Facebook Twitter

Bitcoin and Ethereum just hit all-time records. Here’s what that means

Bitcoin and Ethereum saw a massive surge, which could impact all other cryptocurrencies

SHARE Bitcoin and Ethereum just hit all-time records. Here’s what that means
The bitcoin logo float in New York.

Balloons bearing the bitcoin logo float above the floor at the Inside Bitcoins conference and trade show on Monday, April 7, 2014, in New York. Bitcoin and Ethereum reached all-time highs Tuesday, showing a massive shift toward cryptocurrency investing.

Mark Lennihan, Associated Press

Bitcoin and Ethereum reached all-time highs Tuesday, showing a massive shift toward cryptocurrency investing.

Bitcoin, Ethereum reach all-time highs

Per CNN, experts predicted a higher rise from Bitcoin, despite continued criticism about the cryptocurrency.

Why did Bitcoin and Ethereum rise?

It’s not clear. Per CNBC, “the reason for the move wasn’t clear. Cryptocurrencies are known for their volatile price swings, with moves of up to 20% higher or lower relatively common.”

Will Bitcoin hit $70,000?

It’s likely. Mikkel Morch, executive director at crypto hedge fund ARK36, told CNBC that Bitcoin reaching a $70,000 cost per coin “seems imminent.”

  • “Importantly,” he added, “the uptick doesn’t seem to be leverage-driven but rather results from the increased demand on the spot market where there’s currently very little sell-side liquidity.”

What to know before investing

The Financial Conduct Authority said you should always exercise caution before jumping in on the cryptocurrency market because the market moves so much.

  • “Consumers should be aware of the risks and fully consider whether investing in high-return investments based on cryptoassets is appropriate for them. They should check and carefully consider the cryptoasset business involved,” the FCA said.
  • “Investing in cryptoassets, or investments and lending linked to them generally involves taking very high risks with investors’ money,” FCA’s statement said. “If consumers invest in these types of product, they should be prepared to lose all their money.”