Final answer:
Hans Christian Oersted discovered that a current-carrying wire generates a magnetic field that can move a compass needle, effectively acting like a magnet.
Step-by-step explanation:
The observations made by Hans Christian Oersted indicated that when a current-carrying wire was brought near a compass, the needle moved. In Oersted's observations, the current-carrying wire acted like a magnet. This is because the electrical current flowing through the wire generates a magnetic field, which interacts with the needle of the compass, causing it to move. This behavior mimics that of a magnet and demonstrates an early understanding of electromagnetism. The moving charges within the wire create a magnetic field that is analogous to a bar magnet, and this effect has many practical applications, such as in electromagnets used in various equipment.