Bitcoin, the most popular cryptocurrency on the market, traded at $50,203.53 on Tuesday and has set a new all-time high. This represents a 73 percent increase over the past year.
The total market value of this cryptocurrency in circulation rose to $ 940 billion. The price of Bitcoin quintupled in the last year.
The rise of Bitcoin has been driven by the increasing adoption of the cryptocurrency by companies, most notably Tesla’s revelation this month of a USD 1.5 billion purchase. However, the debate regarding the intrinsic value of the asset and the possibility of record highs being the moment before a bubble bursts does not stop.
Financial giants such as BNY Mellon and Mastercard announced last week that they would offer support for digital assets, while the city of Miami is looking to allow the use of Bitcoin to pay workers and for the payment of fees and taxes.
That buying demand has brought not only a price spike, but a growing acceptance and recognition of an asset that was once scoffed at by regulators and lawmakers.