Bitcoin surged to a new all-time high on Wednesday, climbing past its previous January record in a strong show of investor confidence. The world's most valuable cryptocurrency was last trading at $108,955, up nearly 2%, according to data from Coin Metrics. CNBC reported that it touched a high of $109,857.
The rally comes as broader market sentiment improves, with the tech-heavy Nasdaq index also up 30% from its April lows. Bitcoin, often seen as a high-risk, high-reward asset, tends to mirror trends in technology stocks when investor appetite strengthens.
A weakening US dollar has also added momentum to Bitcoin's rise, boosting its value in global markets.
Experts say growing interest from traditional financial institutions is supporting the cryptocurrency's upward trend. This week, remarks by JPMorgan CEO Jamie Dimon - a long-time crypto sceptic - acknowledging that clients are now able to buy Bitcoin, were seen as significant. Additionally, crypto exchange Coinbase is set to be included in the S&P 500 index, a move seen as a further sign of mainstream acceptance.
However, Coinbase has also confirmed that it is facing a probe by the US Department of Justice following a recent data breach, even as it celebrates the landmark index inclusion.
Despite regulatory concerns and past volatility, Bitcoin's latest milestone is being closely watched by both investors and institutions amid growing calls for clearer crypto regulation in the US and other major economies.
