Bitcoin has broken its all-time record again as it has hit over $51,000 Â on Wednesday as more mainstream companies have started accepting the digital currency.
The world’s largest cryptocurrency continued its rally after breaking the $50,000 valuation last Tuesday as it rose to $51,715 at around 4:50 a.m. ET, according to data from Coin Metrics.
Bitcoin’s market value has gotten a boost after major firms like Tesla and Mastercard have earlier showed support to digital currencies with Tesla announcing it had bought $1.5 billion worth of bitcoin and plans to accept the digital coin as payment for its products.
Mastercard, meanwhile, said it will start allowing customers to use some digital currency on its network later this year while another financial service provider PayPal have opened up to using and supporting cryptocurrencies.
Even Wall Street players and banks have expressed acceptance of bitcoin with JPMorgan recently announcing it is looking seriously at the asset class, and Goldman Sachs has also shown an interest in the digital currency.
America’s oldest bank, the Bank of New York Mellon, also announced that it plans to issue, hold, and transfer clients’ bitcoin as part of its warming up to bitcoin and bringing it up in the mainstream banking industry.
Twitter founder Jack Dorsey’s fintech company Square and MicroStrategy also announced last year that they are mulling the use of corporate cash to purchase bitcoin.
Bigtime asset manager BlackRock has also authorized two of its funds to invest in bitcoin futures, according to January filings with the Securities and Exchange Commission.
The $8.7 trillion asset manager said it could use bitcoin derivatives, among other assets, under the BlackRock Strategic Income Opportunities and the BlackRock Global Allocation Fund.
However, many financial analysts say that the world’s largest cryptocurrency that was created in 2009 remains more volatile for investments compared to gold which is more stable as a hedge to the ongoing shaky markets brought about by the Covid-19 pandemic.
The cryptocurrency has also been on a steady rise with a 72% increase in market value this year.
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