[ad_1]
As the results fluctuated for days during the US election, Bitcoin has emerged as a clear winner. The major cryptocurrency reached highs above $ 15,000, before retreating slightly when the media announced that Joe Biden will join the White House.
The cryptocurrency rally was accompanied by a weakening dollar, which fell on expectations President-elect Biden will push through more stimulus measures for the coronavirus. This prompted the S&P 500 to offer its best week since April with 7% gains, but Bitcoin stole the show with a 13% rise.
Elsewhere, the rally was supported by more bullish news. Demand has increased for PayPal’s crypto products and central banks around the world also in Canada, Thailand and Brazil they are pursuing plans for digital currencies.
The highlights of this week
- Ethereum staking launch
- Institutions release gold for Bitcoin
Ethereum staking launch
This week marked a monumental milestone for Ethereum, which has come one step closer to the launch of Ethereum 2.0.
In a blog post Wednesday, the Ethereum Foundation announced that Ethereum 2.0 will finally be available from December 1st and that the staking contract is now available. Since then, nearly 50,000 ETH has been deposited by budding stakers looking to help support the network.
Ethereum staking will be supported on eToro, along with existing support for Cardano and Tron.
Institutions release gold for Bitcoin
Bitcoin is consuming institutional demand for gold, according to a report by JPMorgan.
Data from the investment bank shows that funds have exited gold ETFs as demand has increased for Grayscale’s Bitcoin Trust, suggesting that family offices and asset managers increasingly see Bitcoin as a better alternative than metal yellow.
In similar news, veteran investor Bill Miller told CNBC on Friday that Bitcoin’s staying power improves “every day” and that “every major bank” will eventually have exposure to Bitcoin or a similar asset.
Next week
After making big gains for five consecutive weeks, Bitcoin is nearing its all-time high. However, as the price rises, the crypto sentiment indicator is teetering towards extreme greed, suggesting a pullback may be in store.
However, with the pandemic still on the rise and the dollar weakening due to accommodative monetary policy, traders are likely to continue to seek alternative value stores such as Bitcoin.
If the rally continues, the next resistance level is at $ 16K. On top of that, Bitcoin faces the final test at the 2017 high of just under $ 20K.
This content is sponsored and should be regarded as promotional material. The views and statements expressed herein are those of the author and do not reflect the views of The Daily Hodl. The Daily Hodl is not a subsidiary of or owned by ICOs, blockchain startups or companies that advertise on our platform. Investors should do their due diligence before making high-risk investments in ICOs, blockchain startups, or cryptocurrencies. Please note that your investments are at your own risk and any losses you may suffer are your own responsibility.
