D.he soaring of the digital currency Bitcoin continues. On Saturday, the price of the oldest and most famous cryptocurrency rose for the first time above the round mark of 25,000 dollars. A high of $ 25,022 was reached on the Bitstamp trading platform. That is a record high. On other trading venues, of which there are numerous, the record levels can deviate as there is no central Bitcoin trading.
Bitcoin’s soaring this year is breathtaking. Started at around $ 8,000 at the beginning of the year, the rate initially fell to less than $ 4,000 during the first Corona wave in spring. After that, a slow rise began, which accelerated sharply in the fall. Since the middle of October alone, the value of Bitcoin has more than doubled. With a market share of almost 70 percent, Bitcoin is by far the largest digital currency.
The substantial rise in the price of Bitcoin this year is justified by several developments. It is crucial that the topic of digital currencies has moved more into the focus of investors again. This is not least a consequence of an advance by the large payment service PayPal, which wants to enable its customers to pay in digital currencies such as Bitcoin. Bitcoin is also being boosted by the fact that more and more professional investors are interested in cryptocurrencies. The interest of professional investors is often considered to be long-term, which could stabilize the Bitcoin rate, which is very volatile.
Interest in digital currencies is also being increased by the corona pandemic and the associated sharp rise in national debt. For this reason, some investors fear rising inflation in the medium to longer term, which they want to hedge against with alternative investments.