Crypto rally deflates after Amazon denies report it will accept bitcoin as payment

Bitcoin led the cryptocurrency market decline on Tuesday after Amazon dispelled rumors claiming the online retail giant was planning to accept bitcoin as payment.

“Notwithstanding our interest in the space, the speculation that has ensued around our specific plans for cryptocurrencies is not true,” a spokesperson from Amazon said, as cited by Reuters. He admitted, however, that the company is “exploring what [cryptocurrencies] could look like for customers shopping on Amazon.”

Bitcoin surged 15% to over $39,000 on Monday following a report from London’s City AM newspaper stating that Amazon was planning to accept bitcoin payments by the end of the year, citing an unnamed “insider” at the company. Rumors were also fueled after the e-commerce giant recently listed a job posting for a digital currency and blockchain expert, which was seen as a sign that the company plans to work with cryptocurrencies. 

Bitcoin was down some 4% on Tuesday, trading at around $37,000 as of 7:00am GMT. Still, crypto enthusiasts see the recent rise towards $40,000 a coin as a turn towards a bullish crypto market.

Apart from Amazon, a growing number of companies have been looking at cryptocurrencies with increased interest lately. Tesla CEO Elon Musk last week said the automaker may soon start accepting bitcoin for its electric car purchases again after stopping such payments in May this year.

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