04 Nov 2020 Anthony Lehrman
Bitcoin Jumped To Over $14,000, Adding Four Percent In The Last 24 Hours
Bitcoin bulls have been rallying on the market over the past week, causing a steady rise in the price per BTC. The latest bullish push from 4th November skyrocketed the crypto leader’s price over the $14,000 mark, with current price around $13,805.
The world’s largest cryptocurrency, Bitcoin, is on a steady price increase over the past six months. Prices went up 50% since the March COVID-19-related market crash, which could result in Bitcoin becoming one of the best-performing assets in 2020. However, the reason for the jump may be outside of the financial sector.
It seems that bulls are in control, as Bitcoin quickly followed the spike in prices on the traditional stock markets due to the 2020 U.S. Presidential elections. Jason Deane, an analyst at Quantum technologies stated that “we seem to be well in the green across the board right now both in terms of markets and crypto and it's hard to tell where this rally over $14,000 per bitcoin is coming from exactly, but it seems logical that the election must be playing a part."
According to Deane, A Biden victory may speed up coronavirus stimulus package release. The analyst also noted that if a stimulus package is approved, the approval would result in a positive drive force of the price, which would be a main driver in Bitcoin’s price momentum.
Other crypto traders and enthusiasts are also optimistic about Bitcoin’s price continuing its ascending journey, despite the outcome of the Presidential elections.
Cory Klippsten, chief executive of bitcoin-buying app Swan Bitcoin, noted that “regardless of who wins, the forecast is for more quantitative easing and stimulus, continuing the favorable conditions for hard assets like bitcoin.”
"Everything in the macro-environment points to a great opportunity for a major bitcoin bull market", Klippsten added.
Bitcoin, with its 21 million total coin supply, became a sort of a safe-haven asset and inflation hedge, especially when investors are seeing the stimulus packages as an unprecedented government spending, which would offset inflation percentages.
Klipstein also stated that “there just aren't many sellers left, as every time there's the slightest dip lately, it just gets bought up".
Klippsten pointed out some examples about the bullish run, like MicroStrategy starting a wave of publicly-listed companies adding Bitcoin to their books, and payments giant PayPal starting the support for bitcoin-buying and spending services.
The Managing Director of K1, George McDonaugh, claims that Bitcoin loves to surprise everyone with its irregular price movements:
"We’re now clearly in a bull market and next year has huge potential, but watch out for those 30% declines that come seemingly out of nowhere. There were five such declines on the way up to $20,000 in 2016/17, so expect similar this time around", McDonaugh concluded.