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Why Bitcoin Skyrocketed 80% in 2023
Bitcoin, the world’s largest cryptocurrency, experienced an impressive surge in value during the first half of 2023. With its price nearly doubling from around $16,000 to above $30,000 by June 30, Bitcoin emerged as the best-performing asset of the year. In this article, we will explore the key factors behind Bitcoin’s meteoric rise and its outperformance compared to other significant assets like gold, the S&P 500, and the Nikkei 225 index.
Institutional Interest in BTC
One of the primary drivers behind Bitcoin’s remarkable growth was the renewed institutional interest in the cryptocurrency. Throughout the first half of 2023, several traditional financial firms led the charge by actively seeking approval for a Spot ETF (Exchange-Traded Fund). The prospect of a Bitcoin ETF, which would make it easier for institutional investors to gain exposure to Bitcoin, generated significant excitement and drove up demand for the digital asset.
Emergence of Bitcoin Ordinals
Another factor that contributed to Bitcoin’s surge was the emergence of Ordinals on the blockchain network. Ordinals are smart contracts built on top of the Bitcoin blockchain, enabling the creation and execution of decentralized applications. This development brought new interest and higher adoption of Bitcoin…
