Bitcoin rises above $40,000

Bitcoin rose above $40,000 Wednesday morning for the first time since mid-June.

The rise is attributed to increased confidence due to recent positive comments about the cryptocurrency by high-profile investors and the exit of short-sellers.

Bitcoin is up 8.44% at $40,072.5 at 05:20 GMT Wednesday morning, according to Investing.com data. Its rival Ethereum is also up 5.25% at $2,296.92.

Other cryptocurrencies are also in green including XRP, +3.04% at $0.64189; Dogecoin, +2.80% at $0.205807; Litecoin, +5.14% at $135.358; Cardano, +$1.227921.

Bitcoin is within a whisker of rising through its 100-day moving average.

The daily trading volume of Bitcoin also rose to $9.2 billion on Monday, the highest since 22 June, according to Coindesk citing a report by Arcane Research.

The rise in trading volume could be as a result of renewed interest in the digital currency. Although, its seven-day trading average is still below its yearly average.

“The increasing volume amid bitcoin’s strength suggests that the strong recovery was supported by an influx of buyers, a healthy sign for the market,” the report said.

“Overall, the seven-day average trading volume remains substantially below its yearly average, and trading activity in bitcoin seems to be low so far this summer.”

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