After initially dropping in reaction to last month’s green light by Washington, bitcoin has rallied about 25 percent since January 22.
Bitcoin has gained momentum over two years to break the $50,000 mark on Tuesday.
The flagship cryptocurrency has been on the low for over one year now.
However, on Tuesday, it reached a new high, trading above $50,000.
After initially dropping in reaction to last month’s green light by Washington, bitcoin has rallied about 25 percent since January 22.
That advance saw it hit as much as $50,328, according to Bloomberg data, its highest level since late 2021.
And observers were optimistic about the outlook.
“Enthusiast buyers bring in more enthusiast buyers pushing prices further up,” Fadi Aboualfa, of Copper Technologies, said.
“The cryptocurrency has momentum on the back of several green weeks and has a large chance of going up further when markets see weekly movements upwards of 10 percent (as we saw last week).”
By 0330 GMT Tuesday, bitcoin had dropped slightly, to $49,950.
The currency remains well below its record value of almost $69,000 in 2020, but the rally marks a recovery following a series of high-profile scandals and collapses that rocked the crypto industry.