Bitcoin smashes $1,000-mark at turn of New Year

Digital currency’s value rises 125% in 12 months

Bitcoin's value hit $1,020 (831) at the turn of the New Year, capping a 125% rise in value across the last 12 months.

The cryptocurrency surpassed the $1,000 mark for the first time since December 2013, more than doubling in value from $432.58 at the start of 2016, according to XE's currency chart.

Some observers attributed its 125% climb in value to growing interest from China, according to the Guardian, whose national currency, the Yuan, lost 7% of its value last year. China is where most bitcoin trading occurs, according to Reuters.

CoinDesk charts showed Bitcoin trading up to $1,029 today, falling to $1,019 before the close of business. This is still some way off its peak value of $1,230 in December 2013, according to XE's data.

Advertisement - Article continues below
Advertisement - Article continues below

"The growing war on cash, and capital controls, is making bitcoin look like a viable, if high risk, alternative," said Paul Gordon, a board member of the UK Digital Currency Association and co-founder of Quantave, a firm seeking to make it easier for institutional investors to access digital currency exchanges.

Bitcoin outperformed all central bank-issued currencies over 2016, but is a volatile medum of exchange. Following its 2013 spike, Bitcoin had lost half of this value by mid-February 2014 after Mt. Gox - the largest Bitcoin exchange at the time - halted withdrawals, before filing for bankruptcy later that month.

However, CoinDesk predicted that this time around, Bitcoin's value will continue to rise, writing: "As asserted by analysts, 2017 is expected to be a banner year, one that could finally lead the price to pass its all-time high of $1,216.7 set in 2013."

Featured Resources

Digitally perfecting the supply chain

How new technologies are being leveraged to transform the manufacturing supply chain

Download now

Three keys to maximise application migration and modernisation success

Harness the benefits that modernised applications can offer

Download now

Your enterprise cloud solutions guide

Infrastructure designed to meet your company's IT needs for next-generation cloud applications

Download now

The 3 approaches of Breach and Attack Simulation technologies

A guide to the nuances of BAS, helping you stay one step ahead of cyber criminals

Download now



US court orders alleged Bitcoin inventor to split his hoard

28 Aug 2019
digital currency

What is cryptocurrency mining?

6 Jan 2020

What is blockchain?

13 Sep 2019

Pat Gelsinger: “Bitcoin today is not OK”

28 Aug 2019

Most Popular

Microsoft Windows

What to do if you're still running Windows 7

14 Jan 2020
operating systems

17 Windows 10 problems - and how to fix them

13 Jan 2020
Microsoft Windows

Memes and Viking funerals: The internet reacts to the death of Windows 7

14 Jan 2020

Dell XPS 13 (New 9300) hands-on review: Chasing perfection

14 Jan 2020