How did Bitcoin Rise so quickly?
Investors who stopped watching the cryptocurrency markets during the night and looked again in the morning came to a big surprise. The reason for this surprise was that, predictably, Bitcoin rose 3 thousand dollars in a matter of hours. So what are the underlying reasons for this rise?
There seems to be no single reason why the price of Bitcoin is rising so fast. However, it is almost impossible to link how he rose so fast to a single cause. Let us look at the reasons that affect the price with you;
Xi Jinping’s blockchain description
Chinese President Xi Jinping made comments on Blockchain technology last day and said China should be a leader in the Blockchain sector. Jinping added to his speeches that his work in this area will accelerate, and he has mobilized the Chinese market. Market analysts generally believe that the main reason for this increase in price is excessive demand from China.
According to some cryptocurrency analysts, the real reason for the price rise was the market squeeze. Bitcoin suffered a severe depreciation of $ 1300 last week. In the process, they’re approximately $ 150 million positions at BitMEX had been liquidated. This led to a short-selling squeeze, and with it, the Bitcoin price quickly began to gain in value.
The price of bitcoin, which has been watched in the 8 thousand dollar band for a long time, fell slightly below normal last week and settled in the 7 thousand dollar band. According to analysts, some whales who saw the decline in market volume took action. Whales that are able to make more comfortable price movements in an environment with low volumes may have started to move.
A user commenting via 4chan had made predictions about Bitcoin’s performance for 2019 and had catch predictions nearly all of them. The most important of these predictions, which were much talked about on social media, was that Bitcoin would see $ 16k by the end of 2019.
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