The price of bitcoin rebounded sharply this week, climbing back above $600 for the first time since August 1 as improved investor confidence and technical trading brought more buyers to the market.
The BTC/USD closed at $621.80 on Friday, capping off a weekly gain of 8.3%, according to CoinDesk. The BTC/USD advanced 0.2% on Saturday, reaching $623.19 as of 3:00 pm ET. At its current price, bitcoin’s market capitalization is approximately $15.9 billion.
Bitcoin reached a fresh high near $629 on Thursday, where it faced a major resistance near the 100-day moving average. Both the short-term and long-term outlook are bullish, as investors increase their long positions after five weeks of lateral moves following a high profile data breach at Hong Kong-based crytocurrency exchange Bitfinex. According to data provider Bitcoinity, the digital currency’s transactions totaled 7.82 million in the seven days through September 8.
Despite its recent volatility, bitcoin has experienced greater stability this year, a sign that the digital currency market is maturing. More than 100,000 merchants accept bitcoin as a form of payment, leading to a growing ecosystem that now features credit cards and debit cards.