Bitcoin eyes $10,000 milestone as ‘mesmerizing’ performance continues – MarketWatch what is a bitcoin

Bitcoin has gone from $8,000 to $9,000 in just seven days, according to coindesk, for its fastest 1,000-point rally ever.

Wilson explained that the CME group’s

CME, +1.45% decision in late october to launch bitcoin futures in december “undoubtedly fueled” further buying in the currency.

“the legitimacy this gives bitcoin as a tradeable asset is very important,” wilson said.

On monday, the market cap of bitcoin on monday stood at around $161 billion, data from coinmarketcap showed. The total market value for the cryptocurrency market on sunday topped $300 billiion for the first time ever.

Alongside bitcoin’s meteoric rise have come fears that the cryptocurrency’s swift surge is a bubble. Unlike the dollar and other national currencies, cryptocurrencies aren’t back-stopped by a government.

Nor do they represent physical assets.What is a bitcoin however, fans of crypto argue that they represent a new way of finance.

Read: here’s what everyone is getting wrong about the cryptocurrencies craze

And see: jim rogers says bitcoin ‘looks and smells’ like all other investment bubbles

Wilson noted that for traditionalists, the rise of bitcoin is hard to understand.

“rather than a commodity or currency, bitcoin is like owning stock in a company that will only ever issue 21 million shares and never pay a penny in dividends. The only way it has value is if the next guy is willing to pay you more for it — the greater fool. With no intrinsic value to bitcoin, it’s hard to see this as anything other than a giant speculative bubble,” he said.

Bitcoin has gone from $8,000 to $9,000 in just seven days, according to coindesk, for its fastest 1,000-point rally ever.What is a bitcoin

Wilson explained that the CME group’s

CME, +2.49% decision in late october to launch bitcoin futures in december “undoubtedly fueled” further buying in the currency.

“the legitimacy this gives bitcoin as a tradeable asset is very important,” wilson said.

On monday, the market cap of bitcoin on monday stood at around $161 billion, data from coinmarketcap showed. The total market value for the cryptocurrency market on sunday topped $300 billiion for the first time ever.

Alongside bitcoin’s meteoric rise have come fears that the cryptocurrency’s swift surge is a bubble. Unlike the dollar and other national currencies, cryptocurrencies aren’t back-stopped by a government. Nor do they represent physical assets. However, fans of crypto argue that they represent a new way of finance.

Read: here’s what everyone is getting wrong about the cryptocurrencies craze

what is a bitcoin

And see: jim rogers says bitcoin ‘looks and smells’ like all other investment bubbles

Wilson noted that for traditionalists, the rise of bitcoin is hard to understand.

“rather than a commodity or currency, bitcoin is like owning stock in a company that will only ever issue 21 million shares and never pay a penny in dividends. The only way it has value is if the next guy is willing to pay you more for it — the greater fool. With no intrinsic value to bitcoin, it’s hard to see this as anything other than a giant speculative bubble,” he said.