Bitcoin Price Breaks Above $16K for First Time in 3 Years

Bitcoin's price breaks above $16,000, reaching an almost three-year high.

AccessTimeIconNov 12, 2020 at 10:15 a.m. UTC
Updated Sep 14, 2021 at 10:30 a.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

Bitcoin's (BTC) stalled rally picked up the pace on Thursday, with prices reaching three-year highs above $16,000.

  • The world's top cryptocurrency by market capitalization clocked a high of $16,157 at 10:12 UTC, a price point last seen on Jan. 6, 2018.
  • The move ended a week of consolidation in the range of $14,000 to $16,000.
  • Bitcoin is now up 123% on a year-to-date basis and has gained nearly 50% so far this quarter, according to CoinDesk 20 data.
  • With the U.S. election in the rearview mirror, projected President-elect Joe Biden's stance could have an influence on fiscal policy over the next four years, which could, in turn, affect inflation, against which bitcoin is touted as a hedge.
  • "Against the backdrop of stimulus from the Federal Reserve, we expect investors holding cash to continue to allocate to bitcoin," said Kyle Davies, co-founder of Three Arrows Capital.
  •  "The interest so far in 2020 has been primarily from institutions and we could see more retail participation when bitcoin breaks its previous all-time highs of $20,000," Davies added.
  • The cryptocurrency has recently received validation from several public companies and prominent investors as a store of value asset and is facing a supply crunch due to increased institutional participation.
  • U.S. billionaire investor Stanley Druckenmiller disclosed on Monday a bitcoin position and said bitcoin will outperform gold in the long run.
  • Analysts also told CoinDesk the bitcoin price may consolidate for a short period before moving toward $20,000 in December.
  • Other top cryptocurrencies were also in the green with ether and litecoin posting gains of between 1%-2% and OMG rising 8% on the day, according to data by CoinDesk 20.

Zack Voell and Nikhilesh De contributed reporting.

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is an award-winning media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. In November 2023, CoinDesk was acquired by Bullish group, owner of Bullish, a regulated, institutional digital assets exchange. Bullish group is majority owned by Block.one; both groups have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary, and an editorial committee, chaired by a former editor-in-chief of The Wall Street Journal, is being formed to support journalistic integrity.


Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.