Bitcoin Is Still Climbing: Is This Time Different?

Story by: Billy Bambrough

Bitcoin and cryptocurrencies exploded into the public consciousness in late 2017 at the culmination of an epic year-long rally that saw the bitcoin price go from under $10,000 per bitcoin to almost $20,000 in fewer than 20 days.

The bitcoin price has this morning hit fresh year-to-date highs, reaching $12,860 per bitcoin on the Luxembourg-based Bitstamp exchange, up almost 15% over the last 24-hour trading period.

After being trapped in a bitter bear market throughout 2018, bitcoin seems to be back, with the bitcoin price rocketing from under $5,000 per bitcoin in early April to over $10,000 this past weekend. But will the bitcoin market be able to maintain this level or is it about to take another sharp plunge?

bitcoin, bitcoin price, image

Bitcoin’s rapid rise to $10,000 per bitcoin has caused some to compare it to the late 2017 boom and subsequent bust.

Bitcoin’s bull run in 2017 appeared to be at least in part driven by so-called fear-of-missing-out, with people who had little knowledge of bitcoin or cryptocurrencies investing heavily, spurred on by feverish mainstream media interest in bitcoin and speculation the bulls would run and run, making everyone rich as they went.

Google Trends data for bitcoin searches show that interest around the world in late 2017 was well above where it is now, suggesting a higher number of retail investors buying into bitcoin and pushing the price on.

“The first time bitcoin breached this level to the upside was in a frenzy of fear-of-missing-out as most of the world was just learning what this new digital asset is all about,” eToro’s senior market analyst Mati Greenspan wrote in a note to clients this week.

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