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Bitcoin returns to favor, costs nearly 16. USD

Bitcoin returns to favor, costs nearly 16. USD

created Michał SielskiNovember 6 2020

Over 15,8 thousand You had to pay USD on the night of 06.11.2020/XNUMX/XNUMX for one Bitcoin (BTC). This is the highest price since the beginning of 2018, when cryptocurrencies were record-breaking. Experts say digital currencies, once considered extremely speculative and worthless assets, are slowly becoming a safe haven in times of pandemic and uncertainty over the US elections.

In the past week, the price of Bitcoin (BTC) increased by over 15%. On Friday, November 06.11.2020, 15,5, you had to pay PLN 2018 thousand for it. USD. This is the highest number since January 20. Back then, however, there was a cryptocurrency rush in the world. Many did not even know what and why they were buying, the prices of all tokens grew, even those whose creators directly said that they were made for a joke. Currently, growth takes place on a smaller volume, with no jumps, and the recovery has been visible for several weeks. The first resistance seems to be the price of 2017. USD, listed at the end of XNUMX.

bitcoiin chart 2020

Bitcoin chart, D1 interval. Source: xNUMX XTB.


Why is Bitcoin price rising right now?

There are as many answers to this question as there are analysts. Some argue that this is due to the uncertainty surrounding the Sars Cov-2 pandemic. However, it has been going on since at least March, and at that time, cryptocurrencies experienced better and worse periods. During the first wave of the coronavirus, the BTC price dropped to around 5. USD.

Others believe that the cause may be the confusion around the US presidential election, where it is still unknown who won, and especially Donald Trump announces a court fight for every vote and suggests that the election was rigged. This influences investors' uncertainty and is expected to influence their return towards cryptocurrencies. Certainly, cryptocurrencies strengthen Joe Biden's increasing chances, because the current US president, Donald Trump, explicitly admits that he is not a fan of cryptocurrencies and should be more regulated.

Simon Peters, Analyst eToro platforms instead, it states that there may be another cause.

“Bitcoin’s growth is driven by concerns about economic stimulus packages. Successive printing of money only depreciates traditional currencies in the world. As central banks announce their plans to pump money into economies,  many cryptocurrency investors see this as a strong signal to buy Bitcoin. All these reprints weaken both the US dollar and the British pound, and the confidence in fiat currencies in general. Cryptocurrencies will not be printed suddenly " - highlights Simon peters in an interview with CNBC.

Hossa on the Bitomats market

Increases in cryptocurrency rates are associated with a boom in the Bitomats market - i.e. ATMs where you can buy and sell Bitcoins. The number of these devices is growing steadily around the world, but has never increased as fast as in the last two years. Suffice it to say that in 2018 there were a total of 2 in all countries of the world. Bitomats. In January 2019, this number doubled and there were already 4100 operating devices. At the end of 2019, there were already 6400 Bitomats, and at the end of 2020, we are talking about 11500 devices in operation, and more are installed practically every day. And these are not individual machines. In September 2020, almost 1000 new Bitomats were created, which have found their place in the public space. In 2020, as many Bitomats were installed as have been launched since the first day of BTC creation, i.e. in the entire history of cryptocurrencies.

The largest number of Bitomats is in the USA, where there are over 9300 of them. So far, there are 81 devices in Poland, mainly in shopping malls.

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About the Author
Michał Sielski
Professional journalist for over 20 years. He worked, among others, in Gazeta Wyborcza, recently associated with the largest regional portal - He has been present on the financial market for 18 years, he started on the Warsaw Stock Exchange when the shares of PKN Orlen and TP SA were just being introduced to the market. Recently, his investment focus has been exclusively on the Forex market. Privately, he is a parachutist, a lover of Polish mountains and a Polish karate champion.