Bitcoin

Bitcoin rose to $40,0 on Monday, a rally attributed to ongoing speculation over Amazon.com Inc.’s possible involvement in the cryptocurrency space, with some exiting bets on the downside.

The largest crypto rose 15% to $39,681 from $39,681 before some paring of the climb to trade at around $38,600 as of 7 a.m. in London. Other virtual coins also rallied, including ether in second place.

Vijay Iyer, head of Asia Pacific at crypto exchange Luno in Singapore, said, “The range of the jump was probably driven by over-average shorts while adding rumors on Amazon likely also played a part.

Amazon last week advertised a job vacancy for a digital currency product lead, stirring speculation it may accept digital coins for transactions. It builds on other recent endorsements for bitcoin, including positive comments from Eon Musk and Kathy Wood of Ark Investment Management LLC. Over the weekend, the coin’s price topped its 50-day moving average, a trend some view as positive.

According to data from Bybt.com, more than $700,0,0 of the bitcoin shorts ended Monday, the highest of any day in the past three months.

As prices peaked higher Monday, activity in bitcoin futures increased. Over 1,000 contracts changed hands in a 10-minute trading window. As a result, volumes in the July front contract were averaged around 10 times as of 9:20.m in Hong Kong.

Expert crypto publications reported earlier this year that Amazon listed job postings related to shopping with digital currency.

Bitcoin remains some $27,000 from a mid-April high of around $65,000. This computer has been hurt by criticism of the energy consumed by the servers it locates, a regulatory crackdown in China, and harsh government investigations in Europe and the US.

Tesla Inc Chief Executive Officer Musk who already owns bitcoin revealed at a conference last week that his space exploration company SpaceX does, too. He said that he wants to see the coin succeed and has personally bought bitcoin, ether, and Dogecoin. Ark Wood said that corporations should consider adding bitcoin to their balance sheets.

By Alex Alena

Alex Alena has been the lead news writer at Cryptocurrency Updates. With a degree in communications, Matt has an uncanny ability to make the most complex subject matter easy to understand.