is back on top.
On Thursday morning, the leading cryptocurrency was valued at $12,612 per coin, according to CoinDesk, up 12.7% over 24 hours.
The coin hasn’t been valued so highly since January 2018, when its price collapsed. The recovery began this past March, but
latest surge came this month. The price has risen 35% since June 14, when The Wall Street Journal reported that
(ticker: FB) was assembling a consortium to release its own cryptocurrency, called Libra.
The back story. Bitcoin tanked at the end of 2017, its value dropping from nearly $19,000 per coin that December to just over $10,000 by mid-January. The coin bottomed out at around $3,000 in December 2018 and stayed below $4,000 until late March.
What changed remains unclear. Many observers have attributed the most recent gains to Libra, as Barron’s wrote Tuesday, reasoning that a coin backed by Facebook could help drive cryptocurrencies into the corporate mainstream.
What’s new. The value of the coin continued to rise on Thursday, nearing $13,000 around 1 a.m. on the East Coast before dropping off slightly.
“Obviously recent dovishness from central banks has seen investors look towards alternative currencies, but perhaps Facebook’s unveiling of its Libra currency has seen investors look again at cryptocurrencies with fresh eyes,” wrote Deutsche Bank analyst Jim Reid in a note published Wednesday morning.
Looking forward. The coin’s recent spectacular performance seems not to have played out yet, though there remains a way to go before Bitcoin reclaims the heights it reached in late 2017.
Write to Josh Nathan-Kazis at email@example.com