Bitcoin Breaks Above $50,000 in Crypto Rally

The largest cryptocurrency soared to $50,362 on Thursday, also surpassing $50,000 on 23 August – a level that had not been hit since mid-May. Ether, the second-largest cryptocurrency, rose up to 3% to $3,843, continuing a strong run following a London upgrade earlier last month.

Other coins also rose, with the total crypto market cap jumping 5% to $2.3 trillion, according to CoinGecko.com pricing. CoinGecko showed that the number-three crypto is nearing a market cap of $100 billion amid optimism about Cardano smart contracts, and that Solana and Polkadot are up 60% and 22%, respectively, over the past seven days.

“There are likely two fundamental factors behind bitcoin’s push: Twitter’s possible integration of the token as a tip jar payment option, and the official launch of bitcoin as legal tender in El Salvador comes September 7,” said Petr Kozyakov, co. —The founder and CEO of global payments network Mercurio said in an email, “While we are expecting a price of $50,000, bitcoin buyers are exercising more optimism for even more price gains by the end of the year. “

Cryptocurrencies have surged this year amid a spurt in institutional interest and growth in areas such as decentralized finance (DFI) and non-fungible tokens (NFTs). Furthermore, according to a recent report by MacRumors, Twitter Inc. may be laying the groundwork to allow bitcoin tips in its Tip Jar feature. Meanwhile, El Salvador’s bitcoin law is effective September 7.

To be sure, not everyone considers altcoin moves to be entirely profitable.

“The previous phase of retail investor ‘mania’ in cryptocurrency markets was between early January and mid-May, when altcoin share increased from 13% to 37.6%,” said Nikolaos Panigirtzoglu, strategist at JPMorgan Chase & Co. ” Note Wednesday. “Far from the record high of 55% seen in January 2018, the altcoin share at 32.6% looks high by historical standards and in our opinion is more likely a reflection of the froth and retail investor ‘frenzy.’ of the structural uptrend. instead of reflection.”