New York City, NY – Bitcoin enthusiasts were thrilled as the cryptocurrency reached a milestone on Wednesday, surpassing $60,000 for the first time since November 2021. The flagship digital currency saw an impressive 6% surge, reaching $60,688.00, according to Coin Metrics. At one point, it even soared to $60,734.42, just shy of its all-time high of $68,982.20.
With this new record within reach, market participants are eagerly anticipating a retest of that level. Bitcoin has experienced a remarkable 18% surge just this week, following a brief pause in its upward trajectory. So far in 2024, it has surged by over 40%, igniting excitement among investors.
Experts like Antoni Trenchev, the cofounder of crypto exchange Nexo, foresee potential resistance as Bitcoin approaches $69,000. However, breaking past $60,000 is expected to attract a new wave of investors, especially retail investors who have been on the sidelines. JPMorgan noted a renewed interest in crypto among investors this month after a slowdown in January.
Investors are optimistic about Bitcoin setting a new high this year, buoyed by the introduction of ETFs that have made the asset class more accessible to institutional investors. Additionally, the upcoming halving event in the Bitcoin code, which halves the mining reward to limit supply, is expected to pave the way for a significant rally in the coming months.
Industry experts like Joel Kruger, market strategist at LMAX Group, believe that Bitcoin is on the path to mainstream acceptance and adoption. The impact of ETFs has only begun to unfold, with institutional capital gradually warming up to Bitcoin ETFs through platform approvals and client education, signaling potential for increased demand.
The positive momentum in Bitcoin also had a ripple effect on related equities, with shares of crypto exchange Coinbase rising over 2% and Microstrategy, a Bitcoin proxy, surging by 9%. Other companies that offer crypto trading services, such as Block and Robinhood, also experienced gains along with popular miners CleanSpark and Riot Platforms, adding more than 2% each in premarket trading.