Bitcoin briefly hits all-time high, less than two years after FTX scandal clobbered crypto

Bitcoin has hit an all-time high less than two years after the collapse of the crypto exchange FTX damaged faith in digital currencies.

Bitcoin has hit an all-time high less than two years after the collapse of the crypto exchange FTX severely damaged faith in digital currencies and sent prices plunging.

The world's largest cryptocurrency jumped 4% this week and briefly surpassed $68,800 Tuesday, according to CoinMarketCap. That's just above bitcoin's previous record set in November 2021.

The volatile asset soon fell some, standing at just under $62,000 as of 3 p.m. ET, but the price is still up more than 175% from one year ago.

Gains in recent months have been fuelled by the anticipation, and eventual U.S. approval, of bitcoin exchange traded funds earlier this year, which provided access to a much broader class of investors. The price for bitcoin has surged about 60% since the approval of bitcoin ETFs in January, an easy way to invest in assets or a group of assets — like gold, junk bonds or bitcoins — without having to directly buy the assets themselves.

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Also driving prices is what is known as bitcoin “halving” which is anticipated in April. Halvings trim the rate at which new coins are mined and created, thus lowering the supply.

Here's what you need to know.