The price of the largest cryptocurrency by market capitalization rose to $52,000, helping Bitcoin's market capitalization surpass the $1,000 billion mark - the highest level in more than two years.
Bitcoin surged to $52,000 on the evening of February 14, after a sharp drop due to the US CPI news the day before. The increase helped the largest cryptocurrency return to the $1 trillion mark after 26 months, as investors put their faith in the possibility that the market could continue to rise.
In the 15 years since its creation, Bitcoin has only had 145 daily closes above $50,000, according to CoinDesk data.
Other top cryptocurrencies by market capitalization also rose, with Cardano's ADA and dogecoin both up 6%. Ethereum (ETH), the second-largest cryptocurrency by market capitalization, also rose more than 5% to $2,750, its highest price since May 2022.
The cryptocurrency market’s strong rally comes amid optimism that the market can continue to climb higher. Options markets are betting on Bitcoin hitting $75,000 in the coming months. Some traders are looking for a target in the $64,000 region in the coming weeks as demand for spot Bitcoin exchange-traded funds (ETFs) increases.
Strong inflows into US-listed ETFs have supported investor sentiment, with BlackRock’s IBIT attracting nearly $500 million on February 13. Meanwhile, net withdrawals from the Grayscale Bitcoin Trust (GBTC) are showing signs of slowing.
Bitcoin could continue its uptrend as it has held key support at $46,000, Swissblock analysts noted in a Feb. 14 report, but warned that the pace of the increase could slow.
Minh Son ( according to CoinDesk )
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