Bitcoin Strikes New All-Time High of $50,000 In A Major Crypto Market Bull Run

16. Feb 2021 Posted by Akolkar B on News

The world’s largest cryptocurrency Bitcoin (BTC) has once again made a solid move today surging all the way to $50,000 thereby sitting its new all-time high. At press time, Bitcoin is trading at a price of $49,483 with a market cap of $922 billion.

The latest Bitcoin price rally has been triggered with Tesla announcing its $1.5 billion Bitcoin purchase last week on February 8. Tesla has put nearly 10% of its cash reserves in Bitcoin as part of its policy of attaining more flexibility and further diversity to maximize returns.

Post this, a number of big corporates like Uber and Twitter have expressed its interest in offering Bitcoin (BTC) payment services or putting part of its reserve cash in BTC.

Bitcoin is currently seeking to become the first trillion-dollar cryptocurrency asset class and yes a flood of institutional and corporate money can help it attain the milestone. Let’s take a look at some of the key on-chain indicators that have been hinting as strong bullish signals for Bitcoin (BTC).

  • All-exchange stablecoin inflows have hit an all-time high indicating that investors are moving their cash reserves to buy more and more Bitcoins.
  • Since the beginning of 2021, the Bitcoin (BTC) supply at exchanges have dropped 2.1% with nearly 33K Bitcoins worth $1.57 billion leaving the exchanges and going into cold-storage. Amid this Bitcoin supply crunch, the simultaneous surge in Bitcoin demand has pushed prices higher.
  • After some heavy selling and profit-booking in January 2021, the net miner seller position has returned to neutral as the miner selling pressure cools down.
  • There’s also some strong action taking place in the Bitcoin derivatives market. The open interest for Bitcoin futures has now crossed a massive $17 billion.

In another major announcement today, business intelligence firm MicroStrategy has proposed another $600 million of convertible senior notes that are due in 2027. MicroStrategy has already invested more than $1.2 billion so far in Bitcoin and holds more than 71,000 Bitcoins as of date. If MicroStrategy pours this $600 million in Bitcoin, it will take the company’s total investment close to $2 billion.