In euro terms, the cryptocurrency was more expensive than ever on Monday. The dollar has now broken record highs.
The dollar also hit a record low on Tuesday afternoon, a day after Bitcoin hit a euro record high. One bitcoin cost $69,300 on Coinbase before the price dropped again. Bitcoin last rose above $69,000 in November 2021. Cryptocurrency has thus made history again: for the first time, the price has reached a new record before “halving”. The creation of new Bitcoin decreases every four years (most recently 2012, 2016 and 2020). Around this event, the price of Bitcoin rose sharply, hitting a new record in the months that followed and then hitting a cyclical high in the following year. The next half isn't until April.
This time the climax came faster. There are two reasons for this: the strong demand for new Bitcoin funds in the US and the happy mood. In January, several Bitcoin ETFs were approved in the United States, generating more than $7 billion in net inflows within weeks. These funds are now buying more bitcoin than is being mined. This raises the price. Meanwhile, many investors may have recently been gripped by “fomo” (fear of missing out). A Bitcoin Sentiment Indicator Points to “Extreme Greed” Private investors in particular are in an upbeat mood as not only Bitcoin and Ethereum have risen sharply in the past seven days, but above all meme tokens, i.e. funny coins: Dogecoin have soared. 80 percent in a week, three times the Shiba Inu's rate.
It won't be easy for Bitcoin to sustain a new high in the next few days. The strong gains of the past few days are also more likely to correct. If Bitcoin follows the previous pattern, the price is likely to rise further in the next few months.
