Bitcoin, after dropping under $10,000 per bitcoin at the beginning of this month, has bounced back, making strong gains and pulling the wider cryptocurrency market, including major cryptocurrencies ethereum, Ripple’s XRP, and litecoin, up with it.
The bitcoin price has soared back to near its year-to-date highs over the last 24-hour trading period, adding over 10% and recording highs of $12,880 per bitcoin on the Luxembourg-based Bitstamp exchange. Bitcoin hit highs of $13,880 last month as Facebook’s planned cryptocurrency caused bitcoin interest to reach fever-pitch.
Ethereum, Ripple’s XRP, and litecoin have meanwhile added between 3% and 4% over the trading period, underperforming bitcoin though taking the total cryptocurrency market value to over $350 billion.
Bitcoin’s latest strides higher come after German banking giant Deutsche Bank announced it will be cutting some 18,000 jobs and winding down its investment banking division yesterday, something taken by the bitcoin and cryptocurrency community as a sign the traditional financial sector is on the way out and bitcoin and crypto will somehow fill the void.
“Deutsche Bank plans to fire almost 20,000 employees,” Morgan Creek Digital Assets co-founder Anthony Pompliano said via Twitter. “Bitcoin has no employees to fire. DB is built for the old world. And Bitcoin is built for the new world.”
“The old financial system is dying a slow death. Let’s hope the new one is brighter,” Mati Greenspan, senior market analyst at brokerage eToro, wrote in a note to clients.
The bitcoin boom may be short-lived, however. Last week, researchers said that bitcoin and the cryptocurrency market could climb as a result of the U.S. Fourth of July celebrations, with friends and families spreading so-called fear-of-missing-out (FOMO) amongst those considering buying bitcoin and crypto.
Bitcoin and cryptocurrency awareness, something that was harder to measure before bitcoin’s epic 2017 bull run sent the bitcoin price from under $1,000 per bitcoin to almost $20,000 in fewer than 12 months, appears to be closely tied to the bitcoin price, which gets pushed on by FOMO.