Bitcoin, after dropping under $10,000 per bitcoin at the beginning of this month, has bounced back, making strong gains and pulling the wider cryptocurrency market, including major cryptocurrencies ethereum, Ripple’s XRP, and litecoin, up with it.
The bitcoin price has soared back to near its year-to-date highs over the last 24-hour trading period, adding over 10% and recording highs of $12,880 per bitcoin on the Luxembourg-based Bitstamp exchange. Bitcoin hit a year-to-date high of $13,880 last month as news of Facebook’s planned cryptocurrency caused bitcoin interest to reach fever-pitch.
Ethereum, Ripple’s XRP, and litecoin have meanwhile added between 3% and 4% over the trading period, underperforming bitcoin though taking the total cryptocurrency market value to over $350 billion.
The bitcoin price jumped some $500 in just 10 minutes last night, according to Bitstamp data, giving bitcoin bulls the green light to push the market upward after a weekend of sideways trading.
Yesterday, bitcoin technical data showed a sharp rise higher could be imminent as bitcoin soared above its upper Vera band limit, which identifies upward or downward trends, it was first reported by Bloomberg, a financial newswire.
Bitcoin price data shows bitcoin has followed a similar trend since mid-February after it then broke above its upper band limit for the first time this year. It went on to rally hard over the following weeks.
Bitcoin’s latest strides higher come after German banking giant Deutsche Bank announced it will be cutting some 18,000 jobs and winding down its investment banking division yesterday, something taken by the bitcoin and cryptocurrency community as a sign the traditional financial sector is on the way out and bitcoin and crypto will somehow fill the void.
“Deutsche Bank plans to fire almost 20,000 employees,” Morgan Creek Digital Assets co-founder Anthony Pompliano said via Twitter. “Bitcoin has no employees to fire. DB is built for the old world. And Bitcoin is built for the new world.”
“The old financial system is dying a slow death. Let’s hope the new one is brighter,” Mati Greenspan, senior market analyst at brokerage eToro, wrote in a note to clients.
Meanwhile, bitcoin is looking stronger than ever. Bitcoin’s hash rate, a measure of computing power bitcoin miners are directing at the bitcoin network, reached its all-time high late last week, with data showing it climbed to over 74.5 million tera hashes per second—up over 100% on this time last year.
The bitcoin boom may be short-lived, however. Last week, researchers said that bitcoin and the cryptocurrency market could climb as a result of the U.S. Fourth of July celebrations, with friends and families spreading so-called fear-of-missing-out (FOMO) amongst those considering buying bitcoin and crypto.
Bitcoin and cryptocurrency awareness, something that was harder to measure before bitcoin’s epic 2017 bull run sent the bitcoin price from under $1,000 per bitcoin to almost $20,000 in fewer than 12 months, appears to be closely tied to the bitcoin price, which gets pushed on by FOMO.