Bitcoin shatters gold again, as Elon Musk, Microstrategy backing continues to aid crypto

Bitcoin shatters gold again, as Elon Musk, Microstrategy backing continues to aid crypto

- Bitcoin breaks $55,000 mark as more investors embrace bitcoin in Nigeria

- Bitcoin surpasses Gold, becomes the most valuable asset class among investors

- Tesla, Microstrategy-backing legitimise bitcoin amid scheme fears

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Twice in two months, Bitcoin value has shot past Gold as the most valuable asset for investors. On Wednesday, Bitcoin's price surpassed the worth of Gold kilogram-size having broken the $55,000 mark.

Legit.ng had reported on Tuesday that Bitcoin is close to breaking Gold's hold as the most valuable asset among investors community. Then, Bitcoin had hit 54,260, while Gold was selling for $54,763.

As of the time of filing this report, Bitcoin's current price is $55,388 on Coindesk but in the last 24hours, the digital asset had traded as high as $55,812, which is about $764 higher than the Gold kilogram price.

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As at last checked, Gold kilogram sold at $55,048 on Goldprice. This is the third time in four years Bitcoin will value more than Gold. The first was in March 2017, the second was in February 2021 - the third is on Wednesday, March 10.

Bitcoin has continued to prove it is not a scheme, but a real investment asset, as financial regulators across the world has remained suspicious about the most popular cryptocurrency.

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Monetary policy regulators have continued to caution investors to be wary when investing in Bitcoin and other cryptocurrencies. The Central Bank of Nigeria (CBN) had gone the extra length of barring banks from partnering with cryptocurrency exchanges.

The apex bank had directed deposit money banks and other financial institutions to close every account linked to cryptocurrency transactions. The CBN Governor, Godwin Emefiele, had stated that cryptocurrency is used to fund criminal activities.

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Bitcoin shatters gold again, as Elon Musk, Microstrategy backing continues to aid crypto
Bitcoin shatters gold again, as Elon Musk, Microstrategy backing continues to aid crypto. Photo: Angel Garcia Bloomberg via Getty Images
Source: Getty Images

He said cryptocurrency is being used for money laundering and no serious businessman or investors want to be associated with cryptocurrency. Although, despite the ban, Nigerians have continued to use Bitcoin, with about $25 million worth of Bitcoins traded last more.

Nigerians have embraced bitcoin and altcoins as a form of growing wealth than a channel to store their value. But Bitcoin's momentum has served both purposes for investors willing to hold for long or investors in short position.

Although, prominent investors like Elon Musk, founder of Tesla, Michael Saylor of Microstrategy, and Twitter founder, Jack Dorsey, have pushed bitcoin as a store of value like Gold, reason Tesla and Microstrategy have added Bitcoin to their balance sheet.

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While companies like PayPal have created a business unit focused on cryptocurrency and also about to acquire Israeli-based Curv, a digital asset custody company. The inclusion of bitcoin and other cryptocurrencies into core business have been legitimising cryptocurrency stand in the asset class.

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Meanwhile, Legit.ng had earlier reported that Flutterwave, a payment platform that allows fiat and bitcoin payment, raised $170 million from PayPal, Avenir Growth Capital and Tiger Global, and nine others.

The $170 million raised by Flutterwave increased the company's valuation to $1 billion, making the Nigerian-based payment startup a unicorn.

Fakoyejo Olalekan is a Business and Financial Journalist with over three years of experience in covering finance and business activities within Nigeria and offshore. Prior to joining Legit.ng, he worked at Nairametrics where he wrote financial and investment analysis articles. Olalekan is a resourceful and result-driven journalist with a track record for conducting extensive research and interviews to produce articles that provide different perspectives to market activities.

Source: Legit

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