Bitcoin keeps Hitting New Highs after Tesla Backing

Tesla: Best-Known cryptocurrency bitcoin has continued to hit record highs having broken through $50,000 (£35,700) last week. On Sunday, bitcoin hit another top rising above $58,000 it continues its strong energy this year.

Moreover, cryptocurrency is stand up more than 90% since the start of January, pushing its total market value above $1tn. The recent point has been charged by Tesla and other big companies accepting it as payment.

However, bitcoin has a track record of a wild price change and has fallen sharply a number of times since it was created in 2009. Bitcoin started the year at roughly $28,900, as per statistics from cryptocurrency news site CoinDesk. When it broke through the $40,000 mark in early January. Moreover, it activates a downward trend that saw it drop to around $30,000 by the end of the month.

However, having passed $50,000 on 16th February, it has continued its upward momentum breaking through $58,000 on Sunday.

Progress Recognized

The Bitcoin meeting has been largely motivated by well-known companies take on it as a method of payment. Elon Musk discloses last week his electric carmaker Tesla had bought $1.5bn worth of bitcoin and would be accepting it as payment for its cars in future.

On the other hand, Mastercard also plans to accept bitcoin as a form of payment while BlackRock. The world’s largest asset manager is exploring ways it can use digital currency. Moreover, the Covid-19 pandemic has also played its part in bitcoin’s price rise. As more people go online for shopping, moving further away from physical coins and notes.

Even so, critics have maintained bitcoin is less of a currency and more of a possibility trading tool that is open to market manipulation. Prominent economist and bitcoin critic Nouriel Roubini has said it has very little practical use and restriction supply a steady income like a bond or a share.