Bitcoin Hits A Milestone Despite The Decrease In Value For Five Weeks
As the week comes to a close, Bitcoin has hit another major milestone as it surpasses $4,000. Despite the horror that has been the past five weeks in the crypto world, Bitcoin is still on an upward trajectory. Many attribute this to the fact that Bitcoin has a strong underlying fundamentals, which makes it more resilient to short-term shocks.
Others believe that institutional investors are starting to enter the market, which is pushing up prices. Whatever the reason may be, it’s clear that Bitcoin is still on top and is not going anywhere anytime soon. In fact, some experts believe that it could reach $10,000 by the end of the year.
This would be a major accomplishment considering where prices were just two months ago. It has gone up over $1,000 in the past month alone and nearly quadrupled from its low point that it hit about a month or so ago.
Many other cryptocurrencies have been struggling to stay afloat as Bitcoin continues to soar. In fact, many are down double digit percentages from their all-time highs from earlier this year. Many of these smaller altcoins rely on investor interest in order to survive, which is a risky proposition considering how volatile this market truly is at times. At least for now though, things seem to be going well even if prices have suffered a bit recently due to an overall negative sentiment in the markets thanks largely to the recent hack of South Korean exchange Coinrail.
In other news, the US Securities and Exchange Commission (SEC) has announced that it is launching a probe into cryptocurrency exchanges. This is in response to the recent price volatility in the markets and the allegations of price manipulation.
The SEC wants to make sure that investors are being given a fair shake and that no one is taking advantage of the situation. It’s clear that the SEC is starting to take cryptocurrencies more seriously and is looking to crack down on any bad behavior in order to protect investors. This could be good news in the long run as it will help to legitimize cryptocurrencies in the eyes of institutional investors.
All in all, it has been a wild ride for Bitcoin and the crypto markets over the past few weeks. Despite all the chaos, Bitcoin has still been able to hit another major milestone and is on track to reach even greater heights in the months ahead. Long-term investors should definitely take note of this and consider adding Bitcoin to their portfolios.