At the time of writing this article, Bitcoin was trading at $26,721.25, commanding a market cap of $496.89 billion. If Bitcoin is regarded as an enterprise, then it will be the 11th largest firm next only to Berkshire Hathaway, which is owned by legendary stock market investor Warren Buffett.
Some professionals argue that comparing Bitcoin and Visa is not apt as they are fundamentally dissimilar. However, Bitcoin eclipsing the valuation of Visa is figurative.
All through this year, the institutional interest in Bitcoin has been growing at a rapid pace. The confidence of institutions in Bitcoin is expected to increase with Bitcoin’s market cap surpassing Visa and Samsung.
A lot of institutions and certified investors have invested in cryptos via Grayscale’s Bitcoin and Ether (ETH) focused fund and the CME Bitcoin futures market. The assets being managed by Grayscale nears $17 billion, as the open interest of Bitcoin futures contract in CME stays consistently over $1 billion.
There is a big shift in Visa’s stance in favor of cryptocurrencies in the last few months, after the support of PayPal and Square for Bitcoin. For illustration, Wirex, the issuer of crypto based Visa debit card, turned out to be a key member of Visa in Europe. Cuy Sheffield, senior director and chief of cryptos at Visa, stated:
“Digital currencies have the potential to extend the value of digital payments to a greater number of people and places. We’re excited to work with innovative Fintechs like Wirex and enable their customers to use digital currencies at more than 61 million merchants on the Visa network.”
In the short-term, on-chain analysts and traders state that Bitcoin’s trajectory stays optimistic.
According to analysts at Intotheblock, short-term support levels exist at $23,069 and $23,377 for Bitcoin. They tweeted:
#Bitcoin has been able to sustain above $23,000.
The IOMAP indicator supports that premise as is showing a strong level of support at the range between $23,069 and $23,377.1, where almost 900 thousand addresses previously acquired 796 thousand $BTC.https://t.co/VHKAXFruAF pic.twitter.com/ovLRUDnbo2
— IntoTheBlock (@intotheblock) December 25, 2020
The overall rally in the crypto market is anticipated to continue as long as Bitcoin stays above crucial support levels. Michael van de Poppe, a professional trader at the Amsterdam Stock Exchange, anticipates the aggregate crypto market cap to breach its historical high of about $780 billion soon. He tweeted:
The total #crypto market capitalization is looking extremely bullish as it has been testing the all-time high region.
Levels to watch are $550 and $450 billion. Any of these regions are buy dip opportunities.
If these holds, next run will bring the market above ATH. pic.twitter.com/WZXXo55xnc
— Michaël van de Poppe (@CryptoMichNL) December 26, 2020
