Bitcoin is currently enjoying a bull run and crossed $22,000 for the first time
Bitcoin (BTC) has set a new all-time high price for the second time this month after it crossed the $20,000 threshold and reached the $22,000 price level.
The leading cryptocurrency crossed the $22,000 level a few hours ago, having anchored at $21,300 for a few hours during the early Asia trading hours. The price of the number one cryptocurrency is changing hands at $22,185 at the time of writing.
Bitcoin’s price is extremely volatile at the moment, ranging between $19,316 and $22,181 over a 24-hour period. The rally saw Bitcoin prices up by 14% against the US Dollar over the past 24 hours. Although the cryptocurrency is on a historic bull run, some analysts don’t think the period for profit-taking has arrived.
Kenetic Capital CEO, Jehan Chu told CoinDesk that the $22,000 level is a green flag as the cryptocurrency will now march towards its next psychological resistance level at $25,000. Chu expects fast movement and high volatility below the $25,000 mark before the end of the year.
Institutional investors are the primary drivers of the current bull run as they have invested billions of dollars into the cryptocurrency market. Guggenheim is gearing up to invest $500 million into the market via the Grayscale Bitcoin Trust (GBTC).
Billionaire hedge fund manager Alan Howard told Bloomberg yesterday that he was working with One River Digital Asset Management to invest $1 billion in cryptocurrencies. The asset management firm has already bought $600 million worth of cryptocurrencies. The firm intends to increase it to $1 billion over the coming weeks.
Chu argues that Guggenheim and Alan Howard making such huge investments in Bitcoin justify its current price. CryptoQuant CEO, Ki-Young Ju added that sell orders above $22,000 are yet to appear as bulls take charge.
As usual, Bitcoin’s rally is also affecting the performance of other altcoins. Ether is up by 10% over the past 24 hours. The second-largest cryptocurrency reached the $650 mark, a price level that was last seen in May 2018. Ripple (XRP) is recovering from its slump earlier this week, and it is currently up by 21% over the last 24 hours. The fourth-largest cryptocurrency is currently changing hands at $0.57.
Litecoin, Bitcoin Cash, Chainlink, Cardano and Stellar Lumens are some of the other leading cryptocurrencies that are also on a bull run.