Bitcoin suffered a severe downturn towards the tail end of last month. However, the primary cryptocurrency made a new ATH today when the price rose to an intraday high of $60,310 in just 24 hours. In addition, according to the latest data from Coinmetrics, the cumulative transfer value of the digital gold has exceeded $3.5 trillion.
Cumulative Bitcoin Transfer Value Hits a New Record
In the last one year, Bitcoin has been through several highs and lows, yet the price has appreciated over time. The rally of the crypto industry started towards the end of 2020 when the pandemic was still raging severely. The reason was perceived to be the increase in the interest of institutional price in the leading crypto asset.
The daily transaction of BTC was about 330,000 in December 2020 but increased by about 21% in January. Contrasting these values with the daily transaction volume of Ethereum, they are quite low. However, the total transfer value of the leading crypto asset has also accumulated over the years.
Last month, the combined value of the tokens in circulation was about $1 trillion, which is twice the value recorded in January. This reveals an obvious truth that Bitcoin and other cryptocurrencies are already gaining more traction among institutional investors. It became more evident when traditional companies like MicroStrategy increased the intensity of their purchase.
Institutional Investors Linked to the Rise in Total Bitcoin Transfer Value
The positive sentiment around cryptocurrency this year has also aided the bullish run of BTC. Many crypto analysts and economists have ascertained Bitcoin as a store of value and an alternative to cash. Another prediction for BTC is that it will later replace Gold as a hedge against risk.
The investment frequency of traditional firms in cryptos spiked lately resulting in an explosive rise in total locked value in the market. The current BTC transfer value marks a significant step towards the adoption of Bitcoin in the coming years.