We now have a roller coaster in the cryptocurrency market. Bitcoin has added more than $2000 to its value within the space of 24 hours, reaching a maximum of $10,300 in the early hours of the day.
Similarly, the massive surge saw a reimbursement of over $50 billion into the market after a previous attempt to break below the crucial $200 billion market capitalization level.
Although a little retracement has been made, tacking the price of Bitcoin to $9,200 at press time with altcoins replicating the same trend after the double-digit gain. Experts are weighing in their thoughts on the explosion, the reason behind it and what to expect.
The death cross drive exhibited by Bitcoin since yesterday has just attracted the perception of Gabor Gurbacs, the director of VanEck, a New York based investment management firm founded in 1955.
Gurbacs said the sudden uplift Bitcoin witnessed was without no reason, giving out three crucial rationals behind the upsurge.
The director of the investment firm described that yesterday was a historical period in the lifecycle of Bitcoin, with three notable events playing out.
Revealing late yesterday, Gabor said: “3 reasons why Bitcoin surged today:”
He said the CME Bitcoin futures expired yesterday around 4PM GMT.
“CME Bitcoin futures expired today (4PM London time, last Friday of the month),” the VanEck Director continued saying the role played by Chinese president Xi Jinping in spreading the words of Blockchain technology is another important factor behind the rise of Bitcoin.
“President Xi Jinping supports blockchain in China”.
Gurbacs furthered that the 3rd point, representing the last factor behind Bitcoin’s spike was the apprehension of the Crypto Capital President Ivan Manuel Molina Lee.
Molina, accused of money-laundering operations among some other accusations, was arrested by Polish authorities on Thursday October 24, a Polish news outlet confirmed.
Gurbacs said the arrest, that may likely make Bitfinex get some its $850 million seized fund back, is yet another reason for Bitcoin’s rise in the market.
Earlier, it was reported that Bitfinex entrusted $850 million fund with Crypto Capital, only for the latter to claim the money was inaccessible afterwards.
However, The Block reported that the Ministry of Justice in Poland seized the $350 million with the bank accounts name “Crypto SP. Z O.O” where the fund was kept. Crypto SP. Z O.O is a local firm that allegedly has affiliation with Crypto Capital and Molina Lee.