Bitcoin and Ether made record peaks in the Asia session on Tuesday as enthusiasm for cryptocurrency adoption and fears about inflation lent support to the asset class.

Bitcoin rose as far as $67,700 and ether, the second-biggest cryptocurrency by market value, hit $4,800. Both have more than doubled since June and added nearly 70 percent against the dollar since the start of October.

The moves helped lift the total market capitalisation of cryptocurrencies above $3 trillion, according to crypto price and data aggregator CoinGecko.

Falling real yields, as traders brace for inflation, adds to the attractiveness of assets such as gold and cryptocurrencies which do not pay a coupon, said Kyle Rodda, analyst at broker IG Markets, adding that the mood in the sector has also been good.

"Financial institutions want to be a part of it, regulators don't want to clamp down on it too much," he said. "We're almost past the inflection point, where it's part of the system and its going to be very, very hard to extricate it."

In recent weeks Australia's biggest bank has said it will offer crypto trading to retail customers, Singaporean authorities have sounded positive on the asset class and spillover from a positive mood in stocks has also leant support.

Last week New York Mayor-elect Eric Adams said he would take his first three paychecks in bitcoin and signaled his intention to make his city the "center of the cryptocurrency industry" after a similar pledge from Miami's mayor.

First Published:Nov 9, 2021 6:47 AM IST