Follow me on X
Author: Pablo Dávila S
The cryptocurrency market has once again captured global attention with an impressive milestone: Bitcoin has surpassed $94,000, reaching a new all-time high. This bullish rally not only benefits Bitcoin holders but is also generating a positive impact on companies related to cryptocurrencies and blockchain.
What is driving the price of Bitcoin?
The recent increase in Bitcoin's price can be attributed to a combination of key factors:
Donald Trump and a crypto-friendly approach
According to reports from Financial Times, Trump Media and Technology Group (DJT), the company operating the Truth Social social network, is in negotiations to acquire the cryptocurrency trading platform Bakkt (BKKT). This move has reinforced expectations of a more crypto-friendly regulatory environment under the incoming government of Donald Trump.
Since Trump's election, Bitcoin spot exchange-traded products (ETFs) have attracted more than $4.2 billion in inflows. This represents 15% of the total accumulated since these products were launched in January. Additionally, the firm MicroStrategy (MSTR) recently announced a $2.6 billion convertible bond, intending to acquire more Bitcoin.The market
The relationship between BlackRock's ETF and the Nasdaq has shown promising activity, with a ratio of bullish (calls) to bearish (puts) options of 4.4:1. This activity is attracting a significant volume of new investors to the Bitcoin market.
Impact on crypto and related companies
The Bitcoin surge is not limited solely to the crypto asset; several stocks related to cryptocurrencies and blockchain have experienced significant increases:
Bakkt (BKKT): +14.44%
MicroStrategy (MSTR): +7.6%
Riot Platforms (RIOT): +3.1%
Bit Digital (BTBT): +3.4%
These increases reflect a renewed institutional and retail interest in the cryptocurrency sector, driven by the possibility of a more favorable political environment under Trump.
Let's see...
The current price of Bitcoin, trading near $94,689 (according to Binance), reflects a growing confidence in the cryptocurrency market. This unprecedented rally in 2024 not only marks a key point for Bitcoin but also for the global acceptance of cryptocurrencies.
While these movements are encouraging, it is important to remember that volatility remains an intrinsic component of the crypto market. As always, invest wisely and consider the risks before making a decision.
What do you think of this historic rally? Are we witnessing the start of a new expansion cycle?
Follow me on X
Author: Pablo Dávila S
