Bitcoin investors have shaken off concern over future cryptocurrency regulation following the Libra hearings in Washington D.C. this week, driving the price of the cryptocurrency back up in a reversal of its midweek slump.

The cryptocurrency’s price surged by $1,000 in 30 minutes starting at 10:15 a.m. EDT today, then continued to climb, peaking at $10,743.88 at 7:45 p.m. As of 10:55 p.m., bitcoin was trading at $10,630.86, up 9% over the last 24 hours.

Bitcoin’s switch is being attributed to several factors, with the end of David Marcus’ testimony and absurd comparisons to 9/11 at the Libra hearings leading the pack. “A lot of the trepidation and fear that grabbed hold of many investors in the lead-up to the congressional hearings is disappearing as they are realizing that the criticism and animosity are being directed primarily at Facebook and Libra, and not cryptocurrency as a whole,” Jeff Francis at Micky wrote.

Another possible driving factor is the emergence of at least one cryptocurrency champion on Capitol Hill. Rep. Patrick McHenry told the House Financial Services Committee Thursday that bitcoin and the broader cryptocurrency movement was “unstoppable.”

“The world that Satoshi Nakamoto, author of the bitcoin white paper, envisioned is an unstoppable force,” he said. “We should not attempt to deter this innovation. And those that have tried have already failed. Some of us want to live in permissioned society, where you have to come to the government and for its blessing before you even think about innovating. Others believe in innovation.”

"I think there's no capacity to kill bitcoin" says @PatrickMcHenry #btc pic.twitter.com/DY70tx2TvV

— Squawk Box (@SquawkCNBC) July 17, 2019

Not least, any move in bitcoin’s price is who’s buying and selling. So-called bitcoin whales and other investors are flooding into the market, possibly sensing a opportunity after days of price declines.

That's how trends die. Bears were in control despite yesterday's relief rally. Until now. all those who sold yesterday's pullback got run over.

— Alex Krüger (@krugermacro) July 18, 2019

Where bitcoin goes next, however, is anyone’s guess. The stench of the congressional Libra backlash remains complete with the threat of new regulations on cryptocurrency. It is unlikely, however, that Congress will be prompt in taking action. Bitcoin still has a way to go to return to its yearly highs seen less than a month ago, but one thing is certain: Iinvestors are likely to have a wild ride no matter which direction bitcoin moves.

Photo: drchumley/Flickr