Bitcoin rallies to one-month high but an upcoming volatile event indicated warning

Bitcoin new records

Bitcoin prices rallied over the weekend hitting a one-month high despite a warning from experts of a potentially volatile upcoming event for the cryptocurrency.

The bitcoin was at $4,626.26 no Monday, the highest since September 8. It climbed over 5 percent from the start of trade on Saturday.

Bitcoin has been on a rough few weeks. It hit an all-time high on September 2 of $5,013.91, before dropping sharply to below $3,000 in the next two weeks.

Japan recently legalized bitcoin, filling the void left by the ban from the Chinese government, with major retailers beginning to accept them as a form of payment.

Institutional investors are also starting to take bitcoin more seriously. Goldman Sachs is considering the launch of a new trading operation that is focused on bitcoin and other digital currencies.

Aurélien Menant, founder and CEO of Gatecoin, said that the bitcoin could get close to $6,000 by the end of the year, but there might be a short-term volatility ahead.

The bitcoin went into a split or “fork” earlier this year in which another form of cryptocurrency was created called the bitcoin cash.

The change, which is currently being implemented, could be rejected by a huge sector of the Bitcoin community and could lead to another “fork”.

“The forthcoming bitcoin fork in November will result in greater volatility and risk for this new asset class,” Menant added.


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