Bitcoin (BTC) continues its glowing rally over the holiday weekend, topping $ 27,000 on December 27th. Additionally, Bitcoin’s market capitalization surpassed half a trillion dollars for the first time.
BTC / USD Hourly Candle Chart (Bitstamp). Source: trade view
Bitcoin’s market capitalization exceeds $ 500,000,000,000
Bitcoin’s new record highs are less than three days after breaking the resistance at $ 24,000. It also means that BTC price has doubled in the past two months after winning nearly $ 10,000 in December alone.
Bitcoin’s market cap is now also over $ 510 billion. This puts Bitcoin just below Warren Buffett’s Berkshire Hathaway, the tenth largest company in the world. It does so less than a day after Visa’s market cap crosses.
As Cointelegraph reported, this weekend’s surge has put the price of Bitcoin above the average trendline of the popular stock-to-flow model (around $ 24,900), which forecasts a target of $ 100,000 by December 2021.
At the same time, the current bull cycle seems different and more sustainable than 2017, as many traders expect more upside potential in the months ahead. The reasons for this are a rapid institutional buy, stronger fundamentals, less supply on exchanges and still relatively little interest from retail buyers.
Google searches for “Bitcoin”. Source: Google Trends
That doesn’t rule out the possibility of larger withdrawals in the near future, however, especially since BTC price at $ 30,000 appears to be dampening the closest psychological resistance.
“Vertical movements often end in a quick correction (remember Summer ’19)? These quick corrections are made to establish a lateral range,” warned Michael van de Poppe, analyst at Cointelegraph Markets, on December 27th. He added:
Don’t let a fix chop you off. The bull market will last longer. Have a longer horizon.