Bitcoin has touched a new high. On December 3, the Bitcoin value achieved a new all-time high at $11,874. Earlier on Saturday, Bitcoin picked up steam to cross $11,000 barrier for the second time this week.
The crypto currency has grown by leaps and bounds in last few weeks; it is up by 1,000 percent since the start of 2017. With the value of 1 Bitcoin is closing on $12,000, it has become the world’s sixth most valuable circulating currency – that too in just eight years since its launch in 2009.
Earlier last week, the Chicago Mercantile Exchange (CME) and Chicago Board Options Exchange (CBOE) had announced on beginning trading Bitcoin futures soon.
Although, many in the financial services ecosystem have their doubts over the future of Bitcoin. Jamie Dimon, chief executive officer of JPMorgan Chase Inc. (JPM), had dismissed the virtual currency calling it a ‘fraud’ while Jeff Currie of Goldman Sachs, has weighed Bitcoin against gold and doesn’t “see why there is all this hostility to it.”
With institutional investors pouring funds into the crypto currency market, these pronouncements become less important.
Earlier last week, the market had reached a high of $345.8 billion on the back of a rise in prices for Bitcoin and other crypto currencies. The net worth of crypto currency market was worth $323.6 billion on December 2.
The road ahead
Bitcoin is expected to go past $12,000 within December. As the trend of institutional money flowing into the crypto market continues, the market cap of Bitcoin will increase rapidly, providing more liquidity.
The rise of Bitcoin and other crypto currencies suggest how dominant blockchain networks can be. For this reason, several respected investors within the cryptocurrency space have expressed their optimism towards Bitcoin price reaching $45,000 by the end of 2018, which would mean a $1 trillion market cap.