The price of Bitcoin rose to its highest level on record on Wednesday, eclipsing the previous high from January, as risk sentiment continues to improve after last month’s tariff-induced sell-off.
The world’s largest cryptocurrency touched a high of $109,481.83, a 2% gain on the day.
Bitcoin, at times, trades in a similar fashion to tech stocks and other assets that rise in value when investor sentiment is high.
The tech-heavy Nasdaq is up 30% from its early April low.
That has also coincided with continued weakness in the dollar, giving bitcoin’s exchange rate against the US currency an added boost.
Crypto market participants often point to increased involvement from traditional financial firms as a reason for its gains.
This week, they cited JPMorgan CEO Jamie Dimon — a long-time crypto sceptic — acknowledging that clients can buy bitcoin, along with crypto exchange Coinbase’s addition to the S&P 500 this month, as contributing factors.
Coinbase said on Monday that the US Department of Justice has opened a probe into a recent data breach at the company.
