Bitcoin's market value skyrockets past US$50,000

Zhu Shenshen
The cryptocurrency's price has doubled this year after tripling in 2020. It now ranks sixth in market value.
Zhu Shenshen

Bitcoin's market value surpassed Tencent, Tesla and Facebook after its price hit a record high of around US$52,000 on Thursday. The cryptocurrency's price has doubled this year after tripling in 2020. 

Bitcoin now ranks sixth in market value, according to data from AssetDash.

Its anti-inflation value and functions have been embraced by the market, attracting more institutional investors, analysts said.

Bitcoins market value skyrockets past US$50,000
Zhu Shenshen / SHINE

Bitcoin is now sixth in market value, ahead of Tencent, Tesla and Facebook.

BlackRock, the world’s largest asset management firm, has “started to dabble” in Bitcoin, according to media reports on Thursday. 

It showed another sign of mainstream acceptance when Tesla revealed it purchased US$1.5 billion of the cryptocurrency and would soon accept it as a form of payment for vehicles.

Apple is also thinking of buying the cryptocurrency and add its related functions to its wallet feature, according to media reports.

“US$50,000 is an influential line among investors," said Xu Tong, an analyst at Huobi, a Chinese cryptocurrency trading and service platform. "It's now endorsed by listed firms and top funds."

HK-listed Huobi jumped 8.33 percent to HK$26 (US$3.33), quadruple its price in 2020.

The availability of Bitcoin is scare due to issues such as the pandemic and low interest rates. Moreover, it has high volatility, poor liquidity and limited historical data. Even with the price hike, investors face risks like drastic adjustments and a murky regulation environment, according to Kaiyuan Securities.

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