Bitcoin nearly tripled its price in 2020 and closed the year close to $ 29,000. Bitcoin was at the level of $ 28,963 when entering the New Year.
A new record
According to data compiled by CoinDesk 20, Bitcoin set a new record of over $ 29,000 early Thursday, ahead of a rapid retracement chart to $ 27,900 in US trading hours.
Despite the small drop, the number one cryptocurrency by market cap is tracking its third consecutive monthly earnings, a success most recently achieved in the second quarter of 2019.
The cryptocurrency has surged over 45% this month alone and is on the way to ending in 2020, closing the year with at least 290% gains.
The price rally puts Bitcoin far ahead of traditional assets like gold and stocks. Yellow metal has risen 25% this year, and Wall Street’s reference index S&P 500 is up 15%.
The year 2020 will go down in history as a period of maturity as a macro asset, with well-known public companies such as MicroStrategy diversifying their cash reserves into cryptocurrency.
Most observers await an ongoing rally in 2021.
Analysts at investment banking giant JPMorgan predict that increasing mainstream adoption of bitcoin will hurt the price of gold.
However, according to Ki Young Ju, CEO of crypto data provider CryptoQuant, if spot inflow from institutional investors slows, a correction may be seen in the short term.
At the time of writing, it is trading at $ 29ç149.