It was a big day for crypto investors as the global market volume for digital assets reached $1.68 trillion in the last 24 hours.
This growth is attributed to Bitcoin’s sustained rally above $51,000 that’s been driven by a plethora of big-money investors joining the crypto space. The world-famous Motley Fool and global investments manager BlackRock were perhaps the only notable entries.
As per numbers published by Decrypt, Motley Fool announced it had “floated $5 million with a view the asset will 10x in value over the long term”.
BlackRock meanwhile, which manages $8.67 trillion worth of assets – more than the GDPs of the UK, India and Canada combined – has formerly thrown its hat in Bitcoin’s ring. The company’s chief investments officer (CIO) Rick Rieder told CNBC,
Today the volatility of it is extraordinary, but listen, people are looking for storehouses of value. People are looking for places that could appreciate under the assumption that inflation moves higher and that debts are building, so we’ve started to dabble a bit into it.
The remarks from Rieder came on the same day Bitcoin broke above $52,000 for the first time in its roller-coaster history.
Mainstream statistics suggest that the BTC is within touching distance of being valued at $1 trillion. For what its worth, Bitcoin’s stellar growth appears to have come at the expense of gold, which has lost value since July 2020.
How is crypto-related to gold?
If you didn’t know already, gold and Bitcoin used to be seen as bedfellows – safe havens during economic uncertainty.
Today, they look more like rivals, as investors with a boorish appetite for risk are betting on Bitcoin’s performance to see them through tough times instead of gold’s slow and steady stance.