Bitcoin blasted above an all-time high new record of $63,000 on Tuesday. The digital token’s year-to-date gains more surged to 110%. Analysts believe the Coinbase direct listing on NASDAQ is one of the many reasons behind the surge.
Bitcoin has caught the attention of the world amid the Covid-19 pandemic. Several traders argued digital currency is perceived as a hedge against inflation. Additionally, large financial institutions and billionaires endorsed the cryptocurrency market—shifting into blockchain systems instead of the mainstream financial systems.
For instance, Elon Musk’s Tesla (NASDAQ: TSLA) invested a striking $1.5 billion in the digital currency—the largest investment from a non-crypto company. On the other hand, major financial institutions invested billions of dollars in both Bitcoin and Ether—the second-largest digital token.
The interest from financial institutions drove the cryptocurrency 800% higher over the last year. Meanwhile, the market value of all cryptocurrencies surpassed $2 trillion for the first time in history and if it continues with this pace, it will be the highest valued market globally.
