Bitcoin climbed to a new all-time high of $19,863 on Monday, breaking the fresh record, set at $19,786. Bitcoin has gained 167% year to date. Since plunging 50% in a single day and hitting yearly lows in March, the digital currency has gained more than 400%.
- Cryptocurrency analysts project a bitcoin rally to continue as institutional and retail money steadily flows into the digital currency.
- The record highs validate bitcoin as investors view the digital currency as a hedge against potential inflation.
- The surge in bitcoin is, in part, due to an era of spending by central banks around the world to combat the pandemic-induced economic slowdowns.
- Bitcoin’s positive correlation to traditional markets remains somewhat strong, above 0.4, defying investors’ longstanding narrative that it is uncorrelated to traditional markets.
- Bitcoin’s record high comes amidst a lack of publicity from mainstream audiences and media outlets.
- Any continuation of the bitcoin rally will be “defined by a wider investor base as new market participants are unlocked”-Kevin, Kelly, Delphi Digital co-founder and former equity analyst at Bloomberg.
Bitcoin is currently gaining. BTCUSD is up 5.92%.