The main driving force behind bitcoin rally

[jemimah_f3]

With strong bitcoin bullish trend I was asking myself: what is the main driving force? In my opnion it's not retail traders or mass adoption, it's insitutional money that keep flowing in and pushing the price higher. What do you think?

[Tolosi]

Inevitable effects of halving are felt now.

[Emily Perkins]

Open interest in BTC futures is ATH, so yeah, big boys from Wall street pouring fiat money into BTC..

[Nhor1011]

Demand is the main driving force behind bitcoin rally. The greater demand ,the higher tendency of value. Those institutional money that you said is also comes from the demand. Let's hope for another ATH this year.

[sunsilk]

With strong bitcoin bullish trend I was asking myself: what is the main driving force? In my opnion it's not retail traders or mass adoption, it's insitutional money that keep flowing in and pushing the price higher. What do you think?

It could be the main factor of the recent push that we're witnessing. I don't even know what's the real reason behind the pump but do you think that there's any relation to the US election?

Inevitable effects of halving are felt now.

Yes.

We can't ignore the effect of the halving just like the 2016 halving then effect took on 2017 ATH. But this time, are we getting an early effect?

[avikz]

I was waiting for some Americans to say that it's because of their presidential election!

With strong bitcoin bullish trend I was asking myself: what is the main driving force? In my opnion it's not retail traders or mass adoption, it's insitutional money that keep flowing in and pushing the price higher. What do you think?

In my opinion, the bitcoin price is increasing because of the corporate spending on bitcoin is increasing. What corporates do usually have a positive impact on people's mind. I think this is what exactly is happening around bitcoin. More liquidity is flowing into the market increasing the demand which is pushing the price higher! That's the most justifiable reason I see now!

[Darker45]

I myself am not seeing any single very special thing that could act as the main driving force in this current sustained rally. But an increase this big in just a matter of days and weeks is definitely not just about retail traders. So I am also in the same thought that there must be huge institutional money flowing in. I also don't share the idea that this might have something to do with the US presidential election.

[fiulpro]

Every second the price is climbing up but then again I don't think we can give credit of this situation to anyone since what we are seeing here is the commutative effect of many factors.
- we have seen Bitcoins being accepted more
- being used more in the time of Pandemic
- altcoins are not performing well
- people were afraid if Trump won , he would impose more regulations but we are not sure what biden's stand would be on Bitcoins
- the demand of Bitcoins is increasing in industries , in businesses
- falling economy of many countries
- the third wave of COVID Making people hopeless about the situation

How can we point it to one thing ?

[Kelvinid]

We can't just disregard mass adoption because the pandemic leads a way to make such a thing more reliable and accessible to the people. People changing their lifestyle and adopting a cashless payment system where Bitcoin had to be known at this time. The bullish trend for Bitcoin means that more people, more investors are having a good time buying Bitcoin. It was then noticed that altcoins suffer big losses, this probably means that most investors are moving back to Bitcoin leaving altcoins behind.

[covfefe_]

I guess it's the limiting supply and future prospects of more bitcoins being bought by corporates and different hedge funds.
2020 was a year of businesses buying bitcoins. As well more and more bitcoin being frozen for bitcoin pegged token on different platform. The current price hike was predictable. I guess it would correct somewhere upto 12K but there's no going down from there.

[meanwords]

Inevitable effects of halving are felt now.

Accompany it with Paypal integrating Bitcoin into their system and you'll have a good bull run. I can't believe that we really is going for $15,000 range and currently at $14,500+. I did predict that we might reach $15,000 this year though but I didn't really expect it to happen so soon.

[kentrolla]

I was waiting for some Americans to say that it's because of their presidential election!

With strong bitcoin bullish trend I was asking myself: what is the main driving force? In my opnion it's not retail traders or mass adoption, it's insitutional money that keep flowing in and pushing the price higher. What do you think?

