Bitcoin is beginning to rehash its earlier bull run that culminated in the previous all-time high of $42,000. Presently, the coin has broken past the barrier levels at $45,000, $46,000 and reached a new all-time high of $47,513.57 before its value corrected to $47,053.09 in the last 24 hours. This shows that the leading crypto asset has gained over 20% which can be linked to the purchase of over $1 billion worth of BTC by Tesla.
While many analysts had predicted that the resistance level at $45k was going to be a major breakthrough, the spike in the price of the asset left many in its wake as it not only broke the level but also went on to reach a mark closer to $50k. However, it should be noted that this is the first-time ever that the value of the coin has risen over $45k.
The surge in price could be linked to the fact that traders in Asia are just beginning their daily trades plus with the absence of a major resistance above $45k, it further pushed the price of the asset higher.
Institutional Investors keep Driving Price of Bitcoin Higher
Tesla’s purchase of BTC is not the only recent activity by a major institution in the crypto market. Paul Tudor Jones II and Bill Miller have also invested in the crypto asset because they believe that it would offer them a hedge against inflation.
This is also in tune with Microstrategy’s recent purchase of more units of BTC that puts its holding over 70,000.
Crypto investors and analysts are also beginning to predict that this might just be the beginning of more institutions entering into the crypto market. Joel Kruger of LMAX Digital said that “this is just the start to a much wider adoption from household institutional names, finally ready to make the crossover into the crypto space.”