Bitcoin breaks above $8,000 as cryptocurrency value continues to surge

The cryptocurrency has shot up in value by a third in the last two weeks and analysts predict it could rise even further

Bitcoin has broken above $8,000 for the first time since May, following a remarkable turn-around in fortunes that has seen the cryptocurrency rise in value by more than 30 per cent in the space of two weeks.

Other major cryptocurrencies, including ethereum, ripple and EOS, have bucked the usual protocol by not mirroring bitcoin's market movements. Only bitcoin cash – itself a spinoff of bitcoin – followed suit with a surge of 5 per cent over the last 24 hours.

Bitcoin's latest price gains mark a month of steady resurgence, which followed bitcoin's worst ever start to a year. Its latest price is still a long way off the highs of 2017, which saw it briefly reach close to $20,000 amid remarkable enthusiasm for the digital currency.

Analysts said positive news has helped drive bitcoin's momentum, which in itself will lead to further good news for the cryptocurrency space.

“This is an extremely exciting period for cryptocurrencies and blockchain technology with increased interest from Tier 1 banks and financial institutions," David Sapper, COO of Blockbid, told The Independent.

"Although it will take time for these companies to implement their cryptocurrency plans, positive news within the cryptocurrency sphere will benefit the market and raise prices as seen with Bitcoin in the last seven days. As cryptocurrencies grow and start to take a bigger chunk of the market in regards to trading, more and more of these financial institutions will be looking to see how they can capitalise on the growing cryptocurrency market."

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Some experts even predicted that the latest run of good fortune could take bitcoin all the way back above $10,000.

“By soaring past those key barriers of resistance, it would seem history is not repeating itself and there’s real strength in the move," said Matthew Newton, an analyst at the trading platform eToro. "If bitcoin can close above $8,000 today, we could assume that we may have a good run towards $10,000.”

Analysis from comparison platform Finder.com also suggests that increased trading volumes could be behind the recovery.

"The total volume traded in cryptocurrencies over the last seven days was $105.5 billion, compared to $81.7 billion [last week]. This is a 29 per cent increase week-on-week," the firm said in an email to The Independent.

"Out of the top five coins by trading volume, bitcoin cash and bitcoin grew the most, increasing 77 per cent and 33 per cent respectively."