Daisy Watts
Mar 04, 2024
Bitcoin price today surged to a two-year peak on Monday, breaching the $64,000 mark as a surge of investment propelled it close to its all-time high.
Reaching $64,285 early in the Asian trading session, Bitcoin hit its highest level since late 2021 and remained 2% stronger for the day at $63,850. The cryptocurrency's record peak stands at $68,999.99, achieved in November 2021.
The leading digital currency by market capitalisation has seen a 50% increase in value this year, with much of the recent growth occurring in the past few weeks as trading volumes surged for bitcoin funds listed in the United States.
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Approval of spot bitcoin exchange-traded funds earlier this year in the US has opened the door for new significant investors and reignited optimism and momentum similar to the lead-up to the record levels seen in 2021.
Markus Thielen, head of research at crypto analytics firm 10x Research in Singapore, noted, "The flows are not drying up as investors feel more confident the higher price appears to go."
This rally coincides with record-breaking performances in stock indexes like Japan's Nikkei and the S&P 500, as well as lower volatility measures in both equities and foreign exchange markets.
Brent Donnelly, a trader and president at analysis firm Spectra Markets, commented, "In a world where Nasdaq is making new all-time highs, crypto is going to perform well as bitcoin remains a high-volatility tech proxy and liquidity thermometer. We are back to a 2021-style market where everything goes up and everyone is having fun."
Bitcoin price has been unbeatable almost since it showed up. Ether, a smaller competitor to bitcoin, has also seen a boost in speculation amid expectations of forthcoming exchange-traded funds, contributing to a 50% increase in its value year-to-date. On Monday, it hovered near its two-year highs reached last week, trading at $3,490.
