Bitcoin rallies and gains as much as 7.6%, rising beyond $20,400
After a precipitous plunge on Saturday, Bitcoin rallied on Sunday, rising as high as 7.6 percent to $20,404 from its previous closing.
Bitcoin, the largest and most well-known cryptocurrency in the world, rose by almost 16% from its yearly low of $17,592.78 on June 18th, when it fell on investor fears about rising issues in the crypto sector and amid a broader pull-back from risky assets.
According to Coinmarketcap, the price of one bitcoin dropped to $19,781.69 on Sunday night.
When asked about the weekend surge in Bitcoin’s price, Andrew Brenner, head of international fixed income at National Alliance Securities, said on Sunday that it was likely due to ordinary investors scooping up the digital currency.
The price of Bitcoin has dropped to a level that displays some near-term attraction, and some purchasers believe that now is a good moment to get in, as Brenner put it. In addition, he stressed that Bitcoin and other digital currencies remained highly unstable.
Coinciding with the crypto market sell-off, equities generally have been falling as US stocks have had their largest weekly percentage decrease in two years due to concerns over increasing interest rates and the growing risk of a recession.
Since the US Federal Reserve is discontinuing its programme of unlimited monetary stimulus, Brenner said that investing in virtual currencies is not a wise idea.
Digital currencies are not a good bet as long as the dollar remains strong, according to Brenner.
