Cryptos

Bitcoin surges as Amazon hunts for cryptocurrency lead

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Bitcoin surged on Monday after a recruitment ad from online retailing giant Amazon suggested the company may start accepting the cryptocurrency for payment.

Bitcoin BTCUSD, +11.56% jumped 11% to surpass $38,000 after Amazon AMZN, +0.51% ran an ad for a digital currency and blockchain product lead, based in its Seattle home.

U.K. media outlet CityAM subsequently ran a report quoting an unnamed Amazon source as saying the company planned to accept bitcoin by the end of 2021, and that it could launch its own token next year. Amazon also was looking into accepting other cryptocurrencies including Ethereum ETHUSD, +8.49%, Cardano ADAUSD, +11.40% and Bitcoin Cash BCHUSD, +13.94% would be “next,” the report said, before bringing eight of the most popular cryptocurrencies online.

Jeffrey Halley, senior market analyst for Asia Pacific at Oanda, said the Amazon news helped bitcoin break out of a three-month “descending triangle” and opens up some $17,000 of potential gains if it overcomes resistance at the 100-day moving average of $40,800, and the 200-day average of $44,700.

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