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Bitcoin Rebounds, Surges Above $11,000

Published 03/07/2019, 01:50 pm
Updated 03/07/2019, 02:11 pm
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Investing.com - Bitcoin rebounded on Wednesday in Asia and surged above $11,000, after falling to as low as $9,728.50 overnight.

It last traded at $11,338.7 by 11:45PM ET (03:45 GMT), up 8.9%.

Bitcoin began its free fall last Thursday and was down almost $4,000 from its highs last week.

The highly volatile cryptocurrency has had a stellar turnaround this year and surged about 200% so far this year, despite the latest fall. It still remains well below record highs of nearly $20,000 reached in December 2017, however.

The comeback was largely due to Facebook’s announcement of its own cryptocurrency known as Libra, which it plans to launch in 2020.

It will be run by Stripe, Uber (NYSE:UBER), Mastercard (NYSE:MA), Visa (NYSE:V), PayPal, Spotify (NYSE:SPOT) and others.

Other major cryptocurrencies also traded mostly higher today.

Ethereum was up 2.6% to 296.35, while Litecoin gained 1.5%.

XRP, however, slipped 0.8% to 0.40247.

In other news, while not a directional driver, the Bank for International Settlements announced this week that it is setting up an innovation FinTech Hub for financial technology.

BIS General Manager Agustin Carstens said that “it might be that it is sooner than we think that there is a market and we have to create our own digital currencies.”

“There needs to be demand for central bank currencies and it is not clear that the demand is there yet,” Carstens told the FT. “Perhaps people can do what they want by using electronic wallets provided by banks or fintech companies. It depends on the development of private stable coins.”

The BIS’s hub will be set up in Switzerland, Hong Kong and Singapore, according to a statement.

According to Bloomberg, central banks including Sweden’s are currently looking into introducing virtual coins of their own.

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