Giving relief to Bitcoin traders and investors, the cryptocurrency has rebounded after losing more than 30 percent of its value in one day and sinking to a pre-Christmas low of $11,000.
The price of bitcoin surged by 13 percent on Tuesday, and crossed the $16,000 mark again on Wednesday.
The currency changed hands at around $16,200 Wednesday morning UK time, according to the Coinbase exchange.
Despite repeated warnings from renowned economists and analysts that a Bitcoin crash is looming, the value of the most popular digital currency had gone up to an all-time record of $19635 on December 17.
But in the next five days, the bitcoin exchanges witnessed a deep fall, slipping below the $11,000 mark last Friday.
As an instance of how quickly the situation can change, bitcoin dropped by almost $2,000 in just an hour at one point.
Panicked investors were unable to cash out last week when Coinbase temporarily halted transactions due to a spike in traffic on its website.
Analysts and finance professionals across the world have made clear their concerns over Bitcoin and similar cryptocurrencies.
Recently, Israel made it clear that cryptocurrency companies were not welcome on its stock exchange.
by RTT Staff Writer
For comments and feedback: editorial@rttnews.com