Meteoric Rise of Bitcoin To $34,000 in Short Span of Time

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  • Bitcoin climbed above $34,000 (Rs4.57 million) for the first time on Sunday.
  • It extends a record-breaking rally in the volatile cryptocurrency that delivered a more than 300 per cent gain last year.
  • With trading in key financial markets yet to commence in 2021, bitcoin has resumed its dizzying ascent, rising more than 10 per cent in the first few days of January.
  • According to international media reports, by late afternoon in London on Sunday, it had given up some of its early gains to dip just below $33,000.

According to a recent news article published in the Financial Times, Bitcoin tops $34,000 as record-breaking rally resumes.

Meteoric rise of bitcoin

“Even the most bullish of bitcoin advocates could not have foreseen such a meteoric rise in price in such a short space of time,” said Marcus Swanepoel, chief executive of Luno, a London-based cryptocurrency platform. History suggests a small pullback could follow, he added. “But the pattern we’ve seen in the build up to this milestone — a consistent increase, rather than one sharp spike — sets bitcoin up extremely well for this year,” Swanepoel said.

$100,000 mark before the year’s end

He added that “something approaching the $100,000 mark before the year’s end” was possible. The rally has fed concerns that bitcoin is set to repeat the events of three years ago, when a bull market dramatically collapsed. When the cryptocurrency set a record high in November, economist Nouriel Roubini called it a “pure speculative asset and bubble with no fundamental value”.

 

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Source: Financial Times

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