LONDON—Bitcoin rose above $50,000 on Tuesday to a new record high, building on a rally fuelled by signs that the world’s biggest cryptocurrency is gaining acceptance amongst mainstream investors.
Bitcoin hit a new high of $50,602 and was last up 5 percent at $50,300. It has risen around 72 percent so far this year, with most of the gains coming after electric carmaker Tesla said it had bought $1.5 billion in bitcoin.
It also said it would accept the currency as payment.
But Tesla was only the latest in a string of large investments that have vaulted bitcoin from the fringes of finance to company balance sheets and Wall Street dealing desks, as U.S. firms and traditional money managers have started to buy a lot of it.
“The recent market conditions and events both in the crypto space and the financial world at large put such a price movement within the realm of possibility,” said Jacob Skaaning of crypto hedge fund ARK36.
“However, I’d like to offer a word of caution: while my long-term outlook is bullish, massive price fluctuations along the way are only to be expected. Bitcoin is still extremely volatile.”
Smaller cryptocurrency ethereum edged 1.1 percent higher, just shy of its record high price of $1,874.98.
By Thyagaraju Adinarayan
- Judge Approves $650 Million Facebook Privacy Lawsuit Settlement
- Trump Endorses Former Aide Max Miller Against GOP Rep. Who Voted for Impeachment
- 60 Years After Eisenhower’s Warning, Distinct Signs of a ‘Digital-Intelligence Complex’
- Trump ‘Planning for the Next Administration’: Former Chief of Staff Mark Meadows
- Volkswagen Weathers Pandemic With $10.7 Billion Profit
- Trump Promises ‘Orderly Transition’ After Biden Certified as President-Elect on
- Trump Says Supreme Court ‘Incompetent and Weak’ Over Election Fraud on
- NH’s Voting Machines Are Capable of Redistributing Votes on
- Dominion’s Parent Company Arranges $400 Million Placement 1 Month Before Election: SEC Filing on
- Joe Biden listed as criminal suspect in Ukrainian court on