Bitcoin rose 1.9% to a record $68,991 as US consumer prices rose at the fastest annual rate since November 1990.
Bitcoin’s surge on high inflation in the US reflects the growing notion that it can act as a store of value in an environment of rising cost pressures.
Wall Street has shown interest in Bitcoin, with some buying the crypto to hedge against inflation. The underperformance of conventional inflation hedge, gold, has also bolstered Bitcoin fortunes.
Some skeptics still say Bitcoin needs to have a long enough history to prove that, similar to gold, it can serve as a store of value.
The world’s largest crypto by market value has been rising lately, with the previous surge connected to the launch of a Bitcoin Strategy ETF in the US in October.
Other coins followed Bitcoin’s gain, pushing the Bloomberg’s Galaxy Crypto Index that tracks major cryptocurrencies up by about 2.4%.
BTCUSD is up +2.36%.
