Bitcoin Crosses $50K: The Start of Another Bull Run?

Bitcoin Crosses $50K: The Start of Another Bull Run?

Bitcoin tops $50,000 in 2021. Is it an indicator of a bullish market and a run towards a record high? Find out with Empirex Capital!

Overcoming July's bearish market was a tough task, when the total crypto market capitalization dropped below $1.3 trillion. However, the increasing adoption in the space, along with the slow but steady market growth over the past month, has led to the crypto market capitalization standing over $2.2 trillion today.

The last time Bitcoin touched $50,000 was February 2021, and from that point until the initial days of May, a bullish run was witnessed as BTC broke all previous records to achieve an all-time high of $64,829.14.

As of Aug.23, 2021, Bitcoin stands at $50,226.19. The crypto market is currently in an upward trend and another bull run is on the cards.

Here are some reasons why the bullish trend might continue in the upcoming weeks.

Covering the Losses of the Crypto Holders

With the brutal dip of the crypto markets that started back in May 2021, a lot of crypto traders lost a major chunk of their crypto valuations. While many traders (especially new ones) with FOMO (Fear of Missing Out) liquidated their crypto assets, experienced investors and the whales of cryptocurrencies held on. After Bitcoin dropped below $30,000 in July 2021, it began to rise slowly and the bullish run started which has now taken BTC above $50,000.

Now, the traders who had their cryptocurrencies devalued due to the bearish market may continue to hold — this sentiment is affirmed by the Crypto Fear & Greed Index, which has increased from 70 to 79 in a matter of days.

The majority of the cryptocurrency market is up and running, thanks to the rise of Bitcoin above $50,000. Some market analysts are even speculating that BTC could break its all-time high, which currently stands at $64,829.14.

Acceptance by Major Institutions

You’ll be surprised to know how many financial institutions and major tech companies bought Bitcoin in the bearish market of February-May 2021. Elon Musk, the owner of Tesla, began to allow Bitcoin payments, despite halting this program momentarily due to environmental concerns.

The biggest news of Bitcoin acceptance in 2021 came from Latin America — El Salvador became the first country to accept Bitcoin as a legal form of payment.

All of this happened, despite a (relatively) bearish Bitcoin market, which goes to show that the amount of investors behind Bitcoin is increasing, hoping for it to continue the current bull run and even cross $100,000 by the end of this year!

Created on 25th Aug 2021