Bitcoin Surges to Highest Since July 2019 After PayPal Embrace

Photographer: David Paul Morris/Bloomberg

Bitcoin surged to the highest level since July 2019 after PayPal Holdings Inc. announced it will allow customers to use cryptocurrencies.

The largest digital coin increased as much as 8% to $12,854 Wednesday, surpassing the previous high for the year of $12,473 set in August. Gains among so-called alt coins were even larger, with Litecoin jumping more than 12% and Bitcoin Cash surging more than 8%.

PayPal customers can use cryptocurrencies including Bitcoin, Ether, Bitcoin Cash and Litecoin on the platform. Shares of PayPal jumped as much as 5.2% to $212.50, the biggest intraday increase since Sept. 9.

Mike Novogratz, who runs Galaxy Investment Partners, on Twitter called it “the biggest news of the year in crypto,” adding that banks will embark on a race to service digital currencies. “We have crossed the Rubicon,” he said.