More On: btc
After a dramatic loss on Saturday, Bitcoin rebounded as much as 7.6 percent to $20,404 on Sunday, signifying a comeback.
Bitcoin, the world's largest and most well-known cryptocurrency, was up more than 16 percent from its low of $17,592.78 on June 18 this year, when it fell on investor concerns about growing problems in the crypto industry and amid a general pullback from riskier assets.
According to Coinmarketcap, the coin's price fell slightly Sunday evening to $19,781.69.
According to Andrew Brenner, head of international fixed income at National Alliance Securities, the rise in Bitcoin is likely due to retail investors buying up the digital currency over the weekend, when few professional traders are working.
"Some buyers believe now is a good time to buy because Bitcoin has dropped to a level that indicates some near-term attractiveness," Brenner said. He went on to say that Bitcoin and other digital currencies were still extremely volatile.
Digital currencies, according to Brenner, are not a good investment at a time when the US Federal Reserve is tightening the supply of dollars by ending expansive monetary policy.
"As long as the dollar remains strong, digital currencies are not where you want to be," Brenner explained.
The crypto market sell-off has coincided with an equities decline, with US stocks suffering their biggest weekly percentage decline in two years on fears of rising interest rates and the growing likelihood of a recession.
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