Bitcoin is gaining for the third straight day amid a broader rally in risk assets, with the digital currency briefly rising above $24,000 for the first time in more than a month.
The world’s largest digital token rose as much as 3.3% on Wednesday to trade at about $24,066, the highest level since mid-June. It’s on pace to advance for the seventh session out of eight, adding more than 20% over the past week. And other cryptocurrencies are also rallying, with ether catching attention with a more than 50% surge since July 12.
“The forced digital asset selling associated with various crypto lenders and entities appears to have abated for the time being,” said Josh Olszewicz, head of research at crypto fund-manager Valkyrie Investments. He’s watching the $25,000 level for bitcoin next.
The crypto rally is happening as US stocks have come off recent lows. Crypto and stocks — and tech firms in particular — have been trading in tandem all year.
The development is heartening for many crypto fans who had been watching prices sink all year. Billionaire crypto investor Mike Novogratz said the “worst is over” in the crypto industry and that while the current issues may have increased distrust among retail investors, the argument for bitcoin is still strong, particularly as central banks around the world fight inflation.