Bitcoin has just hit a fresh three-year high, heading even closer to its all-time peak set nearly three years ago.
The cryptocurrency has crossed the $19,000 mark for the first time since December 2017, up 3% today.
This extends its recent surge, which has seen Bitcoin double since mid-July. It’s now closing in on the record high of just below $20,000.
Various factors have been cited for Bitcoin’s strong gains. One is that the crypto industry is now more mature, and seen as a credible asset for institutional investors.
Another is the digital currencies such as Bitcoin provide a hedge again inflation — at a time when governments are running huge stimulus packages to pay for the cost of the Covid-19 pandemic.
As Craig Erlam of OANDA writes: “Bitcoin’s ascent has been incredible over the last couple of months and it’s showing little sign of slowing. It’s see a slight pause as it closes in on a new record high and should it achieve that, who knows what will come next.
“Accurately predicting an end of year price for bitcoin is pointless, it could just as easily be $50,000 as $15,000. We’ve seen what this can do before and the difference now, compared to last time it was at these levels, is that it only feels like the beginning. The hype isn’t yet what is was, a break to new highs could bring that and we know what that means. Buckle up, it’s going to be quite the ride.”