Bitcoin sets record as value surpassed $30,000 for first time

Bitcoin has passed $30,000 in value for the first time, continuing a recent sharp rise.

The virtual cryptocurrency, Bitcoin hit $30,823.30 on Saturday, just weeks after soaring above $20,000 for the first time.

In the past year, the currency has almost quadrupled in value thanks to interest from large investors looking for rapid profits.

Some analysts think it could rise even further as the US dollar drops further.

Just 12 years old, bitcoin has seen a meteoric rise since March, when it stood at $5,000, spurred by online payments giant PayPal saying it would enable account holders to use cryptocurrency.

After PayPal’s announcement in October, analysts at investment banking giant JPMorgan Chase compared the cryptocurrency to gold.

“Bitcoin could compete more intensely with gold as an ‘alternative’ currency over the coming years given that millennials will become over time a more important component of investors’ universe,” they said.

A number of central banks have meanwhile responded to the rise of cryptocurrencies and the dwindling global use of cash by announcing plans for bank-backed digital units.