Bitcoin $14,000: The Latest Milestone
Bitcoin rose above $14,000 today, reaching its latest milestone as the digital asset’s sharp rally continued.
The cryptocurrency climbed to as much as $14,095.61 on CoinDesk’s Bitcoin Price Index (BPI).
By reaching this level, Bitcoin’s year-to-date (YTD) gain increased to more than 1,350%.
[Ed note: Investing in cryptocoins or tokens is highly speculative and the market is largely unregulated. Anyone considering it should be prepared to lose their entire investment.]
“It is a full bull run that is blowing out expectations,” said Justin Wu, founder and CEO of Growth.ly.
Korea’s Outsize Impact
Korea has been having a significant impact on the digital currency markets, something that Wu emphasized, asserting that the nation’s ban on Initial Coin Offerings (ICOs) is causing the country’s investors to flock to major cryptocurrencies such as Bitcoin.
These developments are certainly reflected on the prices that the cryptocurrency has reached across various exchanges.
Interestingly enough, while Bitcoin surpassed $14,000 on the BPI, it climbed beyond $17,000 on several Korean exchanges, including Bithumb, according to data provided by CoinMarketCap.
Crypto’s Sustained Inflows
Another development that has coincided with Bitcoin’s rise is sustained inflows into digital currencies.
The total value of these innovative assets recently surpassed $390 billion, compared to $17.7 billion at the start of the year, additional CoinMarketCap figures showed.
Bitcoin, the largest of these digital assets, recently accounted for roughly 60.5% of the cryptocurrency market.
Is Bitcoin’s Price Sustainable?
However, because Bitcoin has risen so much and so quickly, some are wondering whether its gains are sustainable.
“There’s an element of mania in bitcoin’s current bull run,” Jeff Koyen, strategic advisor for 360 Blockchain Inc., recently stated. “It’s time to hold tight and wait for the correction. Or, if you’re looking to juice up your gift budget this year, take some profits.”
Koyen wasn’t the only one who provided a cautionary note to investors.
“I believe that a correction is imminent,” stated Tariq Alwahedi, CEO of CryptoBnB, a cryptocurrency-based platform for renting.
Jacob Eliosoff, a financial algorithms programmer and digital currency fund manager, recently warned that Bitcoin has entered a bubble, and stated that its crash is inevitable.
Disclosure: I own some Bitcoin and Ether.