Bitcoin Jumps to All-Time High of Over $19,800 Amid Increased Demand
Bitcoin soared to a record high against the dollar on Monday, as its 2020 rally steamed ahead, boosted by increased demand from both institutional and retail investors that saw the virtual currency as a safe-haven and a hedge against inflation.
The digital unit touched an all-time peak of $19,864.15 (roughly Rs. 15 lakhs), breaking its prior record set nearly three years ago. It was last up 6.1 percent at $19,306.35 (roughly Rs. 14.2 lakhs).
Last Friday, however, bitcoin dropped more than 8 percent, below $17,000 (roughly Rs. 12.5 lakhs), before rebounding on Monday.
Bitcoin overall has gained more than 170 percent this year, fuelled by a demand for riskier assets amid unprecedented fiscal and monetary stimulus, hunger for assets perceived as resistant to inflation, and expectations that cryptocurrencies would win mainstream acceptance.
“Bitcoin is a natural safe haven for those seeking shelter from rapidly increasing central bank money printing and the inflation that everyone agrees is already increasing,” said Sergey Nazarov, co-founder of Chainlink, a decentralised network that provides data to smart contracts on the blockchain.
Smaller coins ethereum and XRP, which often move in tandem with bitcoin, gained 5.6 percent and 6.6 percent, respectively.
