Bitcoin prices skyrocketing currency analysts are very much puzzled.

Bitcoin prices skyrocketing currency analysts are very much puzzled.

Beijing time on June 8th morning news, 2017 bitcoin as the Millennium gold, very valuable. Or say it is like the wine and art collections, or just waiting to burst the bubble.

To try for the encryption and digital currency brothers currency valuation currency analysts, even if all the traditional means all are not too much, but it is not money.

Barclay Capital Inc in New York currency strategist Juan Prada (JuanPrada) said: “it is difficult to use the standard exchange rate valuation framework, they are the basic driving force based on the currency, such as relative productivity or national trade conditions, and no concept of this encryption currency.”

Since the beginning of this year, digital currency market value has soared to about $100 billion, on Tuesday, with the crazy growth of encryption currency, bitcoin’s value rose two times, the price of up to $2938.50. The demand expansion, because more and more companies are beginning to recognize the block chain (blockchain) and similar encryption currency support, some investors consider the prevention of global uncertainty haven.

Although the technology is used as a means of payment, the most basic functions of money, but