<p>Bitcoin hit a new high of nearly $45,000 Monday, shooting up more than 45% from the beginning of the year.</p>.<p>Other digital currencies — with names like Terra and Solana — also rose sharply in value.</p>.<p>Even Dogecoin, a cryptocurrency that began as a joke with a perpetually surprised Shiba Inu dog for its symbol, has soared almost 1,000% over the last week to set a record.</p>.<p><strong>Read | <a href="https://www.deccanherald.com/business/business-news/musk-fuelled-bitcoin-surge-triggers-cryptocurrency-exchange-glitches-949132.html" target="_blank">Musk-fuelled bitcoin surge triggers cryptocurrency exchange glitches</a></strong></p>.<p>The rally is a moment of euphoria for the thousands of different versions of digital money, which years ago were dismissed as little more than online Beanie Babies caught in a speculative bubble. While cryptocurrencies often rise and fall together, the latest surge stands out for its magnitude — for the first time, the value of all cryptocurrencies skyrocketed above $1 trillion during the last month — as well as the number of people who are using the digital tokens for practical purposes and the major players who are getting involved.</p>.<p>On Monday, the ostensible reason for the rally was an announcement from Tesla, the electric car company run by Elon Musk, the world’s richest person. Tesla said that it had bought $1.5 billion of Bitcoin and would begin accepting bitcoin payments, setting off a frenzy of interest.</p>.<p><strong>Also Read | <a href="https://www.deccanherald.com/business/business-news/jokes-abound-as-musk-helps-fuel-rise-of-crypto-dogecoin-948124.html" target="_blank">Jokes abound as Musk helps fuel rise of crypto dogecoin</a></strong></p>.<p>But the underlying momentum for a spike has been slowly building for about a year. Over that period, PayPal has joined other consumer apps that allow their users to buy, hold and sell cryptocurrencies. Some of the biggest hedge fund operators in the world — like Paul Tudor Jones and Stanley Druckenmiller — have also put money into the new market.</p>.<p>“It’s just a sea change in sentiment,” said Meltem Demirors, the chief strategy officer at Microshares, a cryptocurrency asset manager. “We went from being mocked and ridiculed to having the richest man in the world talking about it.”</p>
<p>Bitcoin hit a new high of nearly $45,000 Monday, shooting up more than 45% from the beginning of the year.</p>.<p>Other digital currencies — with names like Terra and Solana — also rose sharply in value.</p>.<p>Even Dogecoin, a cryptocurrency that began as a joke with a perpetually surprised Shiba Inu dog for its symbol, has soared almost 1,000% over the last week to set a record.</p>.<p><strong>Read | <a href="https://www.deccanherald.com/business/business-news/musk-fuelled-bitcoin-surge-triggers-cryptocurrency-exchange-glitches-949132.html" target="_blank">Musk-fuelled bitcoin surge triggers cryptocurrency exchange glitches</a></strong></p>.<p>The rally is a moment of euphoria for the thousands of different versions of digital money, which years ago were dismissed as little more than online Beanie Babies caught in a speculative bubble. While cryptocurrencies often rise and fall together, the latest surge stands out for its magnitude — for the first time, the value of all cryptocurrencies skyrocketed above $1 trillion during the last month — as well as the number of people who are using the digital tokens for practical purposes and the major players who are getting involved.</p>.<p>On Monday, the ostensible reason for the rally was an announcement from Tesla, the electric car company run by Elon Musk, the world’s richest person. Tesla said that it had bought $1.5 billion of Bitcoin and would begin accepting bitcoin payments, setting off a frenzy of interest.</p>.<p><strong>Also Read | <a href="https://www.deccanherald.com/business/business-news/jokes-abound-as-musk-helps-fuel-rise-of-crypto-dogecoin-948124.html" target="_blank">Jokes abound as Musk helps fuel rise of crypto dogecoin</a></strong></p>.<p>But the underlying momentum for a spike has been slowly building for about a year. Over that period, PayPal has joined other consumer apps that allow their users to buy, hold and sell cryptocurrencies. Some of the biggest hedge fund operators in the world — like Paul Tudor Jones and Stanley Druckenmiller — have also put money into the new market.</p>.<p>“It’s just a sea change in sentiment,” said Meltem Demirors, the chief strategy officer at Microshares, a cryptocurrency asset manager. “We went from being mocked and ridiculed to having the richest man in the world talking about it.”</p>