Saudi Press

Saudi Arabia and the world
Saturday, Feb 22, 2025

Bitcoin surges above $15,000 and is closing in on record

Bitcoin surges above $15,000 and is closing in on record

Bitcoin soared more than 7% Thursday and was trading above $15,000 — its highest level in nearly three years — as mainstream interest in the cryptocurrency builds and the US dollar weakens.

The value of one bitcoin has more than doubled in 2020. The gains have been particularly dramatic in the past few weeks, with bitcoin rising 40% since early October.

If bitcoin continues to surge, it may not be long before the cryptocurrency finally tops the all-time high of just under $20,000, reached in December 2017.

In addition to the dollar weakening, bitcoin has benefited from more mainstream companies like PayPal (PYPL)and Square (SQ) embracing cryptocurrencies as a viable payments options and investments.

"Nothing is stopping it from going to the 2017 high," said Bill Noble, chief technical analyst with research firm Token Metrics, in an email to CNN Business.

"Everybody is afraid to miss out, and that drives the price."

Lingering uncertainty about the outcome of the presidential election may also be fueling the recent bitcoin spike, Noble added. Investors may be fleeing the dollar and buying bitcoin.

The US Dollar Index, which tracks the greenback versus the euro, yen and several other major currencies, is down about 1.5% so far this week.

Inflation hedge and beneficiary of weaker dollar


Bitcoin, along with gold, may remain momentum bets for investors looking to take advantage of continued dollar weakness. Gold prices, which hit a record high above $2,000 an ounce earlier this year, are up about 30% in 2020.

"The bitcoin and gold rally has been happening all year along with dollar weakness. It's a longer-term trend," said Jeff Mortimer, director of investment strategy for BNY Mellon Wealth Management, in an interview.

With all this in mind, Alex Mashinsky, CEO of cryptocurrency lending firm Celsius Network, is even more bullish on bitcoin.

"Not only is $15,000 going to happen, but I stand by my predictions from the beginning of the year that [bitcoin] will see all new highs before 2021," Mashinsky said in an e-mail.

The rise in bitcoin this year is all the more remarkable when you consider that prices plunged below $5,000 in mid-March during the height of Covid-19 pandemic worries in mid-March.

"Bitcoin comes out stronger after each challenge," said Michael Sonnenshein, managing director of Grayscale Investments, a digital currency asset management firm. "People are looking at bitcoin as a store of value and inflation hedge."

Coronavirus is only making bitcoin even more popular as an investment option.

According to a survey of 1,000 US consumers during the summer by a market research firm on behalf of Grayscale, nearly 40% said that the Covid-19 crisis made bitcoin more appealing as an investment.

Sonnenshein said the realization that bitcoin is probably better as an investment than as an actual form of payment is key to its continued success.

"There used to be a prevalent narrative that because bitcoin is not something you'd go to the store to buy a latte with, it's failed. That's no longer the case," Sonnenshein said.

Newsletter

Related Articles

Saudi Press
0:00
0:00
Close
Saudi Arabia and the United States Strengthen Ties Amid Global Developments
Saudi Arabia Hosts Global Conference to Promote Islamic Unity
The Impact of Artificial Intelligence on Education and Child Development
Saudi Arabia Announces Competition for Best Founding Day Outfits
Saudi-EU Food Security Officials Hold Talks to Strengthen Collaboration
Putin Expresses Gratitude to Saudi Crown Prince for Hosting US-Russia Talks
UK and Saudi Arabia Enhance Collaboration in Innovation and Technology
Denmark's Embassy in Riyadh Showcases Danish Cuisine with Saudi Influence
Saudi Artist Salman Al-Amir Unveils 'Tafawut' Exhibition in Riyadh
Saudi Arabia Offers Condolences to Kuwait Following Military Exercise Fatalities
Saudi Ministry of Islamic Affairs Completes Ramadan Preparations in Madinah
Etidal Secretary-General Hosts UN Counter-Terrorism Director in Riyadh
ADNOC Drilling Targets Over $1 Billion in Investments for 2025 Amid Gulf Expansion Plans
Derayah Financial Achieves Remarkable Growth in Saudi Brokerage and Asset Management
Saudi Arabia Shortlists 30 Firms for Mining Licenses in Eastern Province and Tabuk
Saudi Foreign Minister Engages Counterparts at G20 Meeting in Johannesburg
Oil Prices Decline Amid Rising US Inventories
Saudi Arabia's NDMC Plans Green Bond Issuance by 2025
Moody’s Affirms Egypt’s Caa1 Rating Amid Positive Economic Outlook
Oman and Saudi Arabia Strengthen Economic Ties with New Agreements
Saudi Arabia Investments Propel Expansion of Qurayyah Power Plant
Saudi Capital Market Authority Advances SPACs and Direct Listings
Global Energy Leaders Gather in Riyadh for Symposium on Energy Outlooks
Al-Ahsa Region Sees 500% Growth in Tourism as Saudi Arabia Prioritizes Development
Saudi Arabia Advances Entrepreneurial Ecosystem in Al-Ahsa with New Agreement
King Salman Approves Official Saudi Riyal Symbol
Saudi Credit Card Lending Reaches $8.4 Billion Amid Digital Payment Expansion
King Salman Approves Official Symbol for Saudi Riyal
Putin Thanks Saudi Crown Prince for Facilitating U.S.-Russia Discussions
Saudi Foreign Minister Attends G20 Meeting in Johannesburg
Saudi Arabia Prepares for Nationwide Founding Day Celebrations
Inauguration of Hira Park and Walkway Enhances Jeddah's Urban Landscape
Crown Prince Hosts Leaders for Informal Meeting in Riyadh Amid Gaza Rebuilding Plans
Saudi Official Highlights Achievements and Media's Role in National Transformation
Three Expatriate Women Arrested for Prostitution in Riyadh
Saudi Arabia's Diplomatic Evolution Highlighted at Saudi Media Forum
Healthy Eating and Preparation Essential for Ramadan Fasting
Saudi Arabia and Japan Forge Sustainable Textile Partnership
Advanced Limb Surgery Restores Mobility in Pediatric Cancer Patient
Jeddah Event Explores AI's Role in Boosting Saudi Arabia's SME Sector
UN Representative Highlights AI's Role in Perpetuating Gender Stereotypes
Saudi and Jordanian Leaders Discuss Enhanced Security Cooperation in Amman
Saudi British Society Honors Cultural Bridge-Builders at London Gala
Saudi Media Forum 2025 Explores AI's Role in Modern Journalism
Saudi Arabia's Saqer Al-Moqbel Appointed as WTO General Council President for 2025–2026
Saudi Deputy Ministers Engage in Diplomatic Discussions with U.S. and Dutch Officials in Riyadh
Saudi Arabia to Launch Iftar Program in 61 Countries During Ramadan
Saudi Visitors Expected to Spend £942 Million in UK During 2025
Saudi Arabia Gifts Kaaba's Kiswah to Uzbekistan's Center of Islamic Civilization
Digital Cooperation Organization Concludes Fourth General Assembly with Multiple Agreements
×