The quick increase in price was no doubt triggered by the announcement that PayPal, one of the world’s leading payment platforms, is launching support for cryptocurrencies.

As the news came in, the price of Bitcoin smashed through $13,000 USD after fairly stable trading zones between $10,000 USD and $11,000 USD. As per the BBC report, PayPal’s launch into the cryptocurrency space will be a quick affair, with plans to roll out buying Bitcoin options in the next few weeks:

“PayPal plans to roll out buying options in the US over the next few weeks, with the full rollout due early next year.”

In addition to Bitcoin, PayPal will also be launching support for altcoins Ethereum, Litecoin and Bitcoin Cash with other options for cryptocurrencies in the future.

Former eToro analyst and Quantum Economics founder Mati Greenspan noted that this sudden rally was trajected by the news:

“There’s no doubt in my mind that this bit of news is almost solely responsible for today’s extended gains.”

With a 10% increase in daily trading, Bitcoin price might have hit a new level of support. Time will tell whether it will correct and face a drop, but if new investors are flooding to the market with the intention of holding, it’s possible that no pump-and-dump is on the way.

Altcoins also bullish after PayPal news

Not only has Bitcoin risen, but Ethereum has also gained 8% in trading value. Bitcoin Cash is up 9% and Litecoin is looking extremely bullish with a more than 15% increase in daily trading. This emphasises the reason behind the surge;  with the news pointing towards an overall increase in the cryptocurrency market.