Bitcoin and other cryptocurrencies rose on Tuesday amid a broad return of risk appetite among investors. However, analysts warned that the rise could be short-lived, as both the macroeconomic situation and the cryptocurrency itself are unfavourable.

Over the past 24 hours, bitcoin’s price rose 4 per cent to $19,900 as the biggest digital asset moved further away from last week’s trough around $18,500 – near its lowest level all year – but remained below the psychologically important $20,000 mark.