Last week, the world’s biggest cryptocurrency Bitcoin hit yet another record high price – more than $66,000. Since 2021’s beginning, Bitcoin has notched up several records and it has never left the headlines. Even though Bitcoin’s subject to volatility, it continues to draw in more and more investors, despite the fact that it’s the most expensive cryptocurrency. While Bitcoin has some competition in the form of Ethereum, the fact is that investors see way more potential in Bitcoin than in Ethereum. Let’s take a look at the reasons why:
- Value of market cap: Investors are quite cautious of the market cap value of an asset before investing in it. Simply but, a market cap that’s high indicates that there’s greater presence of the asset in the market. In terms of market cap value, no one comes close to Bitcoin. With more than $1 trillion market cap, Bitcoin is seen as the best cryptocurrency to invest in.
- Most valued crypto: In terms of the most valued cryptocurrency out there, Bitcoin is in a league of its own. Presently, the price of one Bitcoin is around $59,000, while the price of one Ethereum token is $4,041. The price of a cryptocurrency is indicative of the gains that current investors have made, which is why Bitcoin is more attractive for investors.
- Scarcity: Only 18 million Bitcoins are available at present, and its production has a 21 million cap. This means that as we move into the future, Bitcoin will grow more scarce, which will only lead to its value increasing.
- Celebrity endorsements: A lot of celebrities are now coming out about their interest in digital currencies. For example, in India, popular actors such as Salman Khan and Amitabh Bachchan have embraced and endorsed blockchain tech – the tech that powers Bitcoin.