Bitcoin Hits $8,000 After Two Months of Lows, Reasons Behind Rise

Bitcoin price hit more than $8,000 during early morning trading today, making it the highest figure reached since May.


Bitcoin Price Rallies to $8,000

Figures from CoinMarketCap show that Bitcoin’s value rose to $8,175 today, representing a 5.81 percent rise in the past 24 hours. In seven days, it has risen by nearly 19 percent.

Cryptocurrency prices across the board have also fared well. Ethereum is currently valued at $473, Bitcoin Cash is trading at $851, whereas Litecoin is just under $90. Sixth-placed Stellar, which has overtaken Litecoin in terms of market cap value, has seen the biggest price jump in seven days, at 27.36 percent. At the time of publishing, it’s valued at $0.298771.

These latest price gains have pushed the combined market cap price to over $297 billion.

Reasons for the Bitcoin Price Rise

The news of this couldn’t come at a better time. Since the start of the year, it’s been tough for the cryptocurrency market. With Bitcoin’s price struggling to gain traction – and dropping below $6,000 twice in June – there was speculation that a bottom hadn’t been seen yet.

Yet, even though Bitcoin has once again hit $8,000, one crypto expert thinks it’ll fall to $2,000 first before it rallies back to $20,000. For now, though, the community is happy. After all, this signals an important milestone with many hoping that it’ll continue to the $10,000 mark.

Here are a few of the reasons which may be boosting Bitcoin’s price.

The U.S. Securities and Exchange Commission (SEC) is considering whether to approve the exchange-traded fund (ETF) that was filed by the Chicago Board of Exchange (CBoE). If approved, it would permit people to purchase the digital currency without needing to worry about regulation or trust.

In March, the CBoE Global Markets said that the SEC shouldn’t stand in the way of ETFs that hold cryptocurrencies as they are the same as ETFs that hold commodities. According to an unconfirmed report, the Bitcoin ETF was “nearly certain” to get approval later this year.

The new incoming CEO of Goldman Sachs, David Solomon, may also be giving the market a boost. Unlike his soon-to-be-predecessor, Lloyd Blankfein, Solomon is reported to be thinking about adding cryptocurrencies to the company’s portfolio. In a report from Bloomberg, he said that the bank “must evolve its business and adapt to the environment.”

What do you think is driving the price of Bitcoin up? Let us know in the comments below.


Images courtesy of Shutterstock.

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