Since October, the rates of the most popular cryptocurrencies have skyrocketed. Experts analyzed the reasons for the growth of digital currencies for Izvestia and made predictions about the value of cryptocurrencies.
The magnification range was from 30 to 72%. Bitcoin added the most in price – by 72%, to $ 17.9 thousand.
Yuri Mazur, head of the data analysis department of the crypto platform CEX.IO Broker, expressed the opinion that the growth of cryptocurrencies is determined by the strength of an upward trend in the market, where capital flows from professional large investors and companies traded on stock exchanges. The prerequisites for a further increase in the capitalization of cryptocurrencies are very significant, the expert is sure.
Anatoly Knyazev, co-founder of the international investment company Exante, and Igor Nikolaev, director of the FBK Grant Thornton Institute for Strategic Analysis, believe that over the past month Bitcoin has supported a positive news background. Including this is due to the incoming information on vaccines against the coronavirus Pfizer and Moderna, to which the stock markets responded well.
Anatoly Knyazev believes that other reasons for the growth in the rate of cryptocurrencies are the purchase of bitcoin by such large companies as Microstrategy, Stone, the adoption of virtual money by the PayPal payment system. An effect has formed in the market, in which the behavior of investors is characterized by the fear of missing a good moment to buy. These sentiments are only amplified by statements by investment banks.
Thus, the cryptocurrency market has a number of prerequisites for growth. First, the fundamentally limited supply of bitcoin has an impact. Secondly, institutional players began to invest in cryptocurrency, in particular Grayscale, whose assets exceeded $ 8.5 billion.
Analysts expressed the opinion that cryptocurrencies will continue to rise in price.
Read the full version of the material in the Izvestia newspaper on November 19