Led 02

Bitcoin Price Starts 2017 Right; Conquers $1,000 on Day One

· January 2, 2017 · 12:30 am

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A New Year means new goals and new possibilities. Everyone should have a goal to reach for the year to come, and we hope you reach your goals in 2017. Bitcoin has its own goals, but Bitcoin tends to be ahead of the curve when it comes to what it can do, especially when it comes to the Bitcoin price. 2017 has proven no different.


Bitcoin Hits $1,000 For the First Time Since 2013

Bitcoin spent New Year’s Day reaching its first watershed moment, eclipsing $1,000 USD in market value after a record period of Bitcoin trading in many markets around the world. Bitcoin began the day, in the West, valued at less than $970 USD, but as midnight struck in Beijing for the first time in 2017, one could clearly see that the Chinese market was ready to carry Bitcoin to its highest point since the first week of December 2013.

Within the first hour, values started to rise steeply.

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Every January 1st in China, the world’s largest Bitcoin trading market, represents the start of a new annual $50,000 quota to convert the yuan into foreign exchange resets in China. Every year, Chinese investors can legally take $50,000 worth of Yuan and invest it elsewhere. It doesn’t take E.F. Hutton to see where China is putting their investment capital these days, or in the days to come.

btc-china

Liu Dongliang, an analyst at China Merchants Bank Co., noted earlier this month,

In the new year, the new foreign-exchange purchase quota starts, so we expect yuan positions in January to drop significantly.

It was clear that there were many, many investors in China, and around the world, who were waiting for New Year’s Day to go on a Bitcoin buying spree. Unlike in the Mt. Gox bubble of 2013, this current “Bull run” is not built on the events of one centralized Bitcoin exchange, but demand at several exchanges both inside and outside of China.

What happens now?

In my opinion, there is little to stop this run from continuing. Hell, Sunday wasn’t even a business day and Bitcoin gained over 3%. Monday is going to be an observed holiday for many, but Tuesday can be more a huge day, much more lucrative than a $35 push on a Sunday holiday, with all bankers open for a full business day. I expect this run to last all week, if not all month, particularly in China, where regulations and Bitcoin’s increasing value in a declining market are spurring demand.

Bitcoin China Money

So, what’s next for Bitcoin?

Now that Bitcoin has reached its first goal of the New Year, the community can focus on Bitcoin eclipsing the value of Gold, which is currently trading at about $1150 USD. Mind you, Gold has been dropping in price over the last sixty day. It was trading at over $1300 USD in early November. That Bitcoin could reach $1,150 in value by the end of the month is certainly not out of the question. One bitcoin was selling for less than $850 USD just ten days ago, and now it’s bigger than silver already. So why can’t it gain another $150 in the next month?

The mainstream media can only watch in awe as the free market economic system works its magic on a global scale. It’s a new year and Bitcoin is picking right up where it left off in 2016, when it grew 132% in value, its best year since 2013. A smart investor might want to put a call in on Bitcoin this week. Early this week.

Will the Bitcoin price remain above $1,000 in 2017? Share your thoughts below!


Images courtesy of shutterstock

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Říj 28

Bitcoin Price Keeps Booming, Another $30 Rise in the Books

Source: bitcoin

Bitcoin Trading System

Another rise has been recorded. Since our last piece, the bitcoin price has shot up by about another $30 and is hanging around the $680 mark. Bitcoin just keeps booming away, and it’s plausible that the digital currency could potentially reach $700 in the coming weeks if its current streak stays strong.

Also read: Bitcoin Price Watch: Are We About to Hit $700?

One source describes the action with a ray of excitement:

“Wow, what a night. We’ve been asking for some volatility in the bitcoin price for the last couple of days, and boy did we get it last night.”

This is the second near-$30 rise for bitcoin in the short span of about a week, and several analysts are “blaming” the devaluation of China’s native yuan currency for the alleged spikes in the coin’s price.

As the strength of fiat continues to drop, many asset holders (particularly in China) are seeking ways to retain some form of power and control in their financial futures, and it appears bitcoin is the way to do that. Bitcoin trading and purchasing are at an all-time high in South Asia, and the streak doesn’t seem to be on the verge of stopping anytime soon.

Is ‘Hodling’ the Best Way to Maintain the Bitcoin Price?

However, there is another side of the spectrum. Sure, people are buying coins left and right. Yes, it is likely contributing to the price hikes, but other investors are touting the power one achieves in simply “holding on” and waiting.

Those with a fair amount of bitcoins in their investment portfolios are sitting around and letting what they have grow. Granted, once they reach a certain point, they will seek to cash out and get their money’s worth. The process is called “hodling,” and is similar to the practices witnessed amongst top stockholders.

One source describes its functions:

“’Hodling’ takes bitcoin off the market, reduces the supply available to everyone else, and increases the price as a result. If could also mean signaling to whoever heeds that you value the asset enough to want to hold it, which in its own interpretation, could warrant keen interest from those who are yet to go into it.”

Hoarding bitcoins is neither wrong nor right; same for spending them. Whatever works to increase the price is probably best, but investors are warned that bitcoin is showing some unusual activity as of late, and it’s unclear whether or not the price is coiling or simply settling and correcting itself. Either way, keep an eye out and keep those bitcoins protected.

Do you think bitcoin will reach $700 soon? Post your comments below!


Image courtesy of Bitcoinist.

The post Bitcoin Price Keeps Booming, Another $30 Rise in the Books appeared first on Bitcoinist.net.

