Bitcoin crossed $ 52,000 to reach a new all-time high

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Bitcoin hit a new record high above $ 52,000 on Wednesday, according to data from Coin Metrics.

Read Also: MasterCard to introduce a cryptocurrency transaction facility in 2021

Major investment banks appear to be moving towards bitcoin, while Tesla and other companies have also shown their support for cryptocurrency.

Unless Bitcoin's volatility begins to diminish, its current price appears unsustainable.Bitcoin rose above $ 52,000 on Wednesday for the first time.

The red cryptocurrency rose to a record high of $ 52,340 at around 2:45 p.m. ET, according to data from Coin Metrics.

Bitcoin was created in 2009, shortly after the global financial crisis. It turned from a protest against the banking system into something of "digital gold" that was beginning to attract regular investors.

On Wall Street, it appears that the major investment banks are turning to Bitcoin. JPMorgan recently said it is looking seriously into the asset class, and Goldman Sachs has also shown an interest in cryptocurrencies. 

A division of Morgan Stanley is said to be considering adding Bitcoin to its potential betting list.

Companies like PayPal and Mastercard have taken important steps to support cryptocurrencies. Tesla said last week that it had invested $ 1.5 billion in Bitcoin and planned to accept the digital currency as payment for its products.

We think the story and topic here is much more than just investing in Bitcoin and predicting its future price, but rather about the potential ramifications that cryptocurrency, blockchain, and bitcoin may have across technology and the corporate world over the next decade.

From Paypal and Square to any semblance of Nvidia, Tesla, IBM, Visa, Mastercard, and numerous different organizations across vertical areas, we accept that the pattern of exchanges, bitcoin ventures, and many other companies across vertical sectors, we believe that the trend of transactions. 

Bitcoin investments, and blockchain-based initiatives could increase over the coming years because this bitcoin cryptocurrency is not a fad in our opinion. But it is the beginning of a new era in digital currency.

Bitcoin's recent rise reminded many investors of its massive spike to nearly $ 20,000 in 2017, followed by a decline the following year that saw the digital currency lose 80% of its value.

But since then, the world's most valuable cryptocurrency has seen a fierce comeback, quadrupling in 2020 and gaining more than 70% this year.

Bitcoin supporters say this is due to increased demand from institutional investors as well as corporate purchases of digital currency such as Tesla, Square, and MicroStrategy. 

From one viewpoint, cynics are worried that Bitcoin might be the greatest market bubble in the monetary business sectors.

Strategists at JPMorgan warned in a note on Tuesday that unless Bitcoin's volatility begins to diminish, its current price "appears unsustainable". 

Bitcoin and other cryptographic forms of money have acquired a decent standing because of their extraordinary value variances.

Summary

However, skeptics see Bitcoin as a speculative asset and fear that it may be one of the largest market bubbles in history. Economists like Nouriel Roubini say Bitcoin and other cryptocurrencies have no intrinsic value. 

And a recent Deutsche Bank poll showed that investors see Bitcoin as the most extreme bubble in the financial markets.