Why Bitcoin and Ethereum Were Rising on Wednesday

The two largest cryptocurrencies by market cap, Bitcoin (CRYPTO: BTC) and Ethereum (CRYPTO: ETH), were also dominant in trading late Wednesday afternoon. As of roughly 4:30 p.m. ET, both were rising by over 4% across the preceding 24 hours. 

There were two big engines driving the prices of Bitcoin and Ethereum higher. The first was a resurgent stock market. Although cryptocurrencies are considered by many to be defensive investments against equity market downturns, in fact, the prices of digital coins frequently correlate tightly with the market's swings. As bellwether tokens, both Bitcoin and Ethereum can (and frequently do) perform well during bull markets.

Image source: Getty Images.

Continue reading

Source Fool.com