Bitcoin has reached the US$50,000 mark for the first time in over two years, fuelled by expected interest rate reductions and recent U.S. regulatory approval for exchange-traded funds tracking its price.
So far this year, the cryptocurrency has increased by approximately 16.3%. It attained its highest level since December 27, 2021, on Monday, and by 7.31pm SAST, bitcoin had risen 5.58%, reaching $50,196. In South African rand, it exceeded the R950,000 level, nearing its all-time record in local currency.
Antoni Trenchev, co-founder of crypto lending platform Nexo, noted that reaching $50,000 was a significant milestone for bitcoin, following a 20% sell-off after the launch of spot ETFs last month.
On Monday, crypto-related stocks also saw a boost, with Coinbase increasing 4.86%, and Riot Platforms and Marathon Digital rising 11.9% and 13.7% respectively. Shares of MicroStrategy, a major bitcoin buyer, also increased 11.7%.
