Investing.com - Bitcoin prices spiked almost 200% on the Tokyo-based Mt. Gox Exchange on Sunday to hit an intraday high above $300, amid speculation withdrawals on the troubled exchange will soon resume.
BTC/USD rallied to a session high of $348.98 on Mt. Gox, before trimming gains to trade at $278.00 during U.S. morning hours, up 151.4%.
Investors returned to the market after a rumor posted on internet message board website Reddit said that Mt. Gox was in the process of testing Bitcoin withdrawals again.
Prices on Mt. Gox plunged to $91.50 on February 21 as investors were disappointed with a lack of concrete details regarding progress made on resuming withdrawals on the struggling exchange.
Mt. Gox was forced to halt all Bitcoin withdrawals on February 7 due to a technical issue, leading to steep declines as traders shied away from the virtual currency.
Elsewhere, the price of a Bitcoin last traded at $627.95 on Slovenia-based BitStamp, up 10.3%, while prices on BTC-e jumped 10% to trade at $610.00.
BitStamp is the world’s largest second-largest Bitcoin exchange, while Bulgaria-based BTC-e is the third-biggest by volume.
According to the CoinDesk Bitcoin Price Index, which averages prices from the major exchanges, prices of the crypto-currency picked up 2.3% to trade at $618.60.
Bitcoin is digital cash for the internet and it is not backed by a government or central bank to regulate or issue it. It can be used to purchase goods and services from stores and online retailers.
Prices of the virtual currency soared to an all-time high of $1,241.10 on November 29.