Bitcoin record comes one day before Coinbase IPO
Bitcoin has set a new all-time high on Tuesday, surging above $63,000, before retreating slightly.
The pre-eminent cryptocurrency has been pushing up in recent weeks, and is up by over 7% in the last seven days.
The record has come just one day before crypto exchange Coinbase is set for its public listing on the Nasdaq. The company, which may have a valuation north of $100 billion, will begin trading on the Nasdaq under the ticker symbol COIN.
Circle Squared Alternative Investments founder Jeff Sica told FOX Business that Coinbase may be the most important IPO of 2021.
“I see this as a bridge between the disruptive decentralized cryptocurrency market and the traditional market,” Sica said. “This IPO will bring cryptocurrency to the forefront, take away some of the obscurity, and allow people to invest in what I believe is gonna be a very, very significant presence as an alternative currency in the future.”
Jason Deane, Bitcoin analyst at Quantum Economics said the price increase was inevitable.
“Bitcoin has been testing the resistance levels for some weeks now, each time bouncing off but immediately coming back undeterred.”
Today’s all time high was therefore all but inevitable as sheer market momentum, investor sentiment and accelerating rate of development act as primary drivers,” Deane added.
Just under a month ago, bitcoin broke the $60,000 mark, which brought its market capitalisation to $1trn. While in November 2020, the cryptocurrency surged to a three-year high of $17,891 – then its highest level since December 2017.
In further news regarding institutional adoption, the board at MicroStrategy is now being paid in bitcoin.
Per a company announcement, the Board of Directors “modified the compensation arrangements” for directors that were classified as non-employees. Such directors will receive “all fees” for their services in bitcoin instead of cash.