Bitcoin is trading above the $57k mark as of 12 pm (IST). The price has increased from the $47k mark to $57k in 7 days, witnessing an increase in its price by 21%. The cryptocurrency broke above the resistance at $55,000 on Thursday, creating a monthly high at $58,137. The BTC market cap is currently above the $1 trillion mark.
Bitcoin crosses $57000 this week as the U.S. announces $1.9 trillion covid-19 stimulus package
The surge in the price of BTC above $57,000 was seen after a $1.9 trillion covid-19 stimulus package was passed by the US House of Representatives on Thursday. There was also a cheer in the global traditional markets as the equities market rallied to new highs post the announcement of the stimulus package.
Low volumes on Exchanges: a Bull Market Sign
When the exchange activity rises, it often a sign that participants are moving their coins to cash out on exchanges, expecting to book their profits in the anticipation of the markets going down in the future. But, the data on a number of coins dwindling on exchanges is an indication that the market sentiment is more positive and highly bullish.
The bullish trend is supported by the spot trading volume activity on some of the major exchanges across the world. The volumes have remained flat for more than two weeks, and with less heavy buying there is upward pressure on the price.
Wider Bitcoin Adoption
In a report by Reuters, it was reported that Goldman Sachs is seeing an increasing demand for Bitcoin among its clients and also relaunched its crypto trading desk after 3 years to support Bitcoin futures trading.
Wisdom Tree, an Exchange-traded fund (ETF) pioneer recently applied to launch its own Bitcoin ETF, joining the bandwagon of other firms applying for an ETF by filing an S-1 form with the SEC. The Wisdom Tree ETF shares are expected to be listed on Cboe’s BZX Exchange
As Bitcoin receives wider adoption by institutional investors, there are also signs of the currency becoming prevalent for commercial use. The luxury hotel group, Kessler Collection hotel announced on Tuesday that their guests can now pay in cryptocurrencies such as Bitcoin, Dogecoin, and Ether for hotel rooms.
Non-fungible tokens (NFT)
As the Non-fungible tokens (NFT) frenzy continues, a piece of digital artwork, Beeple’s ‘The First 5000 Days’ was sold at the Christie’s auction house for $69,346,250, making him into the top three most valuable living artists. It is the largest known sale of an NFT to date, a token that provides proof of digital ownership on the Ethereum blockchain.
A MONTAGE OF BEEPLE’S WORK at CHRISTIE’S
Ethereum, the second-largest cryptocurrency by market cap is trading at $1,802, up by 21% since last week. However, it is still below its all-time high of $2,043. The asset is gaining further momentum as ETH addresses (non-zero) just climbed to 55,317,765 in number, attracting more users to its network.
Binance Coin (BNB) is currently trading at $278, up by 25% since last week. Cardano (ADA) is currently down to $1.09 after climbing to $1.21 on March 9, a drop by 11% since its high this week. Litecoin (LTC) is currently trading at $208, up by 21% since last week. Chainlink (+11%), BCH (+13%), EOS (+9%), XLM (0.5%), Tron (0.01%), and BAT (16%) have shown an upward trend while XRP (-2%) is in the red since last week.