Bitcoin’s (BTC) price continues to strengthen and is holding above $86,000 U.S. on Sept. 22 as investors turn increasingly bullish on cryptocurrencies.
Bitcoin was trading as high as $86,350 U.S. early on the day, its highest level since Jan. 29 of this year, as investors turn back to digital assets after a prolonged downturn.
Analysts and investors are now debating whether the “crypto winter” that began nearly a year ago is finally over.
Peak to trough, Bitcoin’s price fell from an all-time high of just over $126,000 U.S. last October to as low as $58,000 U.S. this June.
For months, BTC was unable to break through resistance at $65,000 U.S. However, the largest cryptocurrency has rallied hard since late August and is up more than 8% in the past week.
Some analysts say that the current rally in Bitcoin is likely to last so long as the price remains above $75,000 U.S. Others say Bitcoin will move above $90,000 U.S. in coming weeks.
However, some analysts have expressed surprise at the current strength of Bitcoin, coming as it does after the U.S. Senate last week blocked the Clarity Act legislation from advancing.
The Clarity Act would provide a regulatory roadmap for cryptocurrencies and is widely viewed as key to the future of digital assets.
However, many analysts say investors are turning back to cryptocurrencies as concerns grow about the artificial intelligence (A.I.) boom and trading in A.I.-related stocks.
With the A.I. trade beginning to level off, investors are rotating money back into crypto, say some analysts.
