Since Bitcoin broke out of the doldrums a few months ago, the coin has once again been able to push itself to higher levels, which were last seen in the second half of 2017.
New reason for ATH Bitcoin
However, the Grand rally, which could have more than doubled the value of Bitcoin at that time, never happened, but at least put the asset above the $ 10,000 mark. Now, most recently, there is a small spread between $ 11,000 and $ 12,000, and its upper limit is becoming difficult to break.
The cue ball has broken the $ 12K mark again after coming close to that figure over the past few days, but this raises the question of whether the coin is ready for growth, as it was in 2017.
The reason why Bitcoin managed to reach such an impressive figure as $ 20,000 on December 17, 2017, is due to its first wave of mass adoption. This was a very unstable implementation, as investors only speculated on the potential benefits, and did not understand the basics of this new asset.
Moreover, this type of investment had a snowball effect as the price rose, so more people flooded into the market, causing a speculative investment wave that became parabolic and reached the size of a bubble.
A lot has changed in the crypto space since then, which is probably why the coin is taking a slower path to get back to $ 20,000, but in the long run, it may be for the best.
BTC has matured to the point where his name has become almost a household name even on wall street. Investors like Paul Tudor Jones are seen as an example of a reliable investment, and they speak volumes. And, they gave rise to the revolution of the block chain and a new financial sector, such as DeFi.
This time around, the cryptocurrency space is much more grounded, but its rise to parabolic price movements could come as a result of institutional investors finally pulling the trigger, which would be a much more sustained and powerful move to a new record high.
External factor
There are also a number of reasons to think why Bitcoin might attract new investors: this is the current financial climate. This was noticed by Bitcoin bull Max Keyser.
He tweeted: Buffett’s move to Japan, along with his gold dollar investments, confirms that he is completely out of US dollars. The us dollar is trending lower today, and is about to break through the key support. Bitcoin, gold and silver will soon create new ATH
