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Bitcoin prices rally 5% to hit 2-week high on technical buying

Published 11/10/2014, 07:27 AM
Bitcoin prices rally to hit 2-week high
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Investing.com - Bitcoin prices rallied sharply on Monday to hit the highest level in more than two weeks as a wave of technical buying kicked in after prices broke above a key resistance level.

Bitcoin (BTC/USD) touched a session high of $376.04 on Slovenia-based BitStamp earlier in the day, the most since October 23.

Prices last traded at $374.35 during U.S. morning hours, up $16.35, or 4.57%.

The price of a bitcoin on Bulgaria-based BTC-e added $14.39, or 4.04%, to trade at $370.51, while prices on Singapore-based itBit advanced $6.26, or 1.74%, to trade at $366.24.

According to the CoinDesk Bitcoin Price Index, which averages prices from the major exchanges, prices of the crypto-currency tacked on 2.45% to trade at $372.19.

Bitcoin’s gains accelerated after prices broke above key resistance close to the $370-level, triggering fresh buy orders amid bullish chart signals.

Over the past couple of weeks, the price of Bitcoin has remained relatively stable, with prices consolidating in a narrow range between the $320-and $360-level.

Meanwhile, euro-denominated Bitcoin prices (BTC/EUR) rallied €6.39, or 2.22%, to trade at €294.89 on U.S.-based Kraken Exchange.

Elsewhere, yuan-denominated Bitcoin prices on Shanghai-based BTC China edged up 37.20 yuan, or 1.68%, to trade at 2,245.54 yuan, while prices on Beijing-based OKCoin increased 69.79 yuan, or 3.2%, to trade at 2,249.79 yuan.

Bitcoin is digital cash and is not backed by a government or central bank to regulate or issue it. It can be used to purchase goods and services from stores and online retailers.

Prices of the virtual currency are down nearly 48% from its June highs of $683, and roughly 70% below its all-time high near the $1,240-level hit in late November 2013.

Bitcoin’s market cap is down to just $4 billion, after peaking at $13.9 billion in December 2013, even as the virtual currency has been getting more popular with merchants and retailers in recent months, including PayPal, Expedia, Overstock.com and Dell.

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