Bitcoin prices surged to their highest level in more than 50 days on Tuesday, surpassing $95,000 amid a combination of economic factors and global geopolitical tensions.
As of 9 a.m., Bitcoin was at $95,306, down 0.05% since it opened early Wednesday in Asian trading, making it the highest price to date and reflecting increased investor interest in crypto assets.
The rise came as the United States issued a stern warning to its citizens to leave Iran immediately, following increased protests and fears of greater conflict in the Middle East region.
As the risk of war increases, investors tend to look for alternative assets. Bitcoin is an option because it is not controlled by any country and can be used despite sanctions or communication disruptions.
In addition to geopolitical factors, market sentiment was also supported by US inflation data showing that price increases are still under control. This signals that the US Federal Reserve does not need to raise interest rates in the near future.
Stable interest rates have boosted investor confidence in risky assets like Bitcoin. As a result, Bitcoin’s price has jumped more than 5% from around $91,000, while other cryptocurrencies such as Ethereum, Solana and XRP have also seen gains.
This combination of geopolitical tensions and stable economic conditions has sparked a surge in demand for Bitcoin, cementing its role as an alternative asset in times of uncertainty.
