Bitcoin Breaks Through $8,000 Threshold and Hits New All-Time High
Despite pressure from the failed SegWit2X implementation, Bitcoin has managed to reach a new all-time high on Monday morning, thus reaching the $8,000 mark for the first time, in what has definitely been a wild and bullish week for the digital currency.
The initial high was recorded at $8,120, yet bitcoin has continued its bullish trend, and it is currently trading at roughly $8,220.The increase in price is quite interesting to analyse, considering the fact that on the 12th of November, bitcoin decreased in price and hit the $5,500 threshold. While many believed that it would take the price a long period of time before it can increase, bitcoin has once again surprised us all.
It is believed that the price dip which took place on the 12th of November was due to the failed SegWit2X failed hard fork. Following the failure of the implementation, many of the avid believes of the protocol change, may have invested their money into Bitcoin Cash, hence causing a rapid increase in its price as well.
Things seem to have settled on the network so far. The wide array of positive news, increasing trading volume, alongside with the large volume of capital being invested in the digital currency market and blockchain technology may have been behind the recent price rally. Another reason behind the surge in price would be the fact that Japan has recently adopted favourable regulation for bitcoin users in the country, hence managing to help the network avoid the repercussions associated with the crackdown that happened in China, but also in South Korea.
Apart from these reasons, economic analysts believe that the price surge is also thanks to the rising institutional investor interest, following CME’s announcement on the planned release of bitcoin securities.
At this time, bitcoin processes roughly $2 billion worth of transactions on a daily basis, which represents a 10X increase in 2017 alone. With these aspects in mind, it is highly probable that several optimistic predictions on the rise of the bitcoin price by the end of the year will prove correct. Now, many members of the bitcoin community alongside with economic analysts strongly believe that the cryptocurrency will rise to even higher levels by the end of the year, hence even reaching the $10,000 threshold if things continue smoothly.