Bitcoin recovers from price crash despite bubble warnings
Following huge losses sustained last week, the value of bitcoin has surged, recovering over $2,000 since Sunday. The world’s most popular virtual currency has shown resilience despite continued skepticism over the bitcoin phenomenon.
According to data provided by CoinMarketCap, bitcoin traded at $7506.14 at 11:22am GMT, fixing a daily gain of over seven percent. The cryptocurrency began the year below $1,000 per token.
On Sunday, bitcoin plunged as low as $5,519, marking a 30 percent drop from the record high of $7,882. The correction came as people behind the cryptocurrency considered changes to the software aimed at speeding up transactions on the bitcoin network. The measure, called SegWit2x, was suspended but managed to evoke a massive selloff among cryptocurrency enthusiasts.
Bitcoin drops below $6,300, losing more than a fifth of its value https://t.co/OiMsFgAGzp
— RT (@RT_com) November 12, 2017
Although bitcoin has been picking up steam over this week, some analysts still remain skeptical over the leading digital currency. However, the bitcoin phenomenon is not going away overnight, according to Morgan Stanley Chairman and CEO James Gorman.
“Something that goes up 700 percent in a year — it's by definition speculative. So anybody who thinks they're buying something that it's a stable investment is deluding themselves. It might go up another 700 percent, but it could easily not,” Gorman told CNBC.
Money coming... And that is 'a lot closer than people think' - fmr macro hedge fund manager at Fortress Investment Group to RT https://t.co/iCUEQHeG6f
— RT (@RT_com) November 14, 2017
The billionaire investor and chairman of Interactive Brokers, Thomas Peterffy, has called for keeping bitcoin from the real economy. The businessman stressed he never opposed trading the cryptocurrency.
“I think bitcoin and other cryptocurrencies are great ideas. They should be allowed to be traded freely and used freely to find their appropriate role in the economy,” Peterffy said as quoted by the media.
#Bitcoin licking its wounds after losing $2,300 in just a few days https://t.co/7oWGHpeqeOpic.twitter.com/P2RjnoMm09
— RT (@RT_com) November 13, 2017
“What I am objecting to is linking bitcoin and other cryptocurrencies by federal regulations to the real economy, which would happen if we were to clear bitcoin along with other products in the same trading house,” he added.
