Bitcoinâ€™s price broke through $18,000 in what some experts are attributing to global events and bullish fundamentals in crypto.
The worldâ€™s top cryptocurrency by market capitalization reached a high of $18,062 at 03:01 UTC, a price point not seen since Dec. 16, 2017.
Over the past 24-hours, bitcoin has ranged between $16,560 and $18,062.
Bitcoin is now up 146% on a year-to-date basis and has gained nearly 70% so far this quarter, according to CoinDesk 20 data.
â€œA few recent events have undoubtedly had an impact,â€ said Antoni Trenchev, co-founder and managing partner at crypto lender Nexo. â€œInstitutional investment by the likes of MicroStrategy and Square, PayPal actively shilling crypto, and the bitcoin halving in May,â€ were likely causes for bitcoinâ€™s continual rise.
Others see global events such as COVID-19 and negative interest rates in traditional markets, such as Germany, as the outliers for bitcoinâ€™s meteoric rise this year.
â€œInterest rates are the most important factor in peopleâ€™s decisions on where to deposit money,â€ said Ki Young Ju, CEO at analytics firm CryptoQuant. â€œIâ€™m sure negative interest rates will drive adoption in crypto whether itâ€™s direct purchasing crypto/index funds or using staking services.â€
While bitcoin is fast approaching its Dec. 17, 2017 all-time high of $19,666, ether also broke new 2020 heights above $488 to stand at $489 by press time.
Another factor could be attributed to the easy money policies of central banks and increased government spending from some of the worldâ€™s largest economies including Europe and the U.S in recent months.
â€œI think it basically comes down to monetary and fiscal policy,â€ said Kyle Davies, co-founder of Three Arrows Capital. â€œCentral banks can lower rates until they get to slightly negative, and then they have to print money.â€
At that point, Davies maintains, central banksâ€™ dependency on newly printed money will make â€œBTC attractive.â€