First Published On November 30, 2020.
At roughly 10:13 AM EST, 11/30/2020, bitcoin surpassed its all time high.
On December 17 of 2017, bitcoin hit 19,783.06 dollars on the Coindesk price index. Today, according to Coindesk, bitcoin hit 19,850.11 US dollars. So, the all-time high was passed by 67 dollars.
So what caused this?
This upward price movement seems to have been driven by institutions buying large amounts of bitcoin. During the parabolic rally of late 2017, individuals FOMOing and getting caught in a craze was the main driving force.
In May of this year, the halving took place. The halving is when the amount of new bitcoin created every time a block is mined is cut in half. This effectively cut in half the supply of new bitcoin. When supply is cut in half price goes up, even if demand just stays constant because there is less to go around. But demand is going up too. Bitcoin is the new gold, and corporations are racing to get a piece of the action. Individual investors will follow, and this rally may continue past 20k (These words were prophetic).
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