Bitcoin Rallies Nearly 15% After Latest Pullback
Bitcoin prices bounced back today, rallying after markets participants responded to the latest pullback.
The world’s largest digital currency by market capitalization reached as much as $32,201.74, CoinDesk figures show.
At this point, it had climbed roughly 14.4% from the recent low of $28,154.11 it hit close to 5:30 a.m. EST, additional CoinDesk data reveals.
These notable gains materialized after the digital asset lost more than $6,000 after climbing to a fresh, all-time high of more than $34,000 yesterday.
[Ed note: Investing in cryptocoins or tokens is highly speculative and the market is largely unregulated. Anyone considering it should be prepared to lose their entire investment.]
Some analysts depicted bitcoin’s latest upward movement as a natural response after the cryptocurrency plunged more than 18% in less than 36 days.
Jason Lau, COO of cryptocurrency exchange OKCoin, attributed the most recent gains to “institutions buying up assets during the dips.”
“They don’t buy all in one big purchase,” he noted, adding that these organizations are “buying up dips in increments.”
John Todaro, director of institutional research for TradeBlock, also weighed in, stating that:
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“There continues to be strong momentum broadly for digital currencies here, so I would expect dip buying.”
As for the pullback that helped prompt today’s bullish price movements, Todaro said the following:
“A breather was bound to occur at some point given the impressive rally over the past several weeks.”
However, he portrayed such retracements as being positive for the world’s most prominent digital currency going forward.
“I believe dips will continue to be used as buying opportunities, and I would expect that to continue for the next couple months.”
Disclosure: I own some bitcoin, bitcoin cash, litecoin, ether and EOS.