Bitcoin has risen by roughly $300 today in a surprise twist. While this is nothing to get excited about just yet, it does mean that bitcoin is once again in the five-figure range. As of this morning, it’s been trading for just over $10,200.
Bitcoin Has Risen Slightly Over the Past 24 Hours
This potentially puts all the worries that analysts had about bitcoin falling below the $10K line to rest granted the world’s largest cryptocurrency by market cap can potentially remain above this level. If it can’t, we may be entering panic mode yet again very soon but granted it can remain here or incur further spikes, perhaps this was all a temporary fluke of sorts.
Still, it’s important to remember that celebrating too early can be bad for both the industry and for traders. $10,200 is nothing compared to where bitcoin was well over a week ago (roughly $12,000). In addition, the currency was trading for about $9,900 yesterday, so this isn’t much of a spike thus far. We would be wrong to assume that the worst is over, and that bitcoin is on the verge of recovering. It is our job to remain in observation mode for the time being and see where the coin goes.
So far, bitcoin is down a little less than $2,000 from where it was in late August. It has entered a strangely volatile period. Strange because the currency has been quite bullish over the past two months, and it’s unclear what potentially brings such a massive switch to the industry. From one minute to the next, bitcoin is rising and then falling.
Then again, this has been a relative constant with the asset. After all, the currency was trading for nearly $20,000 in December of 2017. Just two months later, the currency had lost more than half its value, so by these standards, what just happened is not that out of the ordinary.
The idea now is that for bitcoin to move up any higher, the stock market will have to suffer. This is not necessarily a great scenario, considering one market must be sacrificed for the betterment of another. Dan Tapiero – co-founder of 10T Holdings – commented in a recent interview:
Unfortunately, most worrying data points have been seen in a while for #stockmarket from a short-term perspective. Certainly, an extreme of epic proportions hit on this indicator. Does not seem to be something that can be corrected in just a few days. #Gold and #BTC should hold up.
Will Other Markets Have to Suffer for BTC?
This has been a running theme for bitcoin as of late. If it’s going to do well, other financial assets – such as the U.S. dollar – need to go down, which presents something of a problem in that when bitcoin does well, other markets need to slip.
So long as bitcoin remains in this fluctuating state, Live Bitcoin News will continue to cover its movements and present analyses regarding its present behavior.