Bitcoin trades above $5000 for the first time ever

Bitcoin Stumbles Near New High But $5k Still in Play                          Oct 11 2017 at 11:30 UTC by Omkar Godbole

Bitcoin Stumbles Near New High But $5k Still in Play Oct 11 2017 at 11:30 UTC by Omkar Godbole

It is now worth four times more than an ounce of gold.

Bitcoin surged to a fresh record Thursday as the enthusiasm for cryptocurrencies showed little signs of abating.

As we previously reported, the growth can be linked to several factors ranging from political concerns to a recent split into two currencies - the first being Bitcoin classic and Bitcoin cash.

The price rise of Bitcoin could be as a result of its monopoly in the cryptocurrency market.

However, investing in bitcoin remains risky, as it plunged to below $3,000 just in September after Chinese authorities shut down exchanges in the country. Since the start of 2017, the value of the cryptocurrency has increased by 500% this year. But he also warned against imposing "too many barriers", which appears to have given bitcoin a boost. And last month, JPMorgan CEO Jamie Dimon called the currency a "fraud" that will "blow up".

"Bitcoin was created to operate outside of the influence of governments and central banks, and is doing exactly that", said Iqbal Gandham, Managing Director at retail trading app eToro, which has seen huge increases in cryptocurrency trading volumes.

"It is folly to think that bitcoin will ever be allowed to supplant central bank-issued money", he wrote in the Guardian this week.

The soaring value of bitcoin and other cryptocurrencies comes despite growing warnings over a price bubble.

Neil Wilson, senior market analyst at ETX Capital, said investors in bitcoin are also buoyed by news that USA banking giant Goldman Sachs plans to trade the cryptocurrency.

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