- Bitcoin breaks above $68,000; Ether $5k . Close
- CoinGecko Puts Crypto Market Cap At Over $3 Trillion
- The flow increases when the speed is heated
SYDNEY, Nov 9 (Businesshala) – Bitcoin and ether hit record peaks in Asia trading on Tuesday, with enthusiasm for cryptocurrency adoption and concerns about inflation driving momentum and flows into the asset class.
Bitcoin surged to $68,564 in Asian afternoon trading and Ether, the second largest cryptocurrency by market cap, rose to $4,825 earlier.
Both have more than doubled since June and are up nearly 70% against the dollar since early October.
“We feel the market has changed,” said Matthew Dibb, chief operating officer of Singapore-based crypto asset manager Stack Funds, pointing to a sharp increase in demand from large investors and even pension funds. .
“People are now finding out that there is no exposure, even a small amount, maybe not a good thing going forward, so they have to allocate at this price,” he said.
Market momentum has been picking up since the launch of a futures-based bitcoin exchange-traded fund in the United States last month, raising hopes of flow-driven profits.
Data from digital asset manager CoinShares shows investments in bitcoin products and funds reached a record $6.4 billion so far this year, with a total of $95 million in investments last week.
Other bits of positive news have also helped, including plans from the world’s largest digital currency manager Grayscale to convert its flagship bitcoin trust (GBTC.PK) into a spot-traded bitcoin exchange-traded fund. last week grayscale too Applicable To list a “Future Finance” fund that will track companies involved in the growing digital economy.
“Crypto is where the fast money is,” said Chris Weston, head of research at brokerage Pepperstone. “(Ether) is going on like a dream and I will be here long and strong,” he said.
“Clients are long open, 79% of open positions are long, and I think the $5k party may be gone soon.”
Others cited some near-term caution on bitcoin as reason, however, according to trading platform BitMEX, the cost of funding long positions has become higher in recent days – sometimes a precursor to a pullback.
Nevertheless, according to crypto price and data aggregator CoinGecko, the moves so far have increased the token by more than 1680% from its March 2020 lows and helped lift the total market capitalization of the cryptocurrency above $3 trillion.
CoinMarketCap put it slightly lower at $2.94 trillion. Somehow the true believers, or “holders” in crypto market terminology have felt right and remain bullish.
“They threw everything at the beast and yet it moves,” payments strategist and host of the Sometimes Around the Coin podcast Brian Romel said on Twitter. “Next stop: #Bitcoin $72000.”
(This story corrected Rommel’s spelling in the last paragraph)