The way to the moon is paved with Dax corporations and the GDP of national states. Yesterday, Bitcoin reached a price of more than 4,000 euros. Market capitalization thus climbs to 66 billion euros. We put this into the context of the financial heavyweights and speculate about the reasons.
For months the Bitcoin price has only one direction: upwards. 1,000, 2,000, 3,000 and since yesterday 4,000 euros. The severity of the current Bitcoin rally surprises even longtime long-term optimists.
After Bitcoin broke through the 4,000 euro mark yesterday, the price today stands at around 4,080 euros. With a total of almost 16.537 million bitcoins, this results in a market capitalization of some 66 billion euros.
The market capitalization of Bitcoin, measured in dollars, is 78 billion. Bitcoin would thus be ranked 68th out of the 191 national states after Sri Lanka (82 bn) and Syria (77.4 bn). Still far from getting into the heavyweight class, but already a good ascent.
But where does the continually strong rally come from? Why does Bitcoin continue to grow? This question can only be speculated. Maybe it is because Russia is currently rushing to crypt, with support from the top. Possibly also because the large, institutional investors over the past few months have realized that every future-proof portfolio should also contain a bit of bitcoin, and that even states are beginning to see bitcoin as a geopolitical fact. It may also be due to the ongoing and growing need for Bitcoin and other cryptos from Europe, America and China, and the ongoing and growing use in international business.
Probably also the successful activation of SegWit plays a role. There may also be some kind of market manipulation with bitternine dollars on bitfinex. Probably, however, the most important reasons are those that we do not know because they are in the background and in the dark.