Bitcoin’s price is soaring, so is it time to invest?

Cryptocurrencies are having a resurgence. The price of bitcoin hit a record high this week and the total market is now worth £2.5 trillion.

After its brief peak of $69,245, bitcoin traded at about $66,780 on Thursday morning, up 51 per cent from the start of the year, according to the analyst CCData. It means that a £1,000 investment made in early January would this week have been worth about £1,510.

The data firm Coinmarketcap estimates that the total crypto market is up 149 per cent in a year, so onlookers may be thinking of taking the plunge.

But analysts are urging caution. Ben Yearsley from the consultancy Fairview Investing said: “All the fundamentals say no. With my rational investing, decision-making hat on, I think