Highlights
- Bitcoin topped $50,000 for the first time in a month on Tuesday, having risen sharply over the last week.
- Crypto bull Mike Novogratz said he was excited and that it could be the start of a fourth-quarter rally.
- Bitcoin has been on a wild ride in 2021, topping $64,000 in April before plunging to below $30,000 in July.
- The world’s biggest cryptocurrency was up 2.4% to $5,183 as of 6.35 a.m. ET, reaching its highest level since the start of September, according to Bloomberg prices. Bitcoin has rallied sharply over recent days, having traded around $41,000 only seven days earlier.
Bitcoin has surpassed $50,000 for the first time in almost a month, with crypto billionaire Mike Novogratz predicting a fourth-quarter rally.
“Bitcoin recovering the $50,000 level appears to be the culmination of a process that began as crypto trading activity began to rebound late this summer,” said Curtis Ting, managing director of crypto exchange Kraken in Europe.
Ting highlighted that there has been a recent recovery of interest in bitcoin after some traders shifted their focus to other digital assets such as ethereum’s ether and cardano’s ada token. According to him, bitcoin volumes have lately surpassed those of ether, the second-largest cryptocurrency.
According to CoinShares, “accommodative statements” from the US Securities Exchange Commission and the Federal Reserve are helping bitcoin attract inflows at the expense of altcoins, according to a research released Monday.
In a tweet on Monday, Novogratz, the founder of crypto investment firm Galaxy Digital, praised bitcoin’s recent gains:
“Crypto trades like no-one has it … the 4th quarter rally might have started.”
he was surprised and happy that bitcoin was rising even as tech stocks were hammered on Monday. During the last stock sell-off, bitcoin fell sharply as investors dumped riskier assets. – Says Mike Novogratz