In my opinion, the bitcoin price is increasing because of the corporate spending on bitcoin is increasing. What corporates do usually have a positive impact on people's mind. I think this is what exactly is happening around bitcoin. More liquidity is flowing into the market increasing the demand which is pushing the price higher! That's the most justifiable reason I see now!

Exactly, I agree the liquidity flow is extreme also PayPal news gave many of the world wide users a strong go on BTC. From now I guess many top rated companies will start BTC payment and it will definitely expand the price as much as the price goes up it turns into hot topic and that's how it reaches the public only then the demand increases automatically.

[Mulann2]

With strong bitcoin bullish trend I was asking myself: what is the main driving force? In my opnion it's not retail traders or mass adoption, it's insitutional money that keep flowing in and pushing the price higher. What do you think?

i wish some part of that institutional money will flow into alts too, it is long overdue for us to see some serious price movement in alts as well, now am beginning to understand why btc is the top choice when it comes to investment, i think this make a lot of sense, institutional money are flowing into btc, i don't think the election has anything to do with this, also don't forget the recent Paypal announcement, that too still fresh on people's mind and still be a driving factor.

[ethereumhunter]

I would say that people invest in bitcoin grows. They want to have bitcoin for many reasons such as for investment, for making money from trading, for buying bitcoin to be used for another thing. Many possibilities can lead to a bitcoin price increase, maybe much more big company try to buy bitcoin while the price does not reach $20k. But yes, demand will be the main factor that is driving bitcoin price increases.

[romero121]

That's true, the effects of halving is felt now. This isn't the first time, during the previous bull run the market reacted after a long time from halving. This too looks something similar to that. By that time more inflow of money took place which kept the market grow higher and higher.

Right now we've got more large scale companies investing on bitcoin. Few companies have already recorded their profit out of the investment. This time the gradual growth is happening due to the halving, and the further growth is happening as a result of more large scale investment.

[carter34]

Uncertainty in the election of the America electorate can also be traced to it because when people don't understand a thing happening around them they might take out money or invest more, so demand and supply is here too and halving scarcity.

[ilovealtcoins]

Like the bulls before demand is what drives Bitcoin's price rise.
Bitcoin's block reward has been reduced to 6.25 BTC per block mined. Bitcoin becomes intuitively more scarce that only miners can perceive.
Along with the reduction in the reward for a block that is mined is demand from businesses and global adoption by companies. Bitcoin's reputation has now grown to a considerable extent. This also increases its liquidity and value.

[Oceat]

Demand is the main driving force behind bitcoin rally. The greater demand ,the higher tendency of value. Those institutional money that you said is also comes from the demand. Let's hope for another ATH this year.

I can't really tell what's driving the price to rise so sudden, yes, the demand has a big part of it but what is the main thing that causes the price to surge this way? I don't think the PayPal hype have something to do with it but it's also one of the factors that causing the price to grow. I don't think there will be another ATH this year but I do think there will be in 2021. What do you think?

[ChiBitCTy]

There is no question that the main reason behind the rally is Paypal adding it to their platform.  Now of course this in return has pushed buyers ( institutional and retail ) to push money in to the network, especially those who had money on the sidelines saved up for a times like this.

[tomahawk9]

Inevitable effects of halving are felt now.

Plus, bullish sentiment and new btc yearly highs = FOMO = high demand from retail investors, institutions and the general public (possibly same behaviour as the last massive btc rally in 2017).

Also, i'm 99% sure that the Paypal news was one of (if not THE) the main event that triggered this uptrend...I wouldn't be surprised to know later on that some smart money that was sitting on the sidelines finally entered the btc ecosystem because of the Paypal news.

Finally, you have some other possible events in the last few days thay maybe have helped fuel this surge in price like the uncertainty surrounding the US elections which, apparently, is making almost all the financial markets worldwide move upward (remember that BTC has been mirroring the US stock market movements in the last few months). I expected a price movement like this but AFTER the final results of the election came out.