Bitcoin, the largest cryptocurrency by market capitalisation, crossed the $50,000-level on Thursday evening for the first time since August 23 as the market continued to rally.
The coin soared as high as $50,362, rising over six percent but it soon underwent profit booking to slip back to $49,000-level, according to data from CoinMarketCap. The overall crypto market value has surged from $2 billion to $2.25 billion in the past seven days.
Ether, the second-largest coin and Bitcoin's biggest rival, also jumped three percent to trade at $3,843
. The coin has surged over 22 percent in the past week. Ether's rally has surpassed that of Bitcoin in recent weeks. While Ether has surged over 50 percent in a month, Bitcoin has surged 30 percent.
Bitcoin had last hit $50,000 on August 23, the first time since May 2021 when it rebounded from the lows of May. China's regulatory actions combined with Tesla chief Elon Musk's concerns of Bitcoin's environmental effects had investors pulling back from the volatile market.
However, favourable developments in the world of cryptocurrency since then has pushed Bitcoin's and altcoins' prices even higher. Altcoins have been gaining too, meanwhile, the market cap of Cardano is nearing $100 billion
amid optimism about smart contracts. Solana and Polkadot are also trading over 70 and 36 percent higher, respectively, this week.
Recently, Twitter announced it would be allowing Bitcoin tips in its Tip Jar feature. The Bitcoin law in El Salvador is also expected to come into effect from September 7.
Raoul Pal, Bitcoin's most vocal bull also predicted the price of Bitcoin could surge over 500 percent
by March 2022 to hit $250,000-$400,000. He said this blistering rally would be very normal for Bitcoin by the end of the year.