Bitcoin has surged to a record price of 112,052 USD thanks to a strong boom in tech stocks, particularly from Nvidia, driving up the entire financial market.
Bitcoin's price surpassed the previous high of 111,999 USD, closing around 110,947.49 USD, up 1.9% on the day according to data from Coin Metrics. This increase comes not only from ETF funds but also significantly from public companies buying Bitcoin directly.
MAIN CONTENT
Bitcoin reaches a new record of 112,052 USD due to the strength from the tech market led by Nvidia.
Bitcoin's price is pushed up by direct purchases from public companies surpassing ETF funds.
Bitcoin is forecasted to exceed 120,000 USD in the coming weeks as positive waves from legislation and the market accelerate.
What does Bitcoin reaching a new peak signify for the cryptocurrency market?
Uranium Digital's Strategy Director, Ryan Gorman, believes this marks the beginning of a strong growth phase for Bitcoin this summer, with expectations for the price to reach 120,000 USD or higher.
This price increase is not only based on inflows from cryptocurrency ETFs but also thanks to public companies continuously buying Bitcoin, creating new momentum for the market. Bitcoin's price stabilized around a 2% increase last month before today's breakthrough.
"With the upcoming Crypto Week in Washington D.C. and a positive wave preparing to hit the market this summer, optimistic sentiment and thin trading could push Bitcoin's price to 120,000 USD or more by next weekend."
Ryan Gorman, Strategy Director at Uranium Digital, 2024
How do tech stocks, especially Nvidia, influence Bitcoin's surge?
Nvidia has become the first company to temporarily reach a market capitalization of 4 trillion USD, triggering a rise across the tech sector and lifting the Nasdaq index to a record closing level.
Nvidia's success has positively impacted investors, even though political developments such as new tax policies from the Trump administration have not diminished interest in risk assets like tech stocks and Bitcoin.
Why does Bitcoin often move in tandem with tech stocks in a risk-on market?
According to analysis from many experts, although Bitcoin is referred to as 'digital gold', it still reacts quickly to risk capital flows and positive market sentiment. When tech stocks rise sharply, Bitcoin usually follows a similar trend.
"Macroeconomic factors are currently unchanged. Bitcoin remains a scarce asset against the backdrop of record budgets and rising debt ceilings. Increasingly friendly legal conditions are helping Bitcoin become a more attractive option for institutional investors."
Chris Kline, COO and co-founder of BitcoinIRA, 2024
What factors are driving excitement and expectations for Bitcoin to continue rising?
The trend driving Bitcoin's price higher comes from multiple sources: purchases from large companies, the return of retail investors, the bullish momentum of the options market, along with the potential passage of cryptocurrency legislation in Washington D.C.
Additionally, speculation about the future of Fed Chairman Jerome Powell and the potential for interest rate cuts further leads investors to expect Bitcoin to become more attractive in a low-interest-rate environment.
What price level is Bitcoin expected to reach in the short term?
With the current positive factors, analysts predict that Bitcoin's price could easily reach 120,000 USD, or even higher if supportive momentum from legal acceptance and inflows continues to rise.
Comparison table of the impact of factors on Bitcoin's price
Factors Impacting Bitcoin Notes Direct purchases from public companies Increase demand, pushing prices higher More funds from ETFs in Q2/2024 Tech stocks (Nvidia and Nasdaq) Attract risk capital flows, increase Bitcoin prices Nvidia's market cap reaches 4 trillion USD temporarily Cryptocurrency law in Washington D.C. Creates legal expectations, reduces investment risks Currently in the final stages, about to be passed Fed policy fluctuations Could encourage interest rate cuts, increasing risk appeal Speculation that Fed Chairman Powell will resign
Frequently Asked Questions
What are the factors behind Bitcoin's new peak?
The surge comes from the boom in tech stocks and direct purchases of Bitcoin from public companies surpassing ETF funds, creating strong price momentum.How high can Bitcoin's price go in the near future?
Experts predict the price will exceed 120,000 USD due to positive signals from the market and cryptocurrency legislation.Why do tech stocks affect Bitcoin?
Bitcoin still follows the trend of risk assets, so when tech stocks rise sharply, Bitcoin benefits as well.What is the impact of the new cryptocurrency law on Bitcoin?
Increasing legal clarity and reducing investment risks make Bitcoin more attractive to institutional investors.How do Fed policy fluctuations impact the cryptocurrency market?
The possibility of interest rate cuts from the Fed will enhance the appeal of cryptocurrencies like Bitcoin, as low rates encourage riskier assets.
Source: https://tintucbitcoin.com/bitcoin-dat-dinh-112-052-usd-moi/
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