Bitcoin has recovered, moving back towards $16,000 after a heavy downturn of over 25 percent last week.
Many market regulators and banks, however, warn against investing in cryptocurrencies, arguing that the recent surge in prices may have been triggered by speculations and that the risk of a sharp drop is high.
Update on this #bitcoin chart. We got that 2nd bounce & retagged resistance. Even if you're overall bullish on the move, you can take some profits at a strong resistance level, which often allows for a lower reentry while still retaining some of your position if we blow through pic.twitter.com/9i0ByAtWKL— sicarious (@Sicarious_) 26 декабря 2017 г.
Earlier, Morgan Stanley researchers wrote that the real value of bitcoin is "zero," until the cryptocurrency is accepted as a rival to the US dollar and other fiat currencies.
Bitcoin lost over a quarter of its value on Friday after it dropped to $11,159.93. Despite a late recovery, the price still remains volatile.