Bitcoin crosses $4,000 for the first time in two weeks

Bitcoin crosses $4,000 for the first time in two weeks

Bitcoin has surpassed $4,000 for the first time in two weeks, continuing to break away from a months-long rout.

The price of the world’s best-known cryptocurrency climbed almost 7 percent to $4,037 on Thursday, according to CoinDesk’s index tracker.

The last time the digital currency was trading at the $4,000 level was on Dec. 4. It began to plummet in mid-November after months of stability, restoring volatility in an asset known to jump or fall hundreds of dollars within hours.

It has fallen almost 80 percent since a record high near $20,000 in December last year. Earlier this week, bitcoin began to jolt upward on the anniversary of the cryptocurrency’s all-time high.

Other major digital assets also traded higher on Thursday. XRP, a virtual token closely associated with blockchain firm Ripple, jumped more than 2 percent to almost 38 cents, while ether, the digital token of the Ethereum blockchain, rose over 5 percent to $109. The two cryptocurrencies are the second and third-most valuable, according to CoinMarketCap.

“The surge on Monday represents a strong push off the key support level of $3,000 per coin,” Mati Greenspan, senior market analyst at social trading platform eToro, told CNBC in an email.

“This is an extremely significant movement that may end up creating a floor for the battered down cryptocurrency.”

Greenspan said the sudden rally was likely the result of traders closing their short positions ahead of the holidays. Read more 

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