The digital currency’s rapid ascent from around $1,000 at the start of the year has thrusted the cryptocurrency into the spotlight. Bitcoin crossed $14,000 (around £10,460), surging $2,000 in less than 24 hours.
Critics have said Bitcoin is going through a bubble similar to the dotcom boom, whereas others say it is rising in price because it is crossing into the financial mainstream. Financial regulators have taken a range of views on the status of digital currencies and their risks.
The UK’s Financial Conduct Authority warned investors in September they could lose all their money if they buy digital currencies issued by firms, known as “initial coin offerings.”
The cryptocurrency started the year below $1,000, but continues its sharp rise despite warnings of a dangerous bubble. Bitcoin hit the latest milestone during early trading in Asia, according to the website Coindesk.com.
The new record high comes just days before the launch of bitcoin futures on two exchanges, including the world’s largest futures exchange, CME.
Spread betting firm CMC Markets said the rise had all the symptoms of a bubble market, warning “there is no way to know when the bubble will burst.”