Bitcoin rallies 20% as sell-off Comes to an END
Bitcoin prices rallied 20% on Thursday, as investors returned to the market to search for low-priced valuations in wake of recent losses which got the virtual currency to the lowest level in more than a year on Wednesday.
Bitcoin (BTC/USD) leap $38.03, or 21.37%, to trade at $216.03 on Slovenia-based BitStamp during U.S. morning hours.
A day before, BitStamp prices hit $152.40, a level not observed since April 2013, before ending at $172.14, as emotion remained weak following last week’s data breach.
Hackers stole almost 19,000 bitcoins valued about $5 million from BitStamp on January 5. The exchange then went offline for 4days before reopening on Friday, January 9.
The price of a bitcoin on Bulgaria-based BTC-e rallied $40.33, or 23.24%, to trade at $213.88, while prices on Singapore-based itBit jumped $38.91, or 21.49%, to trade at $220.00.
Consequently to the CoinDesk Bitcoin value Index, which averages prices from the major exchanges, prices of the crypto-currency surged $38.32, or 21.64%, to trade at $215.40.
In the meantime, euro-denominated Bitcoin prices (BTC/EUR) increased €35.47, or 23.06%, to trade at €189.32 on U.S.-based Kraken Exchange.
In another place, yuan-denominated Bitcoin prices on Shanghai-based BTC China increased 221.23 yuan, or 20.62%, to trade at 1,293.98 yuan, although prices on Beijing-based OKCoin tacked on 218.98 yuan, or 20.26%, to deal at 1,300.00 yuan.
Bitcoin is digital currency and is not backed by a central bank or government to control or question it. It can be used to buy services and goods from stores and online retailers.
Bitcoin’s market cap has been on a stable decline in prior months, even as the digital cash has been getting more accepted with merchants and retailers, including PayPal, Overstock.com Expedia, and Dell.