Bitcoin hits new all-time high above $69,000; multiple factors drive gains

Bitcoin has continued its fine performance in Nove­mber by setting a new all-time high above $69,000 despite dipping below the $66,000 level earlier on Wednesday.

The leading cryptocurrency has added more than $3,000 to its value today and hit a new all-time high at $69,044.77. 

Other coins also rose, with the Bloomberg Galaxy Crypto Index — which tracks major cryptos — gaining as much as 2.4 per cent to its highest level since May.

The rise in the token can, at least partly, be explained through the fundamental argument — which has gained traction in recent months — that Bitcoin can act as an inflation hedge. Crypto backers argue that, unlike dollars or any other traditional currency, the digital coin is designed to have a limited supply, so it can’t be devalued by a government or a central bank distributing too much of it. 

“Bitcoin continues to enjoy the rally that began in August and accelerated through September and October,” said Sui Chung, chief executive of CF Benchmarks, a cryptocurrency benchmarks administrator.