- Bitcoin finally broke $20,000 yesterday, almost three years to the day since its last all time high
- Bitcoin topped out at $22,420, convincingly beating its prior high
- Predictions have already started to come in about the next bull run
Bitcoin shattered its all-time high yesterday, which had stood in some cases for two weeks and in others for three years, as it blasted through $20,000 to hit $22,420 in the early hours of this morning. In typical style, both Binance and Coinbase crashed as Bitcoin made its record breaking move, which occurred just one day short of Bitcoin’s previous all-time high on December 17, 2017. The move officially ushers in a new era for Bitcoin, with thoughts now turning to where it might go from here.
Bitcoin Breaks Through After Days of Trying
Bitcoin had experienced difficulty in cracking $20,000 since approaching the area on November 24, getting beaten back on several occasions, but the pressure finally told yesterday as Bitcoin printed a glorious run of 4HR candles to not just break through but obliterate its prior all time high, with no exchange left standing:
Indeed, exchange functionality was also obliterated in Bitcoin’s record-breaking run, with Coinbase and Binance both experiencing connectivity issues, and not for the first time.
Bitcoin’s record move received worldwide press attention, as well as being noted from a variety of public figures:
One word: Bitcoin.
— Edward Snowden (@Snowden) December 16, 2020
It likely wasn’t coincidence that Bitcoin’s all time high the same day that yet another institution, One River Digital Asset, had committed to owning $1 billion worth of Bitcoin and Ethereum by “early 2021”. This news came just days after investment firm Ruffer announced a purchase of $740 million worth of cryptocurrencies and news of a $900 billion stimulus package was said to be announced Friday.
This perfect storm of technical and fundamental factors means that it was almost inevitable that Bitcoin would break all-time highs sooner rather than later.
Thoughts Turn to the Future
With all time highs now taken out, thoughts will naturally turn to where Bitcoin goes from here. For the first time since 2017 there is nothing but fresh air above, with the crucial difference here being that Bitcoin is just at the start of its bull run rather than at the end.
Real Vision founder Raoul Pal stated his belief that a “10x is more than realistic” for Bitcoin on the back of the move, while Scott Minerd, Global Chief Investment Officer of Guggenheim, claimed that their “fundamental work shows that Bitcoin should be about $400,000”.
While such predictions should of course be taken with a grain of salt, what we do know is that the next couple of years should be very interesting indeed.
