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Bitcoin climbs sharply above $40,0000.000

The digital currency is rising strongly after a series of positive messages and statements. In addition, large short positions play a role in the price increase.

The world’s largest cryptocurrency, bitcoin, rose 15 percent on Monday at 9:15 p.m. at $40,117. The sharp rise appears to be partly the result of speculation about a possible acceptance of the currency as a means of payment at the online giant Amazon

.

Last week, Amazon advertised a vacancy to lead its digital products service. “We are looking for someone with experience to develop our strategy around digital currencies and blockchain technology,” it said in the statement vacancy on the website from the online giant.

In addition, last week there was the conferentie ‘The B-word’, with popular financial influencers such as Tesla CEO Elon Musk, fund guru Cathie Wood and Twitter CEO Jack Dorsey making positive statements about the digital currency. Musk was especially striking, because he said that the electric car maker Tesla

‘very likely’ will again accept bitcoin as a means of payment. In May Tesla halted acceptance of the cryptocurrencymunt, after which Bitcoin plummeted. Musk made that decision because too many fossil fuels are used in mining bitcoin.

In addition, the Tesla CEO said he personally owns cryptocurrencies, specifically bitcoin, ethereum and dogecoin. Ethereum and Dogecoin rose about 11 and 16 percent.

Short positions

There also seems to be a technical reason for the strong price rally. “The big jump is probably the result of too large short positions,” said Vijay Ayyar of the crypto exchange Luno. According to Vijay, there were parties that speculated against bitcoin with a lot of debt. They had to close their positions due to the price increase last weekend, causing the currency to appreciate even faster.

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