During the pandemic, cryptocurrency began to be perceived as a defensive asset. Billionaires and large companies are investing in it. Why is the price of BTC likely to rise, and when it can exceed the maximum of $ 20,000
During the crisis caused by the pandemic, the cryptocurrency received a new wave of interest, which led to several factors at once. First of all - May halving. In May, the miners' reward for mining BTC was cut in half, information about which was actively searched by Google users. As a result of halving, the rate of coin entry into the market decreased. If the demand for digital gold continues, this should lead to an increase in its value.
Bitcoin has also come to be called a defensive asset. Bloomberg analysts came to this conclusion in April, explaining that due to increased interest in BTC futures and a decrease in volatility, the coin is losing its speculative component. In addition to this, large investors began to invest in BTC. For example, in May, billionaire and founder of the hedge fund Tudor Investment Paul Tudor Jones invested $ 50 million in the first cryptocurrency, and in August, the Canadian restaurant chain Tahini's announced the transfer of all its cash reserves to BTC.
The most recent example of growing confidence in cryptocurrency is the analytics software company MicroStrategy. On September 15, its head Michael Sailor announced on his Twitter account that the firm increased its BTC investment by $ 175 million, to $ 425 million. Immediately after that, MicroStrategy's stock quotes rose 23% to $ 176, although by the current moment they have dropped to $ 163 ...