Sharia, Taxes And Short Squeeze: Versions Behind Bitcoin's $1000 Bounce

Since last week crypto community celebrates the return of Bitcoin to the green with an inspiring bounce up to $1000 in value in less than an hour of trade on Thursday, 12 April.

The sudden increase in Bitcoin's value was met with much fanfare and further speculation as to what caused the massive volume in trade in the preeminent cryptocurrency.

As tensions have eased somewhat, short sellers were hard pressed to close their positions to prevent further losses as Bitcoin began to rally on Thursday.

As a result, Bitcoin enjoyed a record high in daily trading volume, as well as a record for the most volume traded in a single hour as noted by Twitter users.

Dash Core CEO Ryan Taylor told CNN that the spike in Bitcoin's price could be due to buyers returning to the Bitcoin market, having sold to pay income taxes on April 17.

All in all, the first quarter of 2018 has not been kind to Bitcoin and cryptocurrencies in general.

Less than a month later, Bitcoin sunk lower, amid reports that trustees of defunct exchange Mt Gox had sold off over $400 mln to pay off debtors.

Holding onto his $28,000 prediction for the end of the year, Lee said Bitcoin was is in similar position to the end of the bear market in 2014.

Add in unconfirmed reports by Fortune that world-renowned investor George Soros has given his Fund Management company the go ahead to start investing in cryptocurrencies, and it could well signal the end of a bearish period for Bitcoin and its alt coins.

At the press time, Bitcoin and other altcoins continue to deliver a positive dynamics, with the biggest cryptocurrency standing at the $8,157 rate.