent in 24 hours to $54,927.78 at the time of writing this article. It must be noted that worlds’s favourite cryptocurrency already touched $55,000-mark briefly on Wednesday.

Analysts often find it hard to pin a single event behind Bitcoin’s volatile price surge or drop. There are multiple factors at play that often push the cryptocurrency to touch new zenith or rebound in the opposite direction to hit a new low. The rising uncertainty in the global market and the recent outage of Instagram and Facebook may be one of the factors behind the recent surge of bitcoin. Both the incidents indicate one good old saying of the crypto investors and analysts that ‘Bitcoin is resistant to volatility in the traditional market’ or ‘cryptocurrency never goes down’.

Another reason could behind the sudden price hike could be attributed to the reports that US Securities and Exchange Commission (SEC) might approve bitcoin exchange-traded product (ETF) in the next few weeks.”Bitcoin reached a 5-month high, trading above US$55,000 just the day before. This comes as the Securities and Exchange Commission Chairman Gary Gensler echoed a similar rhetoric to the Federal Reserve, reaffirming the crypto industry that the US has no intention of banning crypto. Instead, Gensler hinted at regulating stable coins and urged crypto exchanges to register with the SEC. As traditional markets struggle with falling stock prices and the uncertainty of China’s property sector, investors turning to cryptos like bitcoin – evidence of digital asset’s continued resilience and safe-haven qualities,” said CoinDCX Research Team.

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