Bitcoin jumped more than, to become the “mainstream currency” is still a long way off
Bitcoin current price fluctuations in the vicinity of the highest level in history, since 2016, its price has risen 175%. But even if bitcoin and gold rose at the same time, it is still considered a safe haven asset “substitutes”, its rise does not mean that the stock market will fall, instead it is a sign of rising stock market.
As more companies started to accept bitcoin payment, the money starts to become mainstream. If economic activity continues to recover, bitcoin will increase demand.
Bitcoin was born in 2009, when the world is still in the financial crisis. Bitcoin is emerging as a new currency and payment network, until now, has not been widely recognized. Now accept bitcoin payment company Microsoft, Subway and blog platform WordPress and so on.
According to Reuters, Switzerland’s financial regulator allows a bitcoin company operating in the near future. In 2016 last year, there was news that JP Morgan is on their block chain technology to support bitcoin. Perhaps the storage vendor ETF and bitcoin bitcoin bitcoin also hope that the relevant economic activities will increase.
In the past, bitcoin prices are often considered to be the signal transfer from traditional assets and investors looking for new assets. But as bitcoin has become more mainstream, it gradually becomes the same as the securities.
Won the Nobel prize in economics Zhesidige Liz (Stiglitz) is mentioned in the January world economic forum in Davos, if the United States changed the currency will have digital transparency conducive to corruption and increase in global financial markets. Of course, Stieglitz also admitted that “do exist in network security and privacy issues, but also a great advantage.”
At present, bitcoin is not legal tender, did not get any government support and the lack of supervision and issue, also let bitcoin market volatility is huge. Just this month, bitcoin rose to 25%, and last month was down 5%.
For bitcoin traders or holders, the biggest fear should be a day of global government will bitcoin is illegal and to suppress. But if one day the end of the world coming, perhaps bitcoins will become a hard currency and gold.
In any case, bitcoin from now become the “mainstream currency” is still a long way to go, but it sure is a real payment system.
(this article is reproduced, does not constitute investment advice, please rational judgment)