Bitcoin hits new all-time high — why the world's largest crypto is surging

TheStreet's J.D. Durkin brings the latest business headlines from the floor of the New York Stock Exchange as markets open for trading Tuesday, March 5.

Full Video Transcript Below:

J.D. DURKIN: I'm J.D. Durkin - reporting from the New York Stock Exchange. Here's what we're watching on TheStreet today.

Stocks are coming off a losing session as investors look ahead to a busy week on Wall Street. Traders will be closely monitoring comments from Fed Chair Powell when he testifies in Washington on Wednesday. Markets will be looking for clues on the Fed's next move on interest rates as well as the state of the economy. Wall Street also expects a slew of labor market data, concluding with the February jobs report Friday.

In other news - Bitcoin has reached a new all-time high. On Monday, March 4th - the world's largest cryptocurrency saw its price hit $68,791 - eclipsing the previous high, which was set in November of 2021, by two dollars.

Bitcoin's rally can be attributed to a few factors. First off - January 2024 saw the launch of the first Bitcoin-pegged exchange-traded funds, or ETFs. This allowed more everyday investors to add the cryptocurrency to their portfolios, as opposed to just having to buy it outright.

Another reason for the rally is the upcoming Bitcoin halving. There is a finite number of Bitcoin to be found, and every four years the amount of coins entering circulation is cut in half - making them more scarce and driving up price as well as demand.

According to Coin Market Cap, Bitcoin is up more than 200 percent over the past 12 months - and it accounts for more than 50 percent of all cryptocurrencies circulating in the $2 trillion industry.

That'll do it for your daily briefing. From the New York Stock Exchange, I'm J.D. Durkin with TheStreet.