On Tuesday afternoon, the price of Bitcoin increased by 10% in less than an hour, thereby pushing the crypto currency’s value above $7000 for the first time since June this year. With this, in fact, other major cryptocurrencies gained a boost off the back of Bitcoin’s resurgence with Ethereum, Ripple and Bitcoin Cash all climbing by between 5-8% over the last 24 hours. Indeed, there will be even latest news on cryptocurrency market coming this month setting new benchmarks for the blockchain industry.
However, the most significant gains were experienced by Stellar and Cardano which further rose by 22% and 16%. Although, the latest hike in the Bitcoin price has still remain farther away from its all-time high which reached close to $20,000 in December 2017. However, all of a sudden spike still represents Bitcoin’s best day in around 3 months which in itself is a big achievement for Bitcoin as it regains its reputation back in the blockchain industry.
Certainly, positive and negative news in the cryptocurrency arena can be attributed towards Bitcoin’s market movements. Earlier this week, a 4% gain followed news that investment firm BlackRock is planning its move towards blockchain space. Matthew Newton, a market analyst at the investment platform eToro said in an email to The Independent that news like BlackRock Company goes a long way in lending legitimacy to crypto as an asset class which is extremely powerful over a long period of time. Mr Newton added that negative news can be more prominent on the market than positive news. This way, investors would be wise to remain cautious as we saw a similar situation in April where some big positions were squeezed which caused the price to increase. Having said that, if Bitcoin pushes past $8k, it will show that the bull is back and prices could continue to climb further.
BlackRock is not one of the first well-established firms in the financial sector to express an interest in cryptocurrency with Goldman Sachs launching a Bitcoin trading operation and thereby backing fintech startup Circle. Circle revealed in the month of May that it plans to launch a digital version of the US dollar which would offer many of the benefits of cryptocurrency while also overcoming the price volatility issue.
Cryptocurrency analysts expect more giants from the traditional financial sector to discover the promising market with some professionals’ suggesting fiat currencies could merge with cryptocurrencies. We also need to remember that cryptocurrencies and blockchain are a 10-20 year project and this will take a lot of time.
However, the most significant gains were experienced by Stellar and Cardano which further rose by 22% and 16%. Although, the latest hike in the Bitcoin price has still remain farther away from its all-time high which reached close to $20,000 in December 2017. However, all of a sudden spike still represents Bitcoin’s best day in around 3 months which in itself is a big achievement for Bitcoin as it regains its reputation back in the blockchain industry.
Certainly, positive and negative news in the cryptocurrency arena can be attributed towards Bitcoin’s market movements. Earlier this week, a 4% gain followed news that investment firm BlackRock is planning its move towards blockchain space. Matthew Newton, a market analyst at the investment platform eToro said in an email to The Independent that news like BlackRock Company goes a long way in lending legitimacy to crypto as an asset class which is extremely powerful over a long period of time. Mr Newton added that negative news can be more prominent on the market than positive news. This way, investors would be wise to remain cautious as we saw a similar situation in April where some big positions were squeezed which caused the price to increase. Having said that, if Bitcoin pushes past $8k, it will show that the bull is back and prices could continue to climb further.
BlackRock is not one of the first well-established firms in the financial sector to express an interest in cryptocurrency with Goldman Sachs launching a Bitcoin trading operation and thereby backing fintech startup Circle. Circle revealed in the month of May that it plans to launch a digital version of the US dollar which would offer many of the benefits of cryptocurrency while also overcoming the price volatility issue.
Cryptocurrency analysts expect more giants from the traditional financial sector to discover the promising market with some professionals’ suggesting fiat currencies could merge with cryptocurrencies. We also need to remember that cryptocurrencies and blockchain are a 10-20 year project and this will take a lot of time.
