Bitcoin prices saw a remarkable rebound in trading yesterday, as the markets sought to regain lost ground, following a price correction in January.
Prices gained over $2,000 from its lows on the day, with comments from a US Senate hearing on future possible regulation proving positive for investors and analysts alike.
At the time of press, markets have risen to over $8135, up from the lows of under $6,000 seen yesterday. The news comes as a welcome reprieve for cryptocurrency investors, following a choppy start to 2018 for market prices.
Having peaked at around $20,000 in late 2017, bitcoin markets saw a sharp correction in early January, following a spate of negative news, including plans in South Korea to regulate bitcoin markets and exchanges there.
However, suggestions from US lawmakers, and in particular from the respective chairs of regulators the SEC and the CFTC, have helped settle market nerves, with the suggestion amongst other things that regulators wanted to take a ‘do no harm’ approach to any regulation of cryptocurrency markets.
At this stage, bitcoin has yet to make up ground on the value lost over the first few weeks of the year, although its current recovery brings prices back to the levels they were at in November of last year, before the major buying surge that pushed prices up to $20,000.
The price increase in bitcoin reflects a similar movement across cryptocurrency markets, which have uniformly experienced sell sentiments since the turn of the year. Yesterday saw widespread gains for other cryptocurrencies, including ether and Ripple, which were amongst the day’s biggest gainers.
Ether increased to $781 on the day, although remains behind the $1,000 barrier it first plunged through at the start of February.
Meanwhile, Ripple’s XRP token was up to $0.76, reflecting a similar growth on the day’s trading performance.
Having sustained several consecutive days of price pressure, the markets are now exhibiting a more positive outlook, which is helping settle the nerves amongst investors caught up in the recent sell-off.