If you haven’t heard it yet, it’s time to listen up: the boarding whistle for the crypto train is blowing, and it’s not a train you want to miss. In the past week, Bitcoin hit its highest level since 2021 – along with reaching its all-time high against many of the world’s leading currencies. It’s not the only coin climbing the charts, either, as altcoins are reaching new records thanks to the buoyed interest in the crypto market.
It was enough to crash Coinbase, being the world’s second-largest cryptocurrency exchange platform, on February 28. According to Coinbase CEO Brian Armstrong, the platform crashed due to a surge in user activity following Bitcoin’s single-day rise of 7% that saw it hit over $60,000. All the lurkers hibernating through crypto winter have come rushing back as they don’t want to miss out on the action.
Crypto adopters are clearly feeling bullish about Bitcoin, which was unleashed earlier this year with the approval of the first Bitcoin spot ETFs. The coin is being further elevated by the upcoming Bitcoin halving expected in April, which will decrease the production of Bitcoins by miners even as demand is continuing to rise.
Altcoins, for their part, aren’t slouching. Ethereum is having its own meteoric rise, climbing 33% since the beginning of the year. In its case, Ethereum is doing well in part thanks to recently transitioning to a “proof-of-stake” system that will enable miners to use less computation power and reduce their energy consumption. Another factor driving Ethereum is the recent uptick in institutional investments, with applications for a spot Ether ETF currently pending. Taken together, Ethereum has climbed over $3,200, not too far behind its all-time record of $4,700.
With enthusiasm for Bitcoin and Ethereum only continuing to build, it’s having a dramatic effect on the world’s financial scene in general. Consider, for instance, that Bitcoin just reached its all time high (ATH) against the Japanese yen, Malaysian ringgit, Indian rupee, Taiwan dollar, South Korean won, Chilean peso, Australian dollar, Chinese yuan, South African rand, Norwegian krone and Turkish lira.
That effectively means that Bitcoin is going up at the same time that interest in all of those traditional fiat currencies is going down.
Year to date, Bitcoin is up 38%. While this year’s inflation is expected to stay around 3% in the US, that still means that the dollar is going to be buying less in a year’s time. In countries where inflation is significantly higher, the rush to invest away from fiat currencies is in full bore.
While it is true that Bitcoin is still shy of its all time high value of $69,000, at the rate that it is climbing, it’s entirely feasible that that record will be in the rearview window within the coming months. One major indicator, per Fortune, is the staggering $520 million poured into BlackRock’s Bitcoin spot ETF in a single day. It was the second-largest transfer to an ETF in a single day in US history – showing just how much investors are keen on the coin and the inflation-hedging ability it represents.
If there were any stronger indicators that cryptocurrency is the future of money, we haven’t seen them yet. The train is leaving the station. Are you on it? Whether you’re new to crypto or already holding, a cryptocurrency IRA is a great option for investing in crypto. Request a free info guide here.
