Posted 1 year ago | by @devadmin

Bitcoin’s price soared past $56,000 on Friday, pushing the number one cryptocurrency’s market cap past the $1 trillion mark. To put things in perspective that’s more than the market capitalization of Facebook, though Apple, Alphabet, Amazon, and Microsoft are worth more. Bitcoin’s value has almost doubled from $29,000 since the start of the year.

Bitcoin prices have been on an absolute tear lately. Bitcoin’s price has climbed nearly 90% in 2021. By comparison, gold a rival to the digital asset as a store of value, has declined by more than 6% since the start of the year, Market Watch reported.

This comes after Tesla acquired $1.5 billion in Bitcoins in January and after the company said that it could accept the world’s number one digital asset for payments for its products in the future. Telsa’s founder Elon Musk has since changed his avatar picture on Twitter to Bitcoin, which may have helped spark the current rally. Although, there’s also other news like Mastercard jumping into cryptocurrecy and BNY Mellon, New York’s oldest bank getting involved in crypto.

Musk further explained his rationale for buying Bitcons, describing the decision as “simply a less dumb form of liquidity than cash, is adventurous enough for an S&P500 company.”

Bitcoin is facing an influx of capital pushing the price up higher and higher with each passing day. Just this week Michael Saylor of Microstrategy announced he was going to buy another $600 million BTC, only to change that number to $900 million, as Bitboy Crypto reported.

As CNBC reported, Deutsche Bank research strategist Jim Reid expressed  that Bitcoin is creating its own demand as corporations and institutions jump into the cryptocurrency.

Bitcoin “has started to get so big that it arguably creates its own demand as companies and institutions begin to make forays into a field they wouldn’t have touched a few months previously,” Deutsche Bank research strategist Jim Reid said in a note. “Ironically it is turning itself into a credible asset class to many by rallying so much of late and also by getting increasing institutional buy-in.”

Only four companies in the United States currently are worth more than Bitcoin: Apple (AAPL), Microsoft (MSFT), Amazon (AMZN) and Google Alphabet (GOOGL). However, it’s only a matter of time until Bitcoin surpasses all of them, the question isn’t if, it’s when. Especially, with Tesla betting $1.5 billion and turning that bet into an estimated profit of about $930 million, more than the $721 million profit it reported for 2020’s sales. No doubt that will fuel other companies to purchase Bitcoin as a Treasury Reserve asset.

Bitcoin’s total market cap at the time of this report is {FIAT: $1,070,921,592,077.]

Bitcoin is currently trading at [FIAT: $57,471.72]  UP +9.1% in the last 24 hours according to Coingecko at the time of this report.