According to Reuters, Bitcoin reached a market cap of $1 trillion on Friday, February 19. Despite the contradicting opinions of financial gurus, the cryptocurrency remains strong and keeps reaching new all-time highs. At the moment of writing, the price of Bitcoin on Coin Market Cap’s website is $56,561.
The source says that the latest cryptocurrency gains are likely a result of institutional interest in investing in BTC. There are companies like Cypherpunk and MassMutual, which bought Bitcoin in December last year. However, there are also more recent purchases by MicroStrategy and Tesla. Thus, institutional investors continue to pour funds into cryptocurrency.
On the other hand, Tesla CEO Elon Musk’s tweets about cryptocurrencies like Bitcoin and Dogecoin and the recent purchase of $1.5 billion in Bitcoin by the company do not seem to generate a wave of large institutional buys of BTC for the moment. According to Fortune Magazine, 95% of respondents in a recent survey by Gartner Finance did not suggest they have plans to buy Bitcoin this year. The source says Gartner surveyed finance executives at 77 companies, such as the CFOs, controllers, and treasurers.
Many major retailers like Microsoft, Home Depot, Starbucks, and Whole Foods accept Bitcoin as a payment method. However, the use of Bitcoin for payments is not yet widespread. Moreover, its high volatility still leaves many skeptical about its value.