Bitcoin price passes $7,000 as remarkable recovery continues into seventh week

Latest cryptocurrency value represents a eight-month high

Anthony Cuthbertson
Monday 13 May 2019 06:43 EDT
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Bitcoin is still a long way off its peak price of $20,000, which it reached in December 2017, but some cryptocurrency experts believe it could hit an even higher value by 2020
Bitcoin is still a long way off its peak price of $20,000, which it reached in December 2017, but some cryptocurrency experts believe it could hit an even higher value by 2020 (AFP/Getty Images)

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The price of bitcoin has risen above $7,000 (£5,380) for the first time since September, amid speculation that its value could double by the end of the year.

It marks the seventh straight week of gains for the cryptocurrency, having spent the first three months of 2019 trading below $4,000.

The latest price is still a long way of its late 2017 peak, when intense interest pushed bitcoin close to $20,000 before a major sell-off saw the market crash.

Bitcoin's recovery began at the beginning of this year, though the biggest surge in value has come since the start of May.

In less than two weeks bitcoin has risen by $2,000 and broken above the $6,000 mark that was seen by market analysts as a crucial test of its future prospects.

"Breaking through the $6,000 barrier was a moment of truth for bitcoin... it holds a major psychological significance for the community," said Simon Peters, a cryptocurrency expert at the online trading platform eToro.

"We could see prices reach levels last seen at the start of 2019, potentially hitting the $12,000 to $14,000 range by the end of the year."

Other major cryptocurrencies have been significantly boosted by bitcoin's turnaround in fortunes, including ethereum, ripple, bitcoin cash and litecoin.

The combined market capitalisations of the top four alternative cryptocurrencies have risen by nearly $10 billion since the start of May.

The cryptocurrency market's remarkable recovery comes despite traditional markets seeing a relative slowdown in growth since the start of the year.

"Given that global markets are having a bit of a wobble at the minute, bitcoin's price growth in recent weeks means it is one ot the strongest asset classes so far in 2019," Mr Peters said.

Other experts have suggested similar positive movement in the months ahead, with financial adviser Nigel Green saying in April that "the so-called crypto winter has come to an end".

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