Bitcoin has risen to a two-year high as at press time to $686. So has the Ethereum moved to $16.50 particularly over the weekend. This is likely to be a continuous trend with the look of things.
A close monitoring of the Poloniex exchange platform shows that both digital currencies - as well as Monero, Litecoin and Ripple - are the main beneficiaries of the growing interest in the cryptocurrency market. Dash has a slight drop.
According to CoinMarketCap.com, Ethereum gained a 5.25% rise against Bitcoin and a 15.25% against the US dollar.
The best explanation for the rise thus far is that expectations are high that the supply for Bitcoin will shrink next month due to the expected halving of its mining blocks around July 10 and the deepening interest in the blockchain technology resulting in Bitcoin being acquired as a valuable asset.
Bitcoin’s 50% surge from its price of about 20 days ago is also hinged to the continuous Chinese demand for it.
Bloomberg wrote that Bitcoin’s rebound is coinciding with weakness in the yuan, which fell the most in two months on Monday in Shanghai, and with a further lowering rate expected.
Co-founder of Beijing-based Bitcoin trading platform, huobi.com, Du Jun, said many new registered investors are coming every day with many pouring money from the stock and housing markets.
The present upsurge in Bitcoin price seems to be racing for the days gone by when it rose above the $1,000 mark in December 2013.
Earlier this year, Allen Scott cited five reasons for Bitcoin price to rise this year. They include the halving, China, growing transaction volume, Blockchain, and improving infrastructure.
Follow us on Facebook