The price of Bitcoin, the first decentralized cryptocurrency, surpassed $ 19,700 on Monday for the first time since its inception 11 years ago, boosted by its increasingly widespread use and the risk appetite of the markets.
At around 3:20 p.m. GMT (4:20 p.m. Brussels), the price of bitcoin rose 8.2% to $ 19,761, after breaking its previous high moments earlier, reaching $ 19,511 on December 18, 2017, according to data compiled from several Bloomberg trading platforms.
Bitcoin is up 175% since the start of the year, with an increase of over 40% since October 21, when online payment giant Paypal announced the launch of a shopping service, sale and payment by cryptocurrency.
“We are heading into uncharted territory for pricing, and this little push could push the price even higher,” said Craig Erlam, analyst at Oanda.
Created by anonymous individuals as a decentralized payment method and adopted by investors keen to invest in alternative investments, Bitcoin has seen other dramatic rises and equally dizzying drops.
At its previous peak in 2017, the rise at that time was mostly in retail investors. In 2020, investment funds and big banks are now interested in cryptocurrency.
Bitcoin has also benefited in recent weeks from the wave of purchases in all markets, caused by the economic stimulus measures put in place by central banks to counter the Covid-19 pandemic.
The flagship index of the New York Stock Exchange, the Dow Jones Industrial Average, exceeded 30,000 points last Tuesday for the first time in its existence before falling, while the Nasdaq and the S&P had reached records on Friday.
The Brussels Times