Bitcoin hits new all-time high of $69,202

Bitcoin's climb of nearly 160% since October, with a 44% increase in February alone, stands in stark contrast to the challenging market conditions of 2022, characterized by an 18-month-long crypto winter marked by notable corporate bankruptcies and scandals.

Bitcoin surged to a new record high on Tuesday, driven by a influx of investment into U.S. spot exchange-traded crypto products and the potential for a global decrease in interest rates.

The cryptocurrency reached a peak of $69,202, surpassing the previous all-time high of $68,999.99 in November 2021. Interest from investors has grown since the Securities and Exchange Commission approved 11 spot bitcoin ETFs in late January.

Bitcoin's climb of nearly 160% since October, with a 44% increase in February alone, stands in stark contrast to the challenging market conditions of 2022, characterized by an 18-month-long crypto winter marked by notable corporate bankruptcies and scandals.

Bitcoin and the overall crypto market have received a boost from the possibility of the Federal Reserve reducing U.S. interest rates.

Analysts suggest that bitcoin has also benefited from anticipation surrounding the upcoming halving event in April, which occurs every four years and involves halving the rate at which tokens are released, along with the rewards given to miners.

Bitcoin's total supply is capped at 21 million, and with 19 million already mined, the prospect of constrained supply has played a role in driving up its value.