Bitcoin Price Inches Closer to $30,000 after Proving Warren Buffett Wrong

Bitcoin, the world’s largest cryptocurrency reached a total market cap of $540 billion yesterday as the BTC price maintained its bullish momentum to reach $29,000. Bitcoin is now more valuable than Warren Buffet’s multinational conglomerate holding company Berkshire Hathaway.

According to the latest data, Bitcoin price is currently hovering around $29,000, eyeing the important level of $30,000 on the last day of 2020. The price registered a significant jump this year as the world’s most valuable cryptocurrency gained more than 300% in 2020.

Warren Buffett, one of the most prominent investors in the US with a net worth of over $85 billion, called Bitcoin a “rat poison” in 2018 and mentioned that the cryptocurrency is completely useless.

“When you’re buying nonproductive assets like Bitcoin, all you’re counting on is the next person is going to pay you more because they’re even more excited about another next person coming along. Bitcoin itself is creating no value at all,” Buffett said in 2018 during an interview with CNBC.

Buffett is CEO of Berkshire Hathaway. The Nebraska-based holding company has a total market cap of $539 billion. Due to the recent price jump in Bitcoin, the total market cap of the cryptocurrency jumped above $540 billion to beat Berkshire Hathaway in terms of valuation.

Bitcoin and 2020

BTC has gained significant value this year, not only in terms of price but also in mass adoption. Institutional investors, including leading Wall Street firms jumped in with massive investments and accelerated the demand. Finance Magnates earlier reported that MassMutual, one of the largest insurance companies in the US invested around $100 million in Bitcoin. Leading investment management firms also entered the cryptocurrency market to take advantage of the growing demand for digital assets.

Investors are curious about Bitcoin as the world’s largest cryptocurrency reached the highest level of search interest since February 2018 in December this year. Grayscale, the world’s largest crypto asset manager now has nearly $20 billion in crypto assets under management.