Bitcoin price jumped around 10 percent in just one hour. What's the reason for this? What caused the price hike two days ago?
1. The appointment of David Solomon as the new chief executive of US investment bank Goldman Sachs. Why would it matter? Last month Soloman said that he's considering looking in to adding further bitcoin and cryptocurrency services.
2. BlackRock, the world's biggest asset manager, is looking for ways to take advantage of the cryptocurrency market. Even the former cryptocurrency opponent, Larry Fink, the chairman and CEO of BlackRock, said that "We are looking at it and as I have said in the past, we are very excited about blockchain technology."
3. Financial Stability Board or FSB (not to be confused with Russia's Federal Security Service) released a report that that read - "Bitcoin and cryptocurrencies do not currently pose a material risk to the global financial system."
4. Steven Cohen is the founder of Point72 Asset Management, and he will be investing in crypto hedge fund called Autonomous Partners.
5. Short squeeze might have something to do with it as well. A short squeeze is a rapid increase in the price of a stock that occurs when there is a lack of supply and an excess of demand for the stock. So when Bitcoin price jumped up in a very short timeframe, people who had bet against Bitcoin's price, were forced to buy Bitcoin just to cover their positions.
1. The appointment of David Solomon as the new chief executive of US investment bank Goldman Sachs. Why would it matter? Last month Soloman said that he's considering looking in to adding further bitcoin and cryptocurrency services.
2. BlackRock, the world's biggest asset manager, is looking for ways to take advantage of the cryptocurrency market. Even the former cryptocurrency opponent, Larry Fink, the chairman and CEO of BlackRock, said that "We are looking at it and as I have said in the past, we are very excited about blockchain technology."
3. Financial Stability Board or FSB (not to be confused with Russia's Federal Security Service) released a report that that read - "Bitcoin and cryptocurrencies do not currently pose a material risk to the global financial system."
4. Steven Cohen is the founder of Point72 Asset Management, and he will be investing in crypto hedge fund called Autonomous Partners.
5. Short squeeze might have something to do with it as well. A short squeeze is a rapid increase in the price of a stock that occurs when there is a lack of supply and an excess of demand for the stock. So when Bitcoin price jumped up in a very short timeframe, people who had bet against Bitcoin's price, were forced to buy Bitcoin just to cover their positions.
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