The value of Bitcoin has surged beyond the important psychological level of $30,000, continuing its bullish trend since the start of this year. Almost ten months ago, in June 2022, BTC last reached these levels.
According to Bernstein analysts, bitcoin is similar to a “faster horse” compared to gold, highlighting its dominance in cryptocurrencies.
Bitcoin Above $30,000
After weeks of disappointing price performance, BTC has finally started to show signs of recovery. March’s banking turbulence in the US seems like a distant memory now, so BTC has crossed the $30,000 mark for the first time since June 2022. CoinGecko reports BTC trading at $30,128.61, a 6.5% increase over the past 24 hours.
Bitcoin has been making steady gains this year and has risen by almost 80% year-to-date. Starting around $16,700, BTC has fought back from a tumultuous year in the crypto market, including the collapse of Sam Bankman-Fried’s empire.
Bitcoin’s impressive price hike has not gone unnoticed by other cryptocurrencies. Ether, the second-largest cryptocurrency by market capitalization, has also experienced a 3.5% increase over the past day, with a value of $1,923.72.
Even Dogecoin, the meme-based cryptocurrency that recently gained significant attention due to Elon Musk’s endorsement, has seen a modest rise of 3.2%. It is currently trading at $0.0855.
Bitcoin vs. Gold
Bitcoin has outperformed gold by a significant margin this year, despite the closure of two of the biggest lenders, Silvergate and Signature Bank, to the cryptocurrency industry.
Gold, which is typically considered an inflation hedge and a safe haven asset, has only seen a modest 3% increase in its value in 2023.
According to Bernstein analysts, it is an irrational decision to favor gold over Bitcoin. They stated that preferring gold to Bitcoin is like disliking a faster horse. Nevertheless, bitcoin still has a long way to go to reach its historic high of $69,044.77, achieved in November 2021.