Bitcoin has officially passed $ 1 trillion (or $ 100 billion) in market capitalization.
This cements the legitimacy of the asset.
Bitcoin’s price has exploded since last year, as many seek protection against inflation and an alternative store of value.
Bitcoin has officially just passed $ 1 trillion (a trillion) in stock market capital. This could be its most meaningful milestone to date in terms of value.
The price of Bitcoin has recently surpassed the 53,500 dollars. Likewise, it has crossed the threshold of $ 1,000 billion in market capitalization.
Although Immediate Edge review has gained legitimacy as a true asset, this feat cements the legitimacy of cryptocurrency devoid of borders or permission, and immutable within an elite club. As the sixth most valuable asset in the world , it seems like there’s no turning back the clock.
Bitcoin’s ever-growing momentum
Many factors led to this monumental achievement. Traditional businesses and financial sectors are now leading the way in the adoption of cryptocurrencies.
In the previous hike in 2017, when Bitcoin hit a record high of around $ 20,000, retail investors dominated the market. Today, very high net worth investors and institutions are investing billions of dollars in the BTC market.
Starting with Microstrategy CEO Michael Saylor (although there has been some corporate involvement before), Bitcoin benefits from a new perspective as a store of value. It still follows the concept of value transfer that Satoshi Nakamoto wanted Bitcoin to become, but currently many see it as a hedge against inflation and government interference.
Considered by many to be a superior store of value to fiat currencies and precious metals due to its underlying fundamentals, many have started to embrace cryptocurrency as part of their reserve assets. Tesla even bought $ 1.5 billion of this asset.
This growth in adoption as the investment class is also pushing other companies to try to capitalize on this opportunity. Many companies such as PayPal and Mastercard have even started integrating cryptocurrency into their businesses, without actually investing .
PayPal has opened up options to buy, sell and exchange cryptocurrency on its transactional services platform, and Mastercard will begin facilitating transactions for cryptocurrency users this year. On their own, all of these factors would be an extremely positive sign for Bitcoin. When combined, they paint a picture of the future use and adoption of cryptocurrency.
He still has room for growth
From a value perspective alone, Bitcoin still has a lot of leeway to grow compared to traditionally established markets.
Gold and real estate are two of the most popular stores of value today. Gold alone has a market capitalization of over $ 10,000 billion. If Bitcoin becomes a global store of value competing with gold (excluding the real estate market for now), this is a testament to the enormous amount of liquidity that could come from other more “stable” assets.
If money from other asset classes like stocks, bonds and real estate moves to Bitcoin, its market capitalization could soar by several trillions of dollars more. Add to that the possibility of being the world’s reserve currency, and the possibilities are greater than ever.
Of course, Bitcoin is still an experiment and may never reach these levels, but many big names are supporting it as it takes this crucial step.