Bitcoin price rises above $66,000

Bitcoin surged to a two-year peak on Monday, smashing through the $66,000 mark as a surge of investment propelled it tantalizingly close to its all-time high.

The cryptocurrency reached a peak of $66,240 during the European trading session, marking a 5.4 percent increase, after already hitting a fresh two-year high during Asian trading.

This year, the largest cryptocurrency by market capitalization has soared by 50 percent, with much of the surge occurring in recent weeks as investments into US-listed bitcoin funds have surged. Spot bitcoin exchange-traded funds gained approval in the United States earlier this year, paving the way for new major investors and reigniting enthusiasm and momentum akin to the run-up to record levels in 2021.

“The inflows show no signs of slowing down as investors grow more confident with each surge in price,” remarked Markus Thielen, head of research at crypto analytics firm 10x Research in Singapore.

According to LSEG data, net inflows into the top 10 US spot bitcoin funds totaled $2.17 billion in the week ending March 1, with over half of that directed into BlackRock’s iShares Bitcoin Trust.

Ether, a smaller counterpart, has ridden a wave of speculation that it too may soon see exchange-traded funds driving investment. It has surged by 50 percent year-to-date and on Monday was trading at two-year highs, climbing 2.6 percent to reach $3,518.

The rally in cryptocurrencies has coincided with record-breaking performances on stock indexes, from Japan’s Nikkei to the S&P 500 and tech-heavy Nasdaq. Additionally, volatility indicators in equities and foreign exchange have begun to retreat.

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