Bitcoin broke above $20,000 on Tuesday for the first time in about a week, as cryptocurrencies bounced, along with other risk-sensitive assets, in Asian trade.

The biggest cryptocurrency by market value, bitcoin, was up more than five per cent at $20,286. The second-biggest, ether, rose 4pc to a one-week high of $1,389.

The Ethereum blockchain, which underpins the ether token, had a major upgrade earlier this month called the Merge that changes the way transactions are processed and cuts energy use.

The token’s value had subsequently fallen amid some speculation that remarks last week from US Securities and Exchange Commission Chairman Gary Gensler implied the new structure could attract extra regulation.

In the broader market, the dollar eased slightly after soaring to fresh heights on Monday.