Bitcoin Price Keeps Booming, Another Rise in the Books

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Srp 16

Is the Bitcoin Price in for a Massive Bull Run?

Source: bitcoin

bitcoin price

Following a heavy drop, the bitcoin price showed signs of recovery last week when it ascended to $590. Now, bitcoin has dropped again and is hovering around $580 at press time.

Also read: Silk Road Auction Could Help Bitcoin Price Bounce Back

Bitcoin Price Still Bullish?

Bitcoin has likely found a comfortable place to reside for the time being. All that climbing and falling is sure to take a toll on one’s energy, and bitcoin is no exception. After nearly two weeks, the price seems to be shifting only slightly within the range of $580 and $590.

One source explains that bitcoin is now competing against the U.S. dollar, which seems to be doing better in the value department. The platform states:

“US equities ended in the green once more, renewing demand for the dollar versus other assets such as bitcoin. Economic reports from the US have been surpassing expectation these days, keeping hopes up for a Fed interest rate hike in September or December… If the actual readings beat expectations, the US dollar could gain more traction in its climb.”

With a spike in the dollar’s value, we’re likely to see potential rises in additional currencies such as the Chinese yuan and Japanese yen. When fiats take off, bitcoin and related altcoins usually stumble.

However, other analysts are more optimistic. Bitcoinist.net explains that the price is in for a steady rise in the coming months, and traders should expect an oncoming bull-run:

“The bitcoin price is beginning a reversal pattern to the $700 level, where a congestion area should reinforce quotes for another climb to $820. Now at the $580 support level, prices are starting to form an upward reversal pattern, which will allow pull back to $700… The current trading box we are considering was built according to the ended rounded bottom first pattern with the 28 percent and 62 percent Fibonacci retracement theory – it seems to be working so far. The next stage could be an upward rally into the new technical cycle. Now, after a plunge to the support at $580-$600, a new bullish consensus is expected to provide the concurrent elements that ensure a change in the current trend.”

Despite thoughts of a rise, the same analyst suggests that traders wait to take action until the price hits $600:

“Average traders should wait for quotes to reach $600 before buying. Doing so will allow them to take advantage of the initial rebound to $700, which should lead into a new bull cycle to $820, where the box resistance is still waiting on the quotes.”

Is bitcoin in for a massive spike? Post your thoughts and comments below!


Images courtesy of Wikimedia Commons, Bitcoin.com.

The post Is the Bitcoin Price in for a Massive Bull Run? appeared first on Bitcoinist.net.

Is the Bitcoin Price in for a Massive Bull Run?

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Úno 02

Bitcoin Hangs In There While China Faces More Financial Worries

Source: bitcoin

Bitcoinist_financial worries

Financial trouble has been brewing in China for several months now, and traditional stock markets remain very shaky ground for the time being. Keeping in mind how the Chinese economy will affect nearly every other country in the world, things are not looking overly positive right now. By the looks of things, global lenders are not that confident in the Chinese economy anymore, which could lead to further turmoil down the line.

Also read: Ethereum Drives First Decentralized Ad Platform: Etherboard

China’s Financial Peril is Far From Over

Even though the People’s Bank of China has taken several measures to fight further downfall of the stock market, their efforts seem to be in vain for the most part. On top of that, global lenders are losing confidence in the country’s plan for recovery, as there has still not been any form of proposal from government officials.

Needless to say, this growing uncertainty could easily lead to further devaluation of the yuan. When a country’s financial situation is on the brink of collapsing, it is the sole responsibility of the central bank and government officials to devise a strategy. So far, that has not happened, and it is making investors and other financial players very nervous.

The Chinese yuan has been losing a fair share of its value for several months now,and it still remains unclear as to whether or not this downward trend will continue over the weeks to come. Some financial experts see the delay in coming up with a solution as a covert plan to further weaken the yuan in favor of their new trade-weighted basket of currencies.

In December of 2015, the People’s Bank of China made several financial interventions to stop capital outflow. Even though the official number of money spent by the bank remains unknown to this very day, some experts estimate it at US$140 billion. It goes without saying that PBOC has been sacrificing a large portion of its foreign exchange reserves, to little avail.

It remains impossible to predict what would happen if the Chinese yuan would be faced with another devaluation in the near future. One thing’s for sure though: the financial shockwave will be felt by all countries around the world. Zones such as Japan and Europe are already weakening their currencies, and another major hit could send both economies in a death spiral from which they will not recover any time soon.

Chinese government officials will have to come up with a plan to reform their financial structure and create a more transparent ecosystem. Right now, China’s financial system is obscured from the rest of the world, as information is very difficult to come by. Furthermore, the country’s excess industrial capacity will need to be addressed as well.

Funds Dry Up Due To Failed Diversification

Based on several statements published in a recent Telegraph UK article, it looks like China is running out of funds rather quickly. With an estimated US$600 billion left in reserves that can be spent whenever needed, there is very little headroom for another disaster. If this funds were to dry up completely, things could get very uncomfortable for China.

If the government and central bank had properly diversified their portfolio, a part of this crisis could have been averted. Rather than relying on traditional financial instruments, diversification with Bitcoin is an interesting alternative. In fact, the central bank of Barbados might be eyeing bitcoin as a way to diversify their asset portfolio at some point in the future.

What are your thoughts on the ongoing debacle in China? What will the result be? Let us know in the comments below!

Source: Telegraph UK

Images courtesy of Shutterstock, PBOC

The post Bitcoin Hangs In There While China Faces More Financial Worries appeared first on Bitcoinist.net.

Bitcoin Hangs In There While China Faces More Financial Worries

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