Crypto is tricky, since price moves can be opaque and one large buy or sell order has the ability to move the market. Analysts largely attributed this recent bitcoin bounce to more interest in the space following Facebook’s announcement of a cryptocurrency project, key technical levels being broken, and safe haven buying amid increasing global tensions.
Recent dovishness from central banks has led global investors to turn to other alternative assets, such as gold. Jim Reid, Deutsche Bank’s multi-asset analyst, called the bitcoin rally “striking” and perhaps Facebook’s unveiling of its Libra currency “has seen investors look again at cryptocurrencies with fresh eyes.”
