On Tuesday, bitcoin hit new records of $68,000 per coin for the first time ever. Meanwhile, ethereum surged to an all-time high of $4,840.
The record-breaking surge comes amid an ongoing cryptocurrency rally that has been attributed to hedging risks from inflation. Analysts predict there will be a further rise in the coming weeks.
This latest surge trumps the previous record high, which was set last month when the cryptocurrency reached nearly $67,700. Just five years ago, a single bitcoin was worth approximately $700. This year alone, bitcoin is up by over 130%, while ethereum is also up by an impressive 550%. The rise comes despite concerns surrounding cryptocurrencies by some critics.
Explaining the rising popularity of crypto, Wilfred Daye, the head of the trading platform Securitize Capital, said: “Inflation is a major consideration for investors today, and the younger generation of investors often favours cryptocurrency as a hedge over gold. In fact, while gold has slid throughout the year, bitcoin and ethereum have more than doubled. Retail investors have played a major role in fuelling this shift and institutional investors are increasingly following suit.”
