Bitcoin's market cap hits record high above $14B

The total value of all bitcoins in circulation hit a record high above $14 billion on Thursday, as digital currency jumped 5 percent on the day to its highest levels in three years after more than doubling in price this year.



The price of one bitcoin reached $875 on the Europe-based Bitstamp exchange, its strongest level since January 2014, putting the cryptocurrency on track for its best daily performance in six months.



That compared with levels around $435 at the start of the year, with many experts linking bitcoin's rise with the steady depreciation of the Chinese yuan, which has slid almost 7 percent this year. Data shows the majority of bitcoin trading is done in China, so any increase in demand from there tends to have a significant impact on the price.



Bitcoin is still some way off the peaks it scaled in late 2013, when it traded as high as $1,163 on the Bitstamp exchange. But because more bitcoins continue to be added to the system, its total value on Thursday surpassed the 2013 peak of around $14.01 billion.