Bitcoin Price History

In a historic development that may not have been such a surprise to those who closely follow the cryptocurrency, Bitcoin hit a historical high of $5000 last week as it continues its astronomical rise.

Once the psychological barrier of $5000 was broken, the price marched on and Bitcoin hit another high on Friday, continuing its rally as investors demonstrated more and more bullish sentiment.

The price of the cryptocurrency hit an all-time high of $5856 in the early hours of Friday morning (data from, but profit taking from investors caused the bitcoin price to fall as low as $5396 in just the following hours, demonstrating that there is still some volatility involved.

Bitocin’s market capitalization — the total value of all the bitcoins in circulation — hit $97 billion, and its value is now up over 480% this year.

The catalyst for this most recent rally that took off on Thursday was speculation that China could reverse a recent ban it put on exchanges. Last month, regulators banned cryptocurrency exchanges, and three of the largest exchanges in the country (and the world) shut down operations. Lifting these hurtful restrictions would bring the world's second-largest economy back to the Bitcoin table, and new trust and confidence with it.

Experts have also opined that a major upcoming change could be getting investors excited. Earlier this year, bitcoin split, and a new cryptocurrency called bitcoin cash was created. Another so-called "fork" is on the way, which will create "bitcoin gold." Holders of bitcoin will automatically receive bitcoin gold, which is essentially "free money," or so they expect. But it’s not all as simple (and rosy) as it seems.

Longer term trends have also helped bitcoin's price. Favorable regulation from governments like Japan’s, which has allowed retailers to accept bitcoin for payment, has supported bitcoin. Also, Goldman Sachs is considering the launch of a new digital currencies-focued trading operation -  a first among the big financial players.

All things considered, analysts expect Bitcoin to break through $6000 before the coming fork in November, although there is some speculation of a drop back down below $5000. Potential investors into the cryptocurrency should carefully monitor the price levels to identify good entry points. And keep a close eye on news that may encourage bullish investors.

Any analysis, opinion, commentary or research-based material on our website is for information and educational purposes only and is not, in any circumstances, intended to be an offer, recommendation or solicitation to buy or sell. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure.

About the author

The author is an expert in the field of multi-asset trading.