The price of Bitcoin has risen to its highest levels in two months

The price of the most famous and largest cryptocurrency in the world, Bitcoin, rose to its highest level in two months, finally joining the wave of rise in risky assets and precious metals after weeks of moving in a narrow range.

This rise comes in light of investors’ desire to buy alternative assets, supported by the geopolitical situation.

Bloomberg News Agency reported that the price of the digital currency rose by up to 2.4%, reaching $96,348 per unit early this morning, in Singapore, which is its highest level within a day since last November 16.
The price of Ethereum, the second largest digital currency, also jumped by 5.1%.

Bitcoin had recorded a loss of 6% of its value last year after ending the year with a weak performance, trading in a narrow range, and not being greatly affected by the rises in stocks and precious metals.

But the digital currency showed signs of a potential breakthrough during January, and traders now believe that it may gain momentum at the expense of competing assets.

“In the medium term, I think we may see an increase in investor investments in Bitcoin, driven by expectations of higher gold prices, while other high-risk assets see a noticeable rise,” said Justin Danithan, head of research at Arctic Digital.

He pointed to a report issued yesterday showing that the core inflation rate in the United States rose over the past month at a pace lower than expected, which is considered a contributing factor for Bitcoin, in addition to the tensions surrounding the US Federal Reserve, whose officials, including Chairman Jerome Powell, received summons from a grand jury from the Ministry of Justice to investigate them on criminal charges.

Earlier this week. Dannythan explained that the Fed’s case highlights “the value of safe assets and physical assets” relative to the dollar.

“Bitcoin’s continuation above $95,000 will pave the way for an attempt to reach $100,000, and perhaps to the 200-day moving average, which currently stands at $106,115,” Tony Sycamore, an analyst at IG Australia, said in a note.

By 6:7 a.m. in London, Bitcoin was trading at $94,787.