The price of bitcoin has passed $13,000, as the cryptocurrency continues an astonishing rise that has seen its value quadruple since the start of the year.
Bitcoin’s current price remains a way off its all-time high of close to $20,000, which it reached in late 2017, however it marks a significant comeback from what seemed like a terminal decline in 2018.
Other major cryptocurrencies, including ethereum and litecoin, have been boosted by bitcoin’s recent good form, with similar percentage gains over the last few months.
Bitcoin’s latest gains came after a flash crash on Tuesday, which saw it lose $500 of its value in the space of just a few minutes.
This market blip once again highlighted the volatility of bitcoin and demonstrated the power a few major traders can exercise over the market.
One of the main reasons cited for bitcoin’s resurgence in recent months is the entry of high-profile companies and organisations into the cryptocurrency space.
In June, Facebook announced that it had joined forces with 27 other companies - including PayPal, Mastercard and Visa – to develop a cryptocurrency called Libra.
While the characteristics of Libra and bitcoin remain vastly distinct, the interest of these corporations has helped validate the industry more broadly.
“Cryptocurrency on the whole is now being taken much more seriously by high profile corporate and global brands,” Nicholas Gregory, founder of the blockchain firm CommerceBlock, told The Independent.
“The number of major use cases across multiple sectors and geographies is growing by the day. Bitcoin is once again starting to be viewed as a currency with the potential to bring real and radical change to the world rather than purely as an asset, which can rapidly burn out.”
