Bitcoin's price continues to rise, surpassing a value of $46.000 per unit, while boosting the value of several shares of related companies, such as MicroStrategy and Marathon Patent Group.
The current demand for bitcoins in the market and the fall of gold are two of the factors that are driving the price of the cryptocurrency, Genesis Global Trading derivatives director Josh Lim told The Block. According to reported, the quotation of Bitcoin (BTC), the industry’s top cryptocurrency by market cap, has rallied 17% over the past week, breaking through the “concern” level for industry investors and causing bears to back off.
While the Bitcoin price surge is not final, the executive believes the market is showing several positive signs that herald a further recovery. Lim said that the tensions surrounding the current debates with financial regulators in the United States do not seem to be affecting investors, although the crypto community is concerned about the implications of the infrastructure bill being considered by the Senate.
«Bitcoin is climbing a wall of concern as investors overlook Gensler's comments and upcoming tax provisions in the infrastructure bill», Lim said.
At the time of writing this article, the price of Bitcoin is $45.937, although on Monday it reached over $46.450 per unit. Bitcoin had not seen this level since last May, when its price exceeded $64.000 per BTC.
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Several stock prices rise
In addition to Lim, several analysts believe that the cryptocurrency could surpass $50.000 in the coming days, while the bullish momentum is also pushing up the share prices of several related companies. For example, the shares of microstrategy, which is the largest institutional investor in bitcoin with over 105.000 BTC on its balance sheet, grew by 65% since BTC began to recover its value. MSTR shares are trading at a value of $769 per share at the time of writing this article.
On the other hand, the value of the shares of Marathon Patent Group, one of the largest bitcoin mining companies in the United States, is also growing exponentially. Since July 20, when the price of BTC began to rise, MARA, the mining company's shares, have grown by 74%, going from a value of $20,5 per share to $35,9 per share currently.
Other bitcoin-related companies that have benefited from the cryptocurrency's price rise are: Riot Blockchain, Hat 8, Square, Tesla y GrayscaleOn average, the value of these companies' shares has grown by 37,8%.
Bitcoin market recovers
GlassNode, one of the industry's leading data and metrics providers, notes that the cryptocurrency market is recovering as a Bitcoin supply reduction looms and Ethereum successfully launches its Londo upgrade and EIP-1559. In its latest report, weekly reportGlassNode analysts note that the bitcoin price may be consolidating above the $40.000 level.
At the time of writing, the cryptocurrency market cap has recovered by more than 40%, surpassing a value of $1,85 trillion. Within this value, the Bitcoin market occupies 46,6% according to data from CoinMarketCap.
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