Why Has Bitcoin's Price Surged

Why Has Bitcoin’s Price Surged in the Last Three Months?

Latest News
Tags: Bitcoin price, Bitcoin trading

In the last three months, Bitcoin’s price has surged, intriguing both investors and market analysts. The reasons for this increase can be attributed to several key factors:

  • Institutional Adoption
    Growing interest and investment from institutional players.
  • Economic Uncertainty
    Global economic uncertainties are driving investors towards alternative assets.
  • Technological Developments
    Advancements in blockchain technology and the increased utility of Bitcoin.

Buy Bitcoin with our trusted cryptocurrency brokers!

Total Fees
Visit Provider
CFDs: Crypto, Indices, Forex, Commodities, Shares, Options, ETFs
  • Support 24/7
  • Fast and reliable order execution
Tight Spreads
No internal deposit fee
• FX • Metals • Indices • Cryptocurrencies • Stocks • Energies
  • Priority Customer Support
  • Exclusive educational materials
  • Enhanced trading analytics
  • Dedicated account manager
Tight spreads starting from 0.0
Depending on payment method
vantage fx
49 global currency pairs, commodities, index CFDs, stock CFDs, ETFs, metals, commodities, energy
  • Open an account in under 5 minutes
  • Trade at home or on the go with MT4/MT5 or phone app
  • Low minimum deposit of $50
Tight Spreads
1:1 – 30:1
No fees
moneta markets
1000+ financial instruments, including Foreign Exchange, Commodities, Indices, Share CFDs, Cryptos, ETFs, and Bonds
  • ECN spreads from 0.0 pips
  • Moneta Markets has regulatory status in one tier-one jurisdiction
  • 3 platforms: MT4, MetaTrader app and next-gen ProTrader
$3 per side for every 100,000 units
70 crypto-pairs, 49 forex pairs (usdzar as well), 5 metals, 26 Indices, 130 stocks, 6 oil and gas, 6 agriculture assets
  • instant registration allowing access to your account
  • usability of the platform
  • almost all popular trading underlying assets in one platform
Spreads from 0.00
3% + inactivity fee

Institutional Adoption

One of the primary drivers of the fact that Bitcoin’s price has surged is its growing institutional adoption. Large-scale investors, including hedge funds, banks, and even publicly traded companies, have started to view Bitcoin as a viable investment. This shift is a significant change from the earlier skepticism that surrounded digital currencies. Institutional investments not only bring in large volumes of capital but also add legitimacy and stability to the market. As these institutions incorporate Bitcoin into their portfolios, it sends a strong signal to retail investors about the long-term viability of Bitcoin as an asset class.

Economic Uncertainty

The second major factor influencing Bitcoin’s price is the prevailing economic uncertainty. Amidst concerns about inflation, particularly in the wake of the COVID-19 pandemic, and the instability of traditional financial markets, investors are increasingly looking at Bitcoin as a hedge against economic downturns. Bitcoin is often referred to as “digital gold” because, like gold, it is seen as a store of value in times of economic turmoil. Its finite supply also makes it an attractive option for investors looking to protect their portfolios from inflation.

Technological Developments

Finally, technological advancements in the blockchain sector have played a crucial role. The increasing utility of Bitcoin, improvements in blockchain infrastructure, and the advent of concepts like decentralized finance (DeFi) have all contributed to its growing appeal. As the technology becomes more user-friendly and accessible, Bitcoin’s use cases have expanded beyond mere speculation, encompassing areas like cross-border transactions and smart contracts. This increase in practical applications has attracted a new wave of users and investors, further driving up demand and, subsequently, its price.

In conclusion, Bitcoin’s recent price increase can be attributed to a combination of institutional adoption, economic uncertainties, and technological developments in the blockchain space. These factors have collectively bolstered investor confidence, leading to the current surge in Bitcoin’s valuation. As the digital currency landscape continues to evolve, these trends are likely to further shape Bitcoin’s trajectory in the financial markets.

Our recommendation:
Invest with Plus500

Broad asset selection in equities and options
Free and unlimited demo account
Advanced free-of-charge analytical trading tools
Global and regulated fintech platform