- Bitcoin has continued to impress, reaching as high as $42,200 after accumulating successive gains throughout the week.
- The asset is poised to extend its gains to $45,000 and with it, push prices higher across the wider market.
Bitcoin has in the last 24 hours reached a high of $42,200. This follows a more than 5 percent price increase. At the time of press, Bitcoin is exchanging for $41,700 according to our data. The gains push the digital asset’s weekly gains above 20 percent, marking a consistent positive trend. Bitcoin has especially shown great resilience following news that Binance is coming under pressure from Malaysia as well as its decision to scale back on its futures and derivative products offerings in a number of European countries including Germany, Italy, and the Netherlands.
Read More: Binance winds down futures and derivatives products in Europe as Malaysia mounts fresh enforcement action on the exchange
The exchange continues to come under pressure to have a physical headquarter. In addition, earlier in the week, the CEO Changpeng Zhao stated that he was willing to step down to accommodate a replacement who is more regulatory focused. However, he noted that the exchange is currently working with regulators to be regulated in all regions.
In Bitcoin’s rise, it has managed to pull with it the wider market. Ethereum for instance has gained more than 4 percent to reach $2,450. With a number of large-cap altcoins recording substantial gains, the entire market cap has climbed by nearly 4 percent in the last 24 hours. Chainlink has been a top performer in the last 24 hours, adding as much as 15 percent.
Ethereum is getting ready for the London upgrade expected in the next few weeks. A highly anticipated event, the digital asset is likely to see increased volatility with prices tipped to go higher. Some expect ETH to push as high as the recent $4K high over the coming weeks.
Bitcoin going to $250,000
Joseph Edwards, the head of research at Enigma Securities expects Bitcoin to continue on an upward trajectory. According to the researcher, Bitcoin is likely to reach $250,000 by 2025. The researcher last year predicted Bitcoin reaching $60,000 which it did earlier in the year, climbing as high as $65,000. At the time he wrote;
If BTC reaches even 10% of the market cap of gold on a nominal basis, it implies a fully diluted valuation of $60,000 or 3x from current levels, 19x from the cycle nadir in 2019,
Although Bitcoin will struggle to break the $50K psychological level, the asset will still continue to keep climbing over the next few years. He predicts that the asset will reach $250,000 by 2025. He explained that Bitcoin will reach 20 percent to 25 percent of gold’s market cap and the entire crypto market will reach $10 trillion.
Credit: Source link