Bitcoin has risen more than 100% this year, outperforming all major currencies and stock indices

According to news on the 24th Beijing time, Bitcoin broke through $900. Intensified geopolitical risks and the Federal Reserve's tightening policy have pushed up demand for alternative assets.

Data compiled by Bloomberg show that as of the close of this Friday, Bitcoin soared 15.86% this week to $904.48, and this year's gains have expanded to 109%. The last time Bitcoin reached this level was in January 2014. At that time, due to the bankruptcy of the MtGox trading platform and China's tightening of Bitcoin regulations, Bitcoin fell sharply from its record high of $1,137.

Bloomberg said that Bitcoin's rise in 2016 outperformed all major currencies, stock indexes and commodity contracts, and the momentum is still continuing. Buyers sought alternative assets this week because the Russian ambassador to Turkey was assassinated and a major attack occurred in Berlin, Germany, killing 12 people. In China, a major Bitcoin trading center, downward pressure on the yuan has also stimulated demand for Bitcoin in the local market. Pressure on the yuan to depreciate has intensified this month, mainly because the United States is expected to accelerate the pace of monetary policy tightening next year after Trump's victory.

Le Xiaotian, an analyst at Chinese bitcoin trading platform Huobi, said that terrorist attacks in Europe have boosted the demand for safe-haven assets in the capital market, and gold prices have continued to fall since Trump was elected. Global instability has largely led funds to flow into the bitcoin market.

Bitcoin is increasingly popular among some investors as a safe-haven asset because it is seen as less susceptible to government regulation and monetary policy. Gold prices, which typically move in the same direction as bitcoin when safe-haven demand is strong, have fallen this quarter, driven by rising U.S. interest rates, and its premium over bitcoin has narrowed to the lowest in three years.

Thomas Glucksmann, marketing director of bitcoin exchange Gatecoin, said in Hong Kong that the Fed's decision to raise interest rates may have scared off many emerging market investors, especially those in China. As fiat currencies weaken, investors flocked to bitcoin for safe havens. "Bitcoin has crossed the $800 level, which was once a strong resistance level, and is heading towards $1,000. Anything seems possible."