- Bitcoin climbed above $50,000 yesterday following a sustained seven-day rally.
- MicroStrategy CEO Michael Saylor believes Bitcoin is “novel, digital, global, and unique.”
- According to Saylor, Bitcoin has found its footing following a rebalancing shortly after the ETFs were approved.
Bitcoin climbed above $50,000 yesterday following a sustained seven-day rally. Shortly before breaking above this level, MicroStrategy CEO Michael Saylor posted that the price of Bitcoin is “still less than $0.05 million,” reaffirming his earlier prediction of much higher targets for the flagship cryptocurrency.
Saylor noted that the recent rally indicates Bitcoin’s popularity as an investment asset during a CNBC Closing Bell show. He described Bitcoin as the world’s most popular investment asset that is “novel, digital, global, and unique.”
According to Saylor, Bitcoin is uncorrelated to traditional risk assets because it doesn’t come with exposure to any given country or other traditional potential risk elements. Hence, it qualifies as a natural addition to the portfolio of any responsible investor.
Saylor spoke on the impact of the recently launched ETFs on the Bitcoin price, noting that people waited long for the ETFs to be approved. Therefore, the increased demand from mainstream investors to be able to access Bitcoin is driving the surge of capital in the asset class.
The renowned investor noted that Bitcoin has found its footing following a rebalancing shortly after the ETFs were approved. According to him, the rebalancing happened because investors moved capital between the futures market, the miners, and the ETFs. Saylor thinks people are realizing that there is ten times more demand for Bitcoin coming into the ETFs than there is supply coming from the natural sellers.
Bitcoin broke above $50,000 for the first time since December 2021, following a week-long sustained rally. The pioneer cryptocurrency gained 18% in the last seven days and traded for $50,016 at the time of writing, according to data from TradingView.
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