• UGI USER
  • Mar 11, 2024
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WHAT ARE THE FACTORS PUSHING BITCOIN TO A NEW ALL-TIME HIGH?

Why in the news?

Bitcoin hit a new all-time high at $69,170.63. Factors include market recovery, regulatory approvals, anticipation of halving events, and Ethereum’s market performance.

Factors Driving Bitcoin’s All-Time High:

  • Market Recovery: Bitcoin surged to a new high of $69,170.63 amidst recovery from the shock of Russia’s invasion of Ukraine and the collapse of cryptocurrencies and trading platforms in 2022.
  • Regulatory Approvals: Approval of the first Bitcoin spot exchange traded funds (ETFs) by the U.S. SEC signaled a regulatory shift, boosting investor confidence and attracting traditional institutions.
  • Anticipation of Bitcoin Halving: Investors anticipate the upcoming Bitcoin halving event in April, expecting it to drive up prices due to engineered scarcity and heightened demand.

What is Bitcoin?

Bitcoin: Digital currency introduced in 2009 for instant payments.

●   Open-source protocol: Not issued by central authority, aimed as an alternative to fiat money.

●   Fiat money: Government-issued currency, like the US dollar, not backed by commodities. Allows central bank control over the economy.