Cryptocurrencies continued to gain with the world’s largest crypto inching towards the $40,000 level after comments from Ark Investment Management LLC’s Cathie Wood and Tesla Chief Executive Officer (CEO) Elon Musk helped boost its momentum. Bitcoin prices rose as much as 15% to $$39,544 over the last 24 hours, as per CoinDesk. The token climbed above its 50-day moving average over the weekend.
Second-largest cryptocurrency Ether also surged by over 7% to a high of $2,330. Dogecoin surged nearly 9% to $0.20 level. Other digital tokens like XRP, Cardano, Uniswap, Litecoin also gained more than 8% in the last 24 hours.
Bitcoin had looked to be in danger of further declines after it fell below $30,000 last week, a level widely flagged by strategists as potentially spurring further drops. It got a boost when Elon Musk last week at “The B Word” conference, said he wants Bitcoin to succeed and that his space-exploration company SpaceX Inc. owns some. Star investor Cathie Wood said corporations should consider adding Bitcoin to their balance sheets, while Square Inc. CEO Jack Dorsey said the coin is resilient.
Tesla suspended purchases using Bitcoin in May on concerns about fossil fuel use in mining, triggering a slide in the digital currency. Some $1.3 trillion has been wiped off the market value of cryptocurrencies since mid-May. Bitcoin has faced a range of obstacles, including stepped up regulatory scrutiny in China, Europe and the U.S. and concerns about the energy needed by the computers underpinning it.
(With inputs from agencies)
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