Just days after a Russian economic official dismissed Bitcoin as “worse than casinos,” the cryptocurrency delivered a resounding answer. On October 20, 2017, Bitcoin smashed through the $6,000 barrier for the first time in its history, trading as high as $6,060 across major exchanges and pushing its market capitalization past $100 billion — surpassing the market value of Goldman Sachs in the process.
TL;DR
- Bitcoin crossed $6,000 for the first time on October 20, 2017, reaching as high as $6,060
- Market cap surpassed $100 billion, exceeding Goldman Sachs
- Price rallied 16% in just two days after dipping to $5,174 on Wednesday
- Gained more than 24% over the past 10 days
- Rally persisted despite criticism from Ben Bernanke and Jamie Dimon
From Casino Slur to Six Thousand
The rally that carried Bitcoin past $6,000 was anything but smooth. On Wednesday, October 18, Bitcoin tumbled to $5,174 after a Russian economic official publicly derided the cryptocurrency, comparing it unfavorably to gambling establishments. The comment triggered a brief wave of selling that threatened to undo the gains Bitcoin had made since early October.
What followed was a textbook demonstration of Bitcoin’s trademark resilience. Within 48 hours, buyers stepped in aggressively, pushing the price up 16% from the Wednesday low. By Friday afternoon, Bitcoin had not only recovered — it had established a new all-time high, crossing $6,000 on all major exchanges including Bitfinex and Coinbase.
The Road to Six Thousand
The $6,000 milestone capped a remarkable 10-day run for Bitcoin. The cryptocurrency had previously touched $5,000 in early September before retreating roughly 20% over the following days. It wasn’t until October 13 that Bitcoin surpassed $5,800, surging $1,000 in less than 48 hours to reclaim lost ground.
According to data from CoinMarketCap, Bitcoin was trading at $6,011 on October 20, up 5.09% in 24 hours and 6.68% over the previous seven days. The 24-hour trading volume reached $2.35 billion, underscoring the intensity of market participation. Ethereum, by contrast, traded at $304, down 1.59% on the day.
Critics Cannot Stop the Momentum
Bitcoin’s ascent came despite a chorus of high-profile detractors. Former Federal Reserve Chairman Ben Bernanke suggested during the week that Bitcoin would ultimately fail. J.P. Morgan CEO Jamie Dimon had previously called the cryptocurrency a fraud. Yet each wave of institutional skepticism seemed to galvanize rather than discourage retail buyers.
Kraken, one of the largest cryptocurrency exchanges, reported $108 million traded across all its markets on October 20 alone. Bitcoin accounted for $67 million of that volume, followed by Ethereum at $24 million. The numbers painted a picture of a market that was anything but deterred by establishment criticism.
What Comes Next
Bitcoin bulls are setting their sights on two potential catalysts. First, the possibility of a Bitcoin exchange-traded fund trading on a major stock exchange, which would open the door to a far broader investor base. The U.S. Securities and Exchange Commission rejected a Winklevoss-backed Bitcoin ETF earlier in 2017, but Digital Currency Group, backed by Barry Silbert, confirmed it was in active talks with the SEC about launching its own publicly traded product.
Second, the upcoming Bitcoin Gold hard fork, scheduled for late October, has investors positioning for what some see as a buying opportunity. When Bitcoin Cash was created in August’s hard fork, both Bitcoin and the new cryptocurrency soared. Some investors are betting on a repeat performance.
Why This Matters
Bitcoin’s breach of $6,000 represented more than a psychological milestone. The cryptocurrency’s market capitalization exceeding $100 billion placed it in the same league as some of Wall Street’s most storied institutions. The rally also demonstrated that Bitcoin could absorb negative headlines from global financial figures and recover within days, a resilience that would define its trajectory in the months ahead. The debate between Bitcoin believers and skeptics was far from settled, but on October 20, the believers had the stronger hand.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Past performance is not indicative of future results. Always conduct your own research before making investment decisions.