Bitcoin surged to a record high around $48,364 after Mastercard Inc. and Bank of New York Mellon Corp. embraced the digital token. According to Bloomberg, the digital token is set for higher prices as Tesla’s $1.5 billion investment solidified the next resistance target at about $50,000.
- Mastercard has partnered with crypto card providers, including Wirex and BitPay, as it moves to allow certain cryptocurrency transactions on its network.
- Mastercard is also “actively engaging” with central banks on plans to launch new digital currencies.
- The Bank of New York Mellon Corp. said on Thursday it would hold, transfer, and issue bitcoin and other cryptocurrencies for institutional customers.
- Interest in cryptocurrencies accelerated after Tesla’s CEO Elon Musk emerged as a key figure for the crypto faithful calling Wall Street and the mainstream to be more receptive to the asset class.
- Critics point out that speculators are behind the recent bitcoin’s rally, and the bubble will soon burst.
- Mastercard and BNY Mellon announcements confirm the fundamental shift that financial institutions are committing to cryptocurrencies.
- Wall Street Bets, the popular Reddit forum at the center of the retail investor frenzy, is also calling for buying of bitcoin and marijuana stocks.
- Regulatory scrutiny remains a concern for the crypto industry, with U.S Treasury Secretary Janet Yellen raising alarms about cryptocurrencies’ use in illicit financing.
Bitcoin is currently gaining. BTCUSD is up 6.29%