Bitcoin Approaches Highest Level Since Post-Bubble Crash in 2018
- Largest cryptocurrency has surged almost 30% in October
- JPM Coin said to be used soon for the first time by a customer
Bitcoin is approaching levels not seen since just after the burst of the cryptocurrency market bubble almost three years ago.
The biggest digital token by market value rose as much as 4.8% to $13,638 on Tuesday, just below the high of $13,851 set on June 26, 2019. If it surpasses that level, it would be highest since Bitcoin traded at $16,932 in January 2018, or just weeks after the token reached an all-time level of around $20,000. It dipped to $3,136 in December 2018.
Bitcoin extended gains on reports that JPMorgan Chase & Co.’s JPM Coin was going to be used this week for the first time by a customer of the bank to make a payment. Development of the coin was first disclosed in 2019.
Crypto fans have cheered a number of recent developments, from PayPal Holdings Inc. allowing customers to use digital coins to Fidelity Investments launching a Bitcoin fund and Square Inc. joining MicroStrategy Inc. in saying they invested in the coin.
“It seems that there is more excitement and that crypto will be used more often,” said Edward Moya, a senior market analyst at Oanda Corp. “The world seems poised for a digital currency.”
In addition, central banks around the world have shown greater interest in creating digital money. Earlier this month, for instance, the European Central Bank said it will start experimenting with a digital version of the euro while holding a public consultation. The step was seen by many as major progress toward introducing the technology.
Bitcoin has surged almost 30% this month and more than 85% this year. The Bloomberg Galaxy Crypto Index, which tracks a handful of the largest cryptocurrencies, has gained about 20% in October.
By Casey Wagner