Bitcoin nears record $50,000 mark
February 15, 2021 - Bitcoin has reached a new record, rising above $49,000 for the first time. The cryptocurrency is up by almost 63 per cent since the start of the year, buoyed by JP Morgan and Tesla’s endorsements.
On Monday morning, bitcoin changed hands at $47,751.99, down 2.3 per cent over 24 hours but up 62.9 per cent year-to-date. ￼
The milestone comes as traders and analysts have described institutional investors’ interest in bitcoin as growing “at a staggering pace.” Yesterday, Bloomberg News reported that Morgan Stanley’s $150 billion Counterpoint Global investment unit is considering a stake in the cryptocurrency. That news came after CoinDesk revealed that Deutsche Bank is planning to offer crypto custody to hedge funds.
Last week, American investment banking services company Bank of New York Mellon Corporation announced that it plans to hold, transfer and issue bitcoin and other cryptocurrencies. And that came after Tesla announced on February 8 that it would invest about $1.5 billion into bitcoin. The move triggered a 25 per cent bitcoin jump by February 14.
Meanwhile, Mastercard followed Visa and PayPal, allowing merchants to accept cryptocurrency payments. Apple Pay has adopted bitcoin through cryptocurrency spending service BitPay. However, sceptics warn the asset class could be in a bubble.