Bitcoin (BTC) has achieved a historic milestone, hitting an all-time high of $89,517, pushing its market capitalization to $1.735 trillion. This surpasses silver’s market cap of $1.731 trillion, positioning Bitcoin as the eighth-largest asset globally. This marks the second time this year that Bitcoin has overtaken silver, the first being in March, reflecting a significant shift in the perception of digital currencies in the traditional investment landscape.
The recent surge, which saw Bitcoin rise by 30% over the past week, was spurred by increasing institutional interest and a growing demand for spot Bitcoin exchange-traded funds (ETFs). In just one day, Bitcoin saw a dramatic 9% jump, reaching a peak of $89,517 before slightly pulling back.
Silver, by contrast, has experienced a 6.24% decrease in its market cap, standing at $1.732 trillion. The continued growth of Bitcoin and the drop in silver’s market value signal a shift in how investors view Bitcoin as a store of value, drawing comparisons to silver while still being significantly smaller than gold, which holds a market cap of $17.65 trillion.
The rally in Bitcoin’s price is also seen as a reflection of the growing political support for cryptocurrencies in the U.S., where pro-crypto lawmakers are gaining influence. With more investors turning to Bitcoin as an alternative investment, the cryptocurrency is increasingly viewed as a hedge against market volatility.
El Salvador, a notable Bitcoin advocate, has seen significant returns on its investments, with its Bitcoin holdings gaining over $119 million in profit as the cryptocurrency hit new highs. President Nayib Bukele took to Twitter to express his satisfaction, stating, “I told you so.”
As Bitcoin continues to rise, it is also supported by major players within the “Bitcoin Industrial Complex,” including companies like MicroStrategy and Coinbase, which together saw a record $38 billion in trading volume. This growing confidence in Bitcoin further solidifies its place as a serious contender in the global financial landscape, just behind established assets like gold, Apple, and Microsoft.
The future of Bitcoin looks increasingly promising, with more investors flocking to it for diversification and potential long-term growth.
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