Bitcoin bubble storms past $30,000 for first time, snowballs over 50% since Dec. 20

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Bitcoin bubble storms past $30,000 for first time, snowballs over 50% since Dec. 20

On Saturday, Bitcoin, the original cryptocurrency, stretched out its record-setting rally into a seventh consecutive session in a row, setting out the year with a gain of more than 12 per cent while surging past a record $30,000-level for the first time, as more corporate investors and individuals had been betting heavily that the world’s largest digital asset might be well poised to emerge as a mainstream payment method.

In tandem, during preparation of the report, at late-afternoon US trading hour, price of the globe’s most popular digital currency had skyrocketed as much as 12 per cent to $32,400 after hitting a session high of $33,302.6, marking up the crypto asset’s largest intra-day gain since April 30, 2020.

Among other smaller crypto assets, Ethereum, which has been subject to a number of lawsuits in 2019 as almost all of the ICOs (Initial Coin Offerings) were issued on the digital asset over the past couple of years, had been last trading 4.59 per cent higher to $771.90, while Litecoin jumped 9.44 per cent to $136.2.

Nonetheless, XRP or Ripple, faltered 1.78 per cent to 21 cents as Coinbase, a California-based major crypto asset broker had said in a statement last week that it would delist the cryptocurrency following US Justice Department’s probe on an unauthorized issuance of $1.3 billion worth of digital assets in XRP.

Bitcoin rallies more than 50 per cent since hitting $20,000 on December 20

Apart from that, as Bitcoin went through a torrential uprising of more than 50 per cent since wrestling past a critical psychological hurdle of $20,000 on December 20, many deep-pocket corporate investors in the US appeared to have jumped on the bandwagon of a blistering bitcoin rally, mostly attracted by its lucrative resilience to a higher inflation followed by the release of a $2.3 trillion in financial package for fiscal year 2021 ending on September 30 alongside a sharply depreciating US Dollar.

On top of that, potentials for bitcoin’s quick gains alongside a limited supply of the digital asset following a halving on so-called crypto mining last year, had powered an upward spiral in bitcoin’s valuation over the recent days, suggested analysts.