Bitcoin Rallies to 55K the Highest in 5 Months

Bitcoin, the largest cryptocurrency by market capitalization surged on Wednesday to its highest level in five months, as market sentiment continued to improve due in part to news a hedge fund controlled by billionaire investor George Soros trades bitcoin.

The world’s largest cryptocurrency in terms of market value rose to $55,499.96, its highest since mid-May. It passed the $50,000 mark for the first time in four weeks on Tuesday amid, among other things, mounting institutional interest. Bitcoin was last up 6.3% at $54,750.

The digital currency is currently trading at $54,737. 50 a 6.49% rise as at 10.00 AM East African Time.

“Bitcoin performs historically well in October, which almost makes the rising … price now a self-fulfilling prophecy. I’ve been saying repeatedly since the summer that I expect a new all-time high in October. So what is the reason for this new pump? I think it’s partly due to the market cycle we’re in, where the emotional part plays a significant role.”  Ruud Feltkamp, CEO of cloud-based automated crypto trading bot Cryptohopper.

Bank of America Corp published on Monday its first research coverage focused on cryptocurrencies and other digital assets Analysts also expect a seasonal rally in cryptocurrencies this quarter.

U.S. Bancorp announced it launched a cryptocurrency custody service for institutional investment managers who have private funds in the United States and the Cayman Islands.

Other cryptocurrencies followed the trend and, were up Ether rose 2.2% to $3,594 and XRP was slightly up 0.2% at $1.0865.

Ben McMillan, chief investment officer at IDX Digital Assets, a factor-based crypto index strategy, noted that based on an analysis of on-chain data, he is seeing a steady rise in the number of new bitcoin addresses, after a huge drop-off in the first half of the year, as well as an increasing number of bitcoin moving off-exchange.