Bitcoin’s price is once again on the rise. After a brief dip in prices earlier this year, the cryptocurrency has been on a tear in recent months, hitting a new all-time high just last week.
This rally has been driven by a number of factors, including increasing institutional adoption, a weakening US dollar, and growing interest from retail investors.
With Bitcoin’s price continuing to climb, many are wondering if we are in for another price surge like we saw in late 2017. While it’s impossible to predict the future, there are a few factors that suggest that Bitcoin could see another price boom in the near future.
One of the most important drivers of Bitcoin’s price is institutional adoption. In the past year, we’ve seen increasing interest from financial institutions and corporations in investing in Bitcoin.
Fidelity, one of the world’s largest asset managers, launched a cryptocurrency trading and storage platform for institutional investors earlier this year. Square, a payments company run by Twitter co-founder Jack Dorsey, also invested $50 million in Bitcoin last year.
These are just two examples of the growing interest from institutional investors in Bitcoin. As more and more financial institutions invest in Bitcoin, it will likely have a positive impact on the cryptocurrency’s price.
Another factor that could lead to another Bitcoin price surge is a weakening US dollar. The dollar has been losing value against other major currencies like the euro and yen recently, which has made Bitcoin more attractive to investors looking to preserve their wealth.
Lastly, retail investors remain bullish on Bitcoin despite the recent volatility in prices. A survey conducted by investment platform eToro found that 46% of millennial investors expect Bitcoin to reach $50,000 per coin within the next 5 years.
While it’s impossible to say for sure if Bitcoin will see another price boom like we saw in 2017, there are certainly some factors that suggest it’s possible. With increasing institutional adoption and a weakening US dollar, there is potential for Bitcoin’s price to continue to rise in the months and years ahead.