Bitcoin soars ahead of Coinbase listing
Cryptocurrency investors and its advocates are waiting for that historical moment when Nasdaq will flash Coinbase listing today.
The American cryptocurrency exchange founded in
2012 is gearing up for its listing while sentiments were running high across the world markets. Bitcoin hit a record of $63,199 on Tuesday, extending its 2021 rally to new heights a day prior to its listing.
The world’s biggest cryptocurrency — Bitcoin — which has growing mainstream acceptance as an investment and a means of payment, rose 5 per cent on Tuesday. Smaller rival Ethereum also reached a record high of $2,205.
Arshad Khan, chief executive officer, Arabian Bourse, said: “The listing of Coinbase, one of the world’s largest cryptocurrency exchanges, on the Nasdaq is further evidence of the normalisation of the cryptocurrency industry in the mainstream. The $100 billion valuations of Coinbase shows the potential and the positive market sentiment associated with the cryptocurrency industry at this moment in time.”
The multi-fold rise in cryptocurrencies is also driven by investors seeking high-yielding assets amid low- interest rates.
The cryptocurrency market has grown exponentially in 2021 and is now worth a staggering $2 trillion as it increasingly attracts interest from big names on Wall Street. Cryptocurrency and blockchain-related firms Riot Blockchain jumped 7.6 per cent and Marathon Digital Holdings added 5.7 per cent as bitcoin prices soared 5 per cent.
Nick Patel, director, Bank of Bullion, said: “Today, the acceptance by the mainstream shows how far cryptocurrency has come.
Slowly governments are not only moving to accept the payment, they have also launched or are in process of launching Central Bank Digital Currencies (CBDC) for their own countries. I think it’s only a matter of time before paper money becomes obsolete.”
The cryptocurrency market is increasingly attracting interest from big names on Wall Street. Dubai-based investor Khurram Shroff, said: “Individual investors, as well as financial institutions, are now realising that Bitcoin and other cryptocurrencies are like ‘digital gold’. With listings going mainstream, more applications for other altcoins will emerge, with greater frequency, and receive wider acceptance. I believe this is a turning point in history, which will kickstart several new innovations, in fintech as well as other blockchain applications.