Bitcoin (BTC) reached R372K, a level last seen in mid-June after Boris Johnson resigned as Prime Minister of the United Kingdom.
Despite retracing to the R368.8K level during intraday trading, the leading cryptocurrency was still up 7.18 % in the last 24 hours, according to CoinMarketCap.
Johnson resigned during a turbulent week in British politics, when several ministers resigned in the wake of a wave of scandals. As a result, Johnson’s authority was diminished, effectively paralyzing the UK administration.
On Thursday, Johnson told onlookers and supporters outside 10 Downing Street:
“It is clear now the will of the parliamentary Conservative Party that there should be a new leader of that party and therefore a new prime minister.”
Nonetheless, he blamed his problems on the Conservative Party, saying:
“As we have seen at Westminster … when the herd moves, it moves. And my friends, in politics, no one is remotely indispensable.”
As a result, the news of Johnson’s resignation has created a bullish momentum in the Bitcoin market, which has been fighting to maintain its psychological price of R337.9K.
However, a market expert going by the alias Tajo Crypto says that caution should be exercised because BTC is still not out of the woods.
“Bitcoin pumped after Boris Johnson’s resignation and it’s pumping now, but let’s not be too optimistic and blow things out of proportion. We are still in a bear market and there’s no guarantee of leaving yet, especially with the Fed’s quantitative tightening. But anything is possible.”
With Bitcoin rejected at the 200-day exponential moving average (EMA) of about R380K, only time will tell how the world’s leading cryptocurrency will perform in the immediate term.