Cryptocurrency markets have managed to push higher for a second day in a row as trader sentiment continues to improve.
Here's what you need to know this morning:
The bitcoin (BTC) price has climbed almost 7% over the last 24 hours to US$8.066 per coin. This brings the world's largest cryptocurrency's market capitalisation to US$136 billion.
Also putting on a strong gain is the Ethereum (ETH) price. The next largest crypto is up 7% since this time yesterday to US$816. This takes its market capitalisation up to US$79.6 billion.
Popular altcoin Ripple (XRP) has kept its solid run going and climbed 3% to 76.6 U.S. cents during the period. Ripple's market capitalisation is now back to US$29.9 billion.
Bitcoin Cash (BCH) has been a solid performer and pushed over 6% higher during the last 24 hours to US$1000. The bitcoin spin-off now has a market capitalisation of just under US$17 billion.
Cardano (ADA), the fifth-largest cryptocurrency, has gained 3% since this time yesterday to 35.2 U.S. cents. Cardano has a market capitalisation of US$9.1 billion.
What happened?
As I mentioned yesterday, news that U.S. regulators are unlikely to ban cryptocurrencies appears to have gone down well with traders.
And one expert believes this latest gain is the start of something much bigger. According to CNBC, Thomas Glucksmann thinks that the cryptocurrency could reach US$50,000 by the end of the year.
The head of APAC business development at cryptocurrency exchange Gatecoin told CNBC that: "Increasing regulatory recognition of cryptocurrency exchanges, the entrance of institutional capital and major technology developments will contribute to the market's rebound and push cryptocurrency prices to all new highs this year. There is no reason why we couldn't see bitcoin pushing US$50,000 by December."
Should you invest?
I think the predictions of someone working for a cryptocurrency exchange should be taken with a pinch of salt.
Whereas, the predictions of Goldman Sachs may have a little more credibility. The investment bank warned overnight that most cryptocurrencies will fail to reach their previous highs and some will fall to zero.
Time will tell who is correct, but I'll be sitting this one out and watching on from the sidelines.
