Bitcoin is on a roll. Earlier this week we pointed out that it was on a massive winning streak. It’s up nearly 40% in the last three days.
Here’s a look at a one-month Bitcoin chart, which shows how huge the move has been lately.
Market participants cite a couple of reasons for the rally.
Barry Silbert, Founder CEO of Digital Currency Group, says there is a lot of demand coming from China. In fact, due to Chinese demand, the price there has been at a 5 to 8 percent premium for the past two weeks, Silbert said. There’s also been growing talk about Bitcoin (and its underlying technology) being useful in professional financial services, which he believes will have a very positive impact.
Earlier this year, Gil Luria, an analyst at Wedbush Securities, sent a note to clients in which he initiated an outperform rating on the Bitcoin Investment Trust (GBTC).
We believe bitcoin and its associated blockchain technology have the potential to disrupt the existing financial infrastructure over the next few years. We believe the value of the bitcoin currency (BTC) will benefit from this trend and therefore are initiating coverage of GBTC with an OUTPERFORM rating and $40 price target.
It is now trading above his target, closing at $42 yesterday.