Americans record $4.1 billion in gains from bitcoin investments

When the U.S. was at the height of feeling the effects of the COVID-19 pandemic, interest in bitcoin and cryptocurrencies got stronger and today, many traders are profiting from the leading digital currency.

The pandemic inflicted a lot of damage on global financial markets back in March 2020. Economies were forced to shut down and stocks, along with a lot of businesses around the world, plummeted to historic lows.

Blockchain technology specialist and analytical firm Chainalysis recently shared a data showing Americans have seen their bitcoin assets return more than $4 billion. While it is true that it is trading at a loss, experts believe it has completed what is likely to be its largest and longest bull run in its 12-year history.

Investors swarm the market

Notable investors such as Stanley Druckenmiller, Paul Tudor and corporations like Square, Tesla and MicroStrategy made their respective purchases and made bitcoin part of their balance sheets while regular traders followed institutional investors in taking part in the market.

Because of this, a large number of Americans benefits and according to Chainalysis, investors in U.S. easily generated $4.1 billion in bitcoin gains last year. The value is three times as much as what China registered, only mustering gains and profit of $1.1 billion.

Bitcoin’s attractive prowess

Chainalysis Director of Research Kim Grauer said one of the big factors for the impressive profit gains of Americans was the fact that a number of institutions based in the U.S. were immediately attracted to bitcoin.

“We know from the past research that there is growing institutional investment in crypto assets, notably in the U.S.,” Grauer said.

At press time, the largest cryptocurrency by market capitalization has successfully breached the $40K mark and is trading at $40,362 according to CoinGecko tracking.

 

Image courtesy of Cointelegraph News/YouTube 

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