It's been an interesting week for Bitcoin as the Crypto King took a nosedive. Its value plummeted to $21,500, only to suddenly skyrocket by a whopping double-digit percentage in just one day and soar to a remarkable six-month high above $25,000. This surge was particularly impressive considering the ongoing regulatory scrutiny from the United States.
But what could be the primary factor motivating the bulls? Did the rapid growth and success of Bitcoin NFTs play a role? Read on to get the scoop...
What are Inscriptions?
Lately, the talk of the cryptocurrency community has been dominated by Inscriptions, and it's no surprise that projects connected to them are predicted to experience an explosive surge in value.
Ordinals was launched early this year to enable users to transfer unique satoshis containing distinct media, like videos and images. This innovative approach to minting NFTs directly embeds the entire token content onto the blockchain. As a result, digital assets are now more accessible and transparent than ever before.
Casey Rodarmor is the brains behind this innovative technology. Rodarmor created ordinals using the ordinal theory to track and label content.
Are Ordinals Influencing The Price of Bitcoin?
Following the surge of interest in Ordinals at the beginning of February, minting has skyrocketed. While images make up most ordinals, users are now integrating new media types. According to Dune, more than 160,000 ordinals have been minted since its launch.
With increased ordinal mints, higher transaction fees are now offered to miners to speed up transactions. Many believe that this heightened activity may be responsible for the recent surge in Bitcoin price. While relatively new ordinals' longevity is yet to be determined, Bitcoin enthusiasts are happy with the current bull run.