Bitcoin reclaims $50,000 level as more businesses eye exposure to cryptocurrencies

Bitcoin
  • Bitcoin surged 5% on Wednesday to reclaim the $US50,000 ($64,139) level as more firms eye exposure to the cryptocurrency space.
  • PayPal is said to have paid more than $US200 ($257) to acquire Curv, a crypto custody firm based in Israel, while Goldman Sachs revived its crypto trading desk.
  • The surge higher also follows SEC nominee Gary Gensler’s testimony to Congress.
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Bitcoin spiked 5% and reclaimed the key $US50,000 ($64,139) level on Wednesday as more businesses are seeking exposure to the growing cryptocurrency space.

Bitcoin hasn’t traded above $US50,000 ($64,139) since late February, following a more than 10% sell-off that saw the cryptocurrency fall to below $US45,000 ($57,725). 

The move higher in bitcoin came after SEC Chairman nominee Gary Gensler testified to Congress on Tuesday. Gensler said the SEC will do its part to eliminate fraud and manipulation from crypto markets. Gensler has been seen as receptive to bitcoin, based on his previous works and teachings on the subject at MIT.

Businesses, meanwhile, continue to take notice of bitcoin’s continued rise higher. Goldman Sachs is set to revive its crypto trading desk, according to reports. The investment bank will start dealing bitcoin futures and non-deliverable forwards beginning next week.  

Goldman Sachs, which first set up a cryptocurrency desk in 2018, is also reportedly exploring a bitcoin exchange traded fund.

PayPal is also continuing to increase its exposure to the crypto market, based on a report from CoinDesk that it is acquiring Curv for more than $US200 ($257) million. Curv is an Israeli-based crypto custody firm.

PayPal already enabled its users to spend with bitcoin late last year, and the fintech company plans to enable functionality for its popular Venmo app later this year.

Bitcoin traded at $US51,300 ($65,807) as of 8:55 a.m. The cryptocurrency is up more than 65% year-to-date. 

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