Coinbase said that Bitcoin, the world’s largest cryptocurrency, hit a record high of $60.415.34 at 7.25 a.m. ET on Saturday morning. It is continuing its rally as many major companies and financial institutions are adopting the currency. It has tripled in value in three months as it was at $20,000 in December.
This current high of over $60,000 shows that it is recovering after it had fallen at the end of February, although it had also reached a high record in the same month. The cryptocurrency has been volatile and its value has been fluctuating the past year.
Coinbase said that Bitcoin is up by 963% in the past year. Last week, it has crossed $1 trillion and this is the second time it has done so this year.
Many large firms and institutional investors have started adopting this digital currency fueling its rally and growth. Tesla purchased $1.5 billion of bitcoin in the recent past. It has also said that it will accept the currency as payment to purchase its products. This also increased the interest in the digital currency.
MasterCard has recently said that it will open a part of its network to a few digital currencies. BNY Mellon said it will hold or transfer or issue cryptocurrencies for its customers. PayPal has also bought recently minted coins.
Die hard investors in Bitcoin believe that this current rally has been sustained by institutional investors unlike past rallies, when the coin hit $20,000 in 2017 but lost 80% of its value in the next year.
Others say that cryptocurrencies have no intrinsic value, unlike gold or a country’s printed paper money. The sceptics believe that it could be a huge bubble which is fueled by the market. When the bubble bursts, fortunes could be lost.
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