Fueled by Latest Inflation Figures, Bitcoin Jumps to a New All-time High

“What is it that happens in inflation? The unit of money suddenly loses its identity. The crowd it is part of starts growing and, the larger it becomes, the smaller becomes the worth of each unit. The millions one always wanted are suddenly there in one’s hand, but they are no longer millions in fact, but only in name.”― Elias Canetti, Crowds and PowerAnalysts at JP Morgan have attributed the rise in the price of Bitcoin to its greater appeal as a hedge against inflation. Inflation is literally wiping out the raises of those lucky enough to even have a good job — parents are worried about the price of milk for their kids. Investors can see that inflation is eating into the value of their assets with time, and rising inflation expectations make Bitcoin’s appeal more interesting as a long-term store of value.Assets perceived as stores of value such as Bitcoin are rising as more and more investors discover that inflation levels were higher than expected. The Consumer price index (CPI) released by the U.S. The report released indicates that the cost of living in the States rose to 6.2% in October. The core inflation index, which strips out the food and energy component which are deemed to be more volatile rose by 4.6%. Analysts believe that these figures are modest at best. They do not represent the exact picture of things.Senator Joe ManchinOn its path, the Federal Reserve has described the situation as transitory. Implying that the figures would soon reverse to lower levels. Federal Reserve Chair Jerome Powell stated that the global economy is yet to fully recover from corona virus-related restrictions and supply chain bottlenecks.Bitcoin prices, as a result, have gotten to record levels going at the $69,000 price level. By this, it is rallying close…