CHARLOTTE, N.C. (AP) — First it went through $20,000. Then 10 days later, it broke through $25,000, and then, with barely taking a breath, it crossed $30,000. Now only a few days into 2021, the price of bitcoin has crossed $40,000.
Nothing’s new with the digital currency in the month since it crossed $20,000 — there’s been no major change in how it can be used. Although some investors are now using the notoriously volatile currency as a “store of value,” which is traditionally a title saved for safe haven investments like gold and other precious metals.
“Will you be able to buy a cup of coffee with bitcoin? Probably not with the current version of Bitcoin. It’s largely become a store of value,” said Mike Venuto, a co-portfolio manager of the Amplify Transformational Data Sharing ETF, a $391 million exchanged-traded fund that focuses on blockchain technologies and companies that deal with cryptocurrencies.
Media attention to its rise has only added fuel to the rally.