Bitcoin’s Price Surge Creates Ripple Effect in Economy
The unstoppable price run of Bitcoin, which began a day after the US presidential elections, is causing a ripple effect in the economy. There has been a significant increase in value recently, with Bitcoin reaching over $89k earlier today, representing a 27% surge from the previous week. Additionally, there have been record inflows into Bitcoin ETFs, leading funds to break some records. This price action has also reshaped the list of the world’s largest assets by market capitalization.
Based on the updated list of top assets, Bitcoin is now ranked 8th on the list of the “Top 10 Largest Assets by Market Cap,” with a total market value of $1.756 trillion, slightly surpassing silver, valued at $1.736 trillion. This marks the second time the digital asset has surpassed silver in the rankings, driven by a bullish sentiment on Bitcoin ETFs and blockchain technology in general.
The fact that Bitcoin has broken into the top world assets demonstrates the increasing public acceptance of the cryptocurrency and its role as an alternative to traditional assets like gold.
Bitcoin’s Market Value Soars as Price Exceeds $89k
Bitcoin continues its remarkable rally this week, reaching another all-time high of $89k. On November 12th, the digital asset surged past $89,000, marking an 11.3% increase, while silver experienced a 2% decline, allowing Bitcoin to claim the 8th position on the list.
With this latest price action, Bitcoin now trails behind Saudi Aramco, which holds the 7th spot. Amazon, Google, Microsoft, Apple, Nvidia, and gold complete the Top 10 list. Gold remains the world’s leading asset, with a market capitalization valued at $17.667 trillion, significantly surpassing Nvidia and Apple by approximately $3 trillion each.
A Milestone Worthy of Celebration
According to The Kobessi Letter, Bitcoin’s current market value and recent price surge reflect the digital asset’s potential. The commentary highlights that while gold’s value, which is 10 times greater than BTC, is impressive, it also recognizes the potential for the top digital asset to expand even further.
Bitcoin has consistently seen price increases recently, partially fueled by Trump’s convincing election victory. Trump has shown a favorable stance towards the crypto community, and with the Republicans securing both houses in the last election, it is expected to be easier for the incoming president to pursue his crypto-friendly policies.
Significant Volumes and Bullish Sentiment from Institutional Investors
In addition to the “Trump Effect,” Bitcoin is also experiencing a rally thanks to bullish sentiment from institutional investors. Many financial institutions are incorporating BTC and cryptocurrencies into their portfolios, driving up the prices of digital assets. For example, Bloomberg senior analyst Eric Balchunas highlighted a substantial increase in volume for Bitcoin ETFs trading, with iShares Bitcoin Trust (IBIT) seeing a trading volume of $4.5 billion yesterday.
MicroStrategy is another company benefiting from the Bitcoin surge. Michael Saylor’s MicroStrategy holds the largest Bitcoin-based portfolio, with its shares currently trading at $340. On Monday, the company announced the purchase of 27,200 BTC, increasing its total holdings to 279,420.
In conclusion, Bitcoin’s remarkable price surge is not only reshaping the list of the world’s largest assets but also signaling a shift towards greater acceptance and adoption of cryptocurrencies in traditional financial markets. The bullish sentiment from institutional investors and positive regulatory developments are contributing to Bitcoin’s continued growth and market dominance.
