Bitcoin reached a new all-time high (ATH) of $72,242.51 on Monday, March 11.
The world’s largest cryptocurrency Bitcoin (BTC) has breached the $72,000 mark, marking a significant milestone in its price history.
The crypto asset, which was trading at around $62,000 just a week ago, increased by over 17% within 24 hours, bringing its price and market capitalization to new heights.
Bitcoin Takes Crypto to New Highs
Speaking on the latest feat, market strategist Nick Cawley noted that BTC started the new week with a price surge, pulling the entire crypto industry to new highs.
He added that BTC production rate would get tighter by April when the fourth halving event occurs. Recall that the Bitcoin protocol goes through a halving event every four years to reduce the rate of new coin production by half. In other words, bitcoin miners will receive 50% less reward for the next four years.
Investors Bet on $70,000 BTC
Meanwhile, Bitcoin recorded an ATH barely three months after the first wave of spot Bitcoin exchange-traded funds (ETFs) were approved in the United States. Following the approval of the ETFs, the market’s reaction mixed, leading to fluctuations in bitcoin’s value. Analysts anticipate a significant price surge in the long run, with some predicting the price of BTC could surpass the $100,00 mark.
These forecasts hinge on factors such as investor adoption rates, regulatory clarity, and overall market conditions. While the approval of spot Bitcoin ETFs marks a significant milestone, it is crucial for investors to stay mindful of the volatility.
An earlier report revealed that investors are bullish on bitcoin while betting on the asset to smash the $70,000 mark sooner than later.
It is worth noting that despite the significant price increase since the start of the year, bitcoin’s price remains highly volatile, as regulatory bodies caution investors. The crypto market is known for its swift fluctuations; prices can experience sudden corrections at any time. Nonetheless, investors have maintained an optimistic view about the future of the crypto asset.
According to weekly data from the U.S. Commodity Futures Trading Commission, asset managers currently hold the biggest bullish position in BTC futures on record. Early this month, the net long position held by asset managers, usually seen as indicative of institutional investors like mutual funds and pension funds, rose to 15,531 lots, valued at $5.5 billion based on bitcoin’s current price.