Good news, Bitcoin price soars up again through level US $5,000

Good news, Bitcoin price soars up again through the level US $5,000

Bitcoin price jumped 15% on Tuesday (2/4) and had climbed above the US $5,000 for the first time since November last year. However, there is no sufficient explanation for the reason for the sudden surge in bitcoin prices.

Bitcoin price

Nigel Green, founder and chief executive of deVere Group in a report only says that there is a growing feeling among investors that the Bitcoin Pamor has returned. "This dramatic leap will likely attract many investors including those of large institutions," he said as CNN quoted.

The wild movement of Bitcoin itself is arguably a habit. So Naeem Aslam, a chief market analyst with TF Global Markets (UK) Ltd. Assessed this condition should not be too surprising.

 "Bitcoin is a kind of beast that has the ability to score more than 20% increase every day and we have seen this kind of rally towards the end of 2017 before the price falls, " wrote Aslam in his report.

He added that a spike in bitcoin would attract many investors who had long waited for the bitcoin price movement to re-crawl up to return it.

Research analyst at FXTM currency broker Lukman Otunuga agrees. He said a sudden and explosive swing is not a new thing in the cryptocurrency world. "But the reason behind this aggressive leap of bitcoins remains a mystery," he said.

In other words, the value of Bitcoin is higher just because more people are buying bitcoins. This is the classic case of investing momentum and there may not be a sensible fundamental analysis to explain the spike.

Meanwhile, Bitcoin is also rated as a favorite toy from traders who want to grab a quick tweet. 

David Spika President GuideStone Capital Management said that the rally of bitcoin prices is likely another example of increased risk. For example, stock prices jumped in the first quarter, although there was a concern that issuer revenue was expected to decline during that period. And bond yields fall amid the worries of slowing global economic growth.

However, it is undeniable that bitcoins are once again in momentum. Bitcoin has now climbed by about 25% in the year and jumped more than 60% from its lowest of US $3,100 in last December.

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