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Bitcoin logo in Times Square: Risky financial investment
Photo: John Angelillo / imago images / UPI Photo
Investors are putting more and more money into cryptocurrencies and have thus driven the price of Bitcoin to a new record high. The largest and oldest cyber currency temporarily reached a value of 68,564 dollars on Tuesday, making it more expensive than ever. The second largest cryptocurrency, Ethereum, also continued its rally, rising to as much as $ 4,841. "We have a feeling that the market has shifted," said Matthew Dibb of the crypto asset manager Stack Funds. The demand from major investors and even pension funds has also risen sharply. "People are now realizing that even if it's a small amount, it's probably not good not to get involved."
Since the end of 2020, this has added up to around 850 percent.
The market value of Bitcoin was last at just under $ 1.3 trillion.
The rates of other digital currencies such as Ether and Binance Coin also increased.
Most digital stocks have recently benefited from the good mood on the stock markets.
In the past week alone, $ 95 million flowed into Bitcoin products and funds, according to data from digital asset manager CoinShares.
Since the beginning of the year, inflows have shot to a record $ 6.4 billion.
The first listed US fund (ETF) for Bitcoin boosted demand.
Investors are now relying on the approval of further crypto ETFs in the USA, said Timo Emden from Emden Research.
The smoldering fear of inflation is also giving investors access to Bitcoin, Ethereum and the like.
Since cryptocurrencies are considered extremely risky investments, their price often fluctuates with the general mood on the stock market.
mik / Reuters
