Bitcoin’s hunt for records continues.
On Wednesday, the original cryptocurrency cost up to $73,679 on the Bitstamp trading platform, more than ever before. The previous day’s record was beaten by about $600. Recently, however, the price was around $1,000 lower. Other digital stocks also continued to rise. According to the Coingecko portal, the market value of all 13,300 cryptocurrencies is almost 2.9 trillion dollars.
Experts explained the price rally primarily with the high demand from new ETF providers. Since January, investors in the USA have been able to purchase special index funds and thus indirectly invest in Bitcoin. Because the demand generated by this is significantly higher than the supply of new Bitcoins, the prices rise. This year alone, Bitcoin has increased by around 70 percent. On an annual basis it is around 200 percent, which corresponds to a tripling.
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However, the price increases come about under significant fluctuations, for which Bitcoin has long been known. In the past few days, the price had collapsed several times after rising, but the trend continued to rise. Experts like Timo Emden from Emden Research often explain such slumps as profit-taking. However, such immense price fluctuations are likely to be a challenge for many investors.
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FRANKFURT (dpa-AFX)