With an increase of more than 900% in the last 12 months, Bitcoin can for the first time have a market value of over 1 trillion. Reach US dollars.
Bitcoin climbed above $ 53,700 yesterday Friday, reaching a market capitalization of more than $ 1 trillion for the first time
The current unstoppable record run, which began at the end of 2020, was largely triggered by increased interest from institutional investors and large private investors after the software manufacturer MicroStrategy was the first major investment on August 11, 2020 with a massive investment of 250 million US dollars Mainstream company jumped into the “deep end” of Bitcoin Method.
By the end of January 2021, MicroStrategy has now invested a total of US $ 1.095 billion in the market-leading cryptocurrency, acquiring 71,079 BTC, which represents approximately 0.38% of the available amount of Bitcoin in circulation. The software manufacturer then additionally demonstrated its pioneering spirit at the beginning of February by offering a free webinar for companies interested in strategic investments in Bitcoin. But that’s not all, because just this week MicroStrategy generated another 900 million US dollars for the purchase of the market-leading cryptocurrency.
Influential crypto wealth management company Grayscale has given Bitcoin similar strong support in recent months by making great strides in buying up Bitcoin for its mutual fund last year. From January 2020 to the end of the year, the Grayscale Bitcoin Trust grew from 1.8 billion US dollars to 17.5 billion US dollars, which corresponds to a whopping 872% increase. And still Grayscale buys Bitcoin faster than new units are „produced“ .
On February 8th, the innovative car maker Tesla jumped on the speeding Bitcoin bandwagon after the American company made an investment of 1.5 billion US dollars . A catalyst for the price, which was catapulted to a new record high of 43,000 US dollars.
The good news for the crypto market leader is not waning, however, as there are already rumors that the social network Twitter could be the next big company. Even established financial institutions such as BNY Mellon and Deutsche Bank will soon venture into the asset class with planned Bitcoin custody services. In addition, the major investment firms BlackRock and Morgan Stanley are also showing their first interest in cryptocurrency.
Wild ride in 2020
The jump over the 1 bio. The US dollar is marked by 12 months of intense volatility, during which the market capitalization has increased more than tenfold since the crash in March 2020.
The corona crisis began at that time, and travel bans were followed in most countries by many other restrictive preventive measures that paralyzed social life and large parts of the economy.
The resulting panic caused heavy losses in the financial markets and also in the crypto market, which Bitcoin also felt on March 11 with a crash of over 50%, when it fell to less than 4,000 US dollars by March 13 . As a result, market capitalization slipped to less than $ 100 billion for the first time since May 2019.