The cryptocurrency traded above the $100,000 mark on Wednesday night, and continued to trade in six-figure territory for half a day, into Thursday, when it dropped back under $100,000.

Dan Coatsworth, investment analyst at AJ Bell, said: “Bitcoin is behaving like a child suffering the after-effects of a sugar rush. After yesterday’s surge, the sugar crash took effect and took the crypto back below $100,000.

“A few more sweets have now been consumed and the price is going back up. All in all, the recent price movements aren’t out of the ordinary for bitcoin and no-one knows where it will go next. The price is driven by sentiment and that can easily turn on a dime.”