Bitcoin price approached $20,000. It grew by 170% in a year

According to the CoinMarketCap portal, the cost of bitcoin was $ 19,920.53. The cryptocurrency hit a record high for the first time since December 2017.

Bitcoin has hit $19,920.53, according to Coindesk. As noted on the website, the value of the cryptocurrency has skyrocketed over the past few weeks. For example, back in early October, bitcoin was worth about $11 thousand, and since the beginning of the year, the growth has been 2.7 times.

It took virtual currency for almost three years to break its previous record. Analysts suggest that some investors see it as a “haven asset” during the period of uncertainty caused by the coronavirus pandemics. However, other experts note that this asset remains volatile.

Another factor that could have influenced Bitcoin’s growth is that PayPal allowed it to be used to buy and sell virtual coins in October. Besides, several large institutional investors have announced their interest in buying crypto-pegged funds.

The pandemic has affected traditional trading, so customers have started to pay more attention to cryptocurrency. “Periods of extreme risk aversion have forced many traders to diversify towards bitcoin,” said Edward Moya of trading firm Oanda.

The previous maximum was recorded in December 2017, when the cryptocurrency value was also approaching the $20,000 mark. Then the quotes also rose sharply for several weeks, and then there was a collapse. By December 2018, the cryptocurrency has fallen in price six times to $3.2 thousand.

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