The bullish momentum in Bitcoin continues breaking new all-time-high records as the price of the most valued virtual digital currency touched a new peak of $7598. Yesterday, the positive sentiment in the market tickled the Bitcoin prices towards upward journey and today the price seems to be consolidating near $7394.68.
As per latest reports, there has been a huge inrush of investors from South Korean and Japan who have participated and contributed to the recent rally. Although both these Asian countries have a very conservative investor community, there is a new optimism within them.
Korbit founder and CEO Tony Lyu observed a typical behavioral pattern within the investors of South Korea. Lyu found out that in case one person from investor community participates in the markets, he/she will encourage others to join the “party”. Lyu said:
“Word just spreads really fast in Korea. Once people are invested, they want everyone else to join the party. There’s been this huge, almost a community movement around this.”
With the tremendous increase in liquidity of bitcoins recently in the past two weeks, a large number of traditional investors from the Japanese and South Korean financial industries have been flocking their wings to venture into the cryptocurrency markets. Another interesting and growing trend in South Korea is the emergence of offline exchanges like Coinone and Bithumb. These two are South Korea’s largest cryptocurrency exchanges which specialize in providing one-to-one personal assistance in purchasing, trading, storing and managing bitcoin for new and novice investors.
One of the bitcoin investors comments:
“Due to the emergence of physical cryptocurrency exchanges and offline customer service operations launched by CoinoneBlocks and Bithumb, many investors in South Korea are rushing to sell their stocks and equity in public companies to invest in cryptocurrencies such as bitcoin. Since the beginning of 2017, the demand for bitcoin has increased significantly and investors have been able to build trust over the cryptocurrency exchange market through offline exchanges.”
Japan has always been a major contributor in driving the bitcoin price and its government has been quite open from the very beginning towards acceptance of these new form of virtual digital currency. The government of Japan has also given bitcoin a legal status as a currency and allows its use as a payment method across hotels, online e-commerce platforms, retailers, and restaurants.
On the other hand, there are investors from U.S. who don’t wish to be left behind and want to stay ahead in line of accepting the new fintech wave of cryptocurrencies. In fact, the recent rally is said to be fueled by the fact that two major futures trading exchanges – CBOE and CME Group have announced starting of bitcoin futures contract by the year-end.
Moreover, the excellent thing is that all these bitcoin futures contracts will be cash-settled which will bring huge liquidity in the markets and will also pull investors who only want to trade bitcoins not buy them.
Even after Bitcoin has beaten everyone’s expectations, the way of optimism and positive among investors still remain intact and analysts are predicting that the bitcoin prices could touch $10000 by next year.