Bitcoin surpasses $50,000 for first time ever as major companies jump into crypto

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Bitcoin rose more than 3% to an all-time high of $50,389 on Tuesday, data from Coin Metrics shows.

Bitcoin hit a record high of more than $50,000 on Tuesday, continuing its blistering rally as major companies appear to be warming to cryptocurrencies.

Bitcoin has had a boost from news of large firms like Tesla, Mastercard and BNY Mellon warming to cryptocurrencies. Tesla last revealed it had bought $1.5 billion worth of bitcoin and plans to accept the digital coin as payment for its products, while Mastercard said it would open up its network to some digital currencies. PayPal and BNY Mellon have also made big moves to support crypto.sparked speculation over whether other major companies would follow suit.

“I think bitcoin is a much more stable asset class today than it was three years ago,” Michael Saylor, CEO of enterprise software firm MicroStrategy, told CNBC’s “Street Signs Asia” program on Tuesday. “It used to be dominated by leveraged retail traders … on international markets with a lot of leverage.”

“I think that starting in March of 2020, you saw institutions start to arrive and I think in 2021 you’re gonna see that trend continue,” Saylor added. “There’re enthusiasts for bitcoin as a medium of exchange … but I personally believe that the compelling use case is a store of value.”

 

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