insane! Bitcoin broke through 34000 US dollars, with a market value of 640 billion US dollars, surpassing Alibaba

On the evening of January 2, Zhong Guobin, a reporter from read creation / Shenzhen business daily, saw the price of bitcoin exceed 30000 US dollars; on the afternoon of January 3, the price of bitcoin exceeded 34000 US dollars, with a total market value of more than 640 billion US dollars. As of the press release, bitcoin reported $34423, up 16.17%. Within 24 hours, bitcoin reached a maximum of $34873 and a minimum of $29502. According to the global asset market value ranking, bitcoin’s market value has surpassed Alibaba (629.6 billion U.S. dollars), ranking eighth in the world with a market value of 640 billion US dollars. Bitcoin has also benefited many equity investors, with the share price of bitcoin mining company bit digital, a US listed mining company, up 53 times in the past year as its price continues to rise. Some Wall Street analysts even believe that bitcoin prices could reach $400000. Since bitcoin broke through $20000, the price of bitcoin has been hitting new highs. Throughout 2020, the price of bitcoin has tripled. In the first two trading days of 2021, the price of bitcoin continues to soar, breaking through $30000 on the evening of January 2 and $34000 on the afternoon of the third. On January 3, 2009, Nakamoto dug up the first bitcoins on a small server in Helsinki, Finland. Since the birth of bitcoin in 2009, its first price is about $0.0025 corresponding to the purchase in 2010. At today’s price of $34000, the price increase of bitcoin has exceeded a record 13.8 million times in 10 years. Bitcoin’s recent surge is mainly affected by the trend of global economy, the impact of epidemic situation and the sovereign digital currency launched by various countries. The institutional cost round of bitcoin’s soaring is the driving force. Unlike the surge in 2017, the rise in bitcoin this year was mainly driven by large institutional investors. PayPal, the US version of Alipay, announced its support for bitcoin and other cryptocurrency transactions as a catalyst. Recently, a series of well-known institutions such as Guggenheim, BVI Global Fund of Paul Tudor Jones, and MassMutual life insurance company have announced that they have made a lot of investment in the special currency. According to the latest data of bitcoin holdings Statistics Platform bitcoin Treasury, the total number of bitcoin positions of institutional investors is 1151618 bitcoins, with a total size of more than 27.5 billion US dollars. Since September last year, the emerging large investors have bought about 500000 bitcoins, worth about $11.5 billion. The price performance of bitcoin fully demonstrates the “core asset” emphasized in the stock value investment, which has been transplanted to the cryptocurrency market by institutional investors. As a result, the market value of bitcoin accounts for 71% of the total market value of cryptocurrency in the world. Zhang Yudong, a senior professional in the industry, said that bitcoin, with the functions of currency reserve, value measurement and trading, has attracted the attention of central banks and global investors. Bitcoin continues to soar recently? Because of the global central bank’s flood, the US version of Alipay, which allows retail investors to buy and sell bitcoin, and institutions from all over the world flock to the market. According to his analysis, since PayPal provided bitcoin trading services, PayPal customers have purchased about 800 bitcoins a day, while 700 to 900 bitcoins are newly excavated by mining machines every day, which aggravates the shortage of bitcoin supply and promotes the continuous rise of bitcoin prices. He believes that based on the scarcity and privacy function of bitcoin, bitcoin still has room for growth in the future. On January 2, Hong shuning, a blockchain expert, said on his microblog that this bull market is divided into three stages, which can be described as ups and downs. The first phase starts in February 2019 and ends with a sharp drop of 312. The second stage starts from March 2020, and reaches a new high and breaks through 20000 US dollars by the end of the year. The mark of the third stage is that it takes less than one month to reach a new level and break through 30000 US dollars, which fully demonstrates the strong confidence of the market, and bears completely lose their resistance. This phase will end with a rapid inflation bubble. Scott minerd, chief investment officer of Wall Street giant Guggenheim partners, said his company’s fundamental analysis showed that bitcoin should be worth $400000. The price target is given based on two points, namely, the scarcity of bitcoin and its relative value relative to gold. However, as bitcoin soars in succession, rational voices are also reminding investors that the excessive rise of bitcoin is a kind of speculation. “The cryptocurrency industry is likely to be subject to more scrutiny and stricter regulation in the future. Bitcoin is still an unstable asset, and if you invest in it, there will be a lot of risk.” Said meltem demirors, Chief Strategic Officer of coinshares, an asset management firm. Read by: Tan Lugang

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