Bitcoin soars past key milestone
The world's leading cryptocurrency is continuing its monumental rise surpassing the $US120,000 ($AU182,000) mark for the first time, up 3.11 per cent to $122,643 ($AU186,708) during Monday's trading.
The jump in Bitcoin's price comes as the US House of Representatives begins deliberating a series of Crypto bills on Monday, dubbed 'Crypto Week.' Bitcoin surpasses a key milestone. Close-up generic Credit: istock
One of the most significant bills under consideration is the Genius Act, which could establish federal guardrails for the US dollar to be pegged to stablecoins and provide the pathway for private businesses to issue digital dollars.
The aim of the laws is to provide a clearer regulatory framework in the US for the digital asset industry.
eToro market analyst Josh Gilbert said investors were bringing into exchange traded funds on the back of US policy makers.
'Strong ETF inflows and a solid macro backdrop have helped drive market momentum and that momentum keeps driving new all-time highs,' he said.
'The pace of gains in recent weeks reflects not just growing demand, but the growing maturity of bitcoin as an asset class.'
Mr Gilbert said publicly traded companies are starting to adopt bitcoin as part of their treasury strategy in some instances taking out billion dollar stakes in the coin.
'At the same time, retirement funds and sovereign wealth funds are starting to gain exposure through ETFs, adding to the wave of demand chasing a fixed supply.
'Central banks keep running expansive monetary policies and global money supply keeps rising. Crypto Week is helping to drive interest in Bitcoin. NewsWire / Andrew Henshaw Credit: News Corp Australia
He also said inflation was helping to drive investors' interest.
'In that environment, an asset with fixed, decentralised supply cements itself as an alternative store of value,' Mr Gilbert said.
'Bitcoin as an asset in an investment portfolio is still in its infancy, and that in itself creates a huge opportunity for bitcoin and crypto to flourish over the next decade,' he said.
'This is just the beginning of widespread adoption, seamless integration with traditional finance, and robust regulatory frameworks.'
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