This is the reason why the price of Bitcoin is over $43,000 today.
The cryptocurrency market has once again caught the world's attention due to the drastic change in the price of Bitcoin. Tether's extensive mining operation has sparked extensive discussions and in-depth analysis in the community.
Prominent institutional investors interpret this trend as an indication of growth in interest and demand for Bitcoin, which could lead to a significant increase in price.
The price of Bitcoin rose above $43,000.
Bitcoin's price soared above $43,000 after Tether hit $1 billion today. As of October 20, 2023, Tether's production has reached $13 billion. Such a trend coincides with the price increase seen in the crypto market over the past few months.
Historically, large-scale Tether creation events have been closely linked to significant price increases in Bitcoin. A recent innovation raises questions about its near-term volatility.
Bitcoin's rise in value isn't just caused by Tether's actions. Broader interest in Bitcoin is reflected in the success of BlackRock's spot Bitcoin ETF (exchange-traded fund). Holding more than 52,000 BTC, it became the first to surpass $2 billion in assets.
This chapter shows growing investor confidence and institutional acceptance of Bitcoin as a viable investment. In fact, institutional investors like Anthony Scaramucci predict a promising future for Bitcoin. Citing historical patterns associated with Bitcoin halving cycles, he pointed to a significant spike in post-halving price increases.
“Go back and look at Bitcoin halvings. Multiply the day Bitcoin halves by four. [and] 18 months later and that's the price of bitcoin, Scaramucci said.
Scaramucci's calculations, based on conservative assumptions, suggest an alarming future price of $200,000 to $240,000 for Bitcoin. Still, the long-term forecast is more optimistic. He suggested that Bitcoin could match gold's market capitalization by half, which could raise a single BTC to around $400,000.
Read more: Bitcoin price prediction for 2024/2025/2030
The combination of Tether creation activities, increased institutional investment and the upcoming Bitcoin rally show a big outlook despite the recent price correction in the cryptocurrency market.
Disclaimer
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