On Sunday, the price of most popular cryptocurrency Bitcoin surged past the psychological level of $10000. As per CoinMarketCap, last time it scaled above this mark was on September 23, 2019. Experts see its prices to scale further. In a tweet Morgan Creek Digital Co-founder and Partner Michaël van de Poppe said, Bitcoin just hit $10,000. I still think that Bitcoin will hit $100,000 by the end of December 2021. Fixed supply. Increasing demand. Time will tell".
In another tweet, Co-founder and CEO at BitMEX tweeted said, "Nothing can stop me, I'm all the way up! Slow and steady wins the race. Let's take the staircase up to #bitcoin $20k".
The sudden sharp surge in bitcoin's price is attributed primarily to an upcoming event in May of bitcoin halving. Notably, a total of 21 million bitcoins can be mined and of these 18 millions have already been mined. The number of new bitcoin that make way to the market will be falling on a year on year basis, resulting in lesser supply and hence higher prices. As per Cointelegraph, the halving event will "cut its supply further to a rate of around 1.7 per cent per annum".
In Indian rupee, the crytocurrency is valued at Rs. 7.25 lakh per bitcoin.
During the last SC hearing, the RBI said that the digital currency Bitcoin is not banned in India, nonetheless regulated entities including banks have been cautioned against the risks associated with dealing in such digital assets. "Cryptocurrency can be used for secret and illegal activities, but there is no data to corroborate that it is primarily being used for such activities", Anurag Thakur, MoS Finance told in Rajya Sabha in July last year.