Bitcoin reaches new record high and total: what is next?

As we expected, bitcoin skyrocketed amid the hype and constant news about intentions of large companies to invest in the virtual asset. Bitcoin is very close to the level of $54,000. The odds are that bitcoin will not stop there. As of 18:00 on February 19, the price of the cryptocurrency was $53.752. Apart from a new price record, Bitcoin's market value has surpassed $1 trillion, a milestone that puts the cryptocurrency in a very exclusive club.

The entire cryptocurrency market showed a meteoric rise amid such news. After the fall in the crypto market, Ethereum jumped to its usual levels and successfully consolidated there. Within a day, the asset, which is close to the recent record, is likely to break through the level of $2,000.

Ripple also gained momentum even though there were no fundamental factors for its growth. After the news about the upcoming trial between the company and the SEC, the coin fell to $0.5. However, over the past day, XRP has gained momentum growing to $0.553.

Like Ethereum, Litecoin faced some pressure due to bitcoin's growth. However, later, it also moved up. The cryptocurrency halted its growth at $232. Currently, it is rising up again.

Currently, the crypto market is literally experiencing a boom amid news about new investments in bitcoin, the use of bitcoin and other cryptocurrencies as a means of payment in different countries, as well as the start of research on new opportunities for digital assets. It seems that everything is moving according to the scenario where BTC will hit new record highs. Bitcoin is likely to reach the level of $56. Ethereum may break through the threshold of $2,000. We can expect new jumps in Litecoin as well. The growth of the cryptocurrency market will continue until the beginning of spring when a full-scale market correction may occur. It may hit altcoins especially hard.

Bitcoin is unlikely to extend large losses, roughly $4,000-5,000, but this decline will greatly affect other coins. It may also lead to investors' losses. In a situation where the cryptocurrency market is closely linked to bitcoin quotes, other coins can fall in price much more. The situation is particularly unpleasant for the Ripple token, which, in addition to the market correction, is under pressure due to the trial. Nevertheless, the correction is necessary for the further development of the cryptocurrency market. The beginning of 2021 turned out to be a landmark for the entire industry. Until recently, the crypto market barely passed the level of one trillion dollars in total capitalization, and a few months later, bitcoin alone broke this supposedly unachievable level.

The material has been provided by InstaForex Company - www.instaforex.com