Bitcoin Currency Rises Higher Than Gold, Bubble May Burst

December 1, 2013 Updated: July 18, 2015

The bitcoin prices on Dec. 1—just days after the price was higher than gold—was $1,030.

One bitcoin on Nov. 29 exceeded the price of gold, reaching $1,242. Gold was $1,241.

Bitcoin quickly decreased to below gold but it still was a psychologically significant event, Erik Boorhees, an early entrepreneur in bitcoin, told Coin Desk

“For believers, it means bitcoin is really becoming a ‘respectable asset’. Clearly, bitcoin is no longer a penny stock. It’s playing in the big leagues—a share being worth more than a share of Google or Apple, and even more then an ounce of gold.”

Anthony Di Iorio, the head of Canada’s Bitcoin Alliance, added that bitcoin has been rising steadily, first passing $500, then $1,000, before eclipsing gold for a short time. It has been above silver for quite a while.

Not everyone is enthused. Seeking Alpha, an investment blog, recommends selling bitcoin, predicting the the bubble will burst.

“An asset that can easily double in value over the course of just a few days is clearly one to watch out for, and one where a lot of money can be made or lost very quickly. Right now we’re hanging over a precipice though, with prices at all time highs and very little to support their position.”

Follow Zachary on Twitter: @zackstieber
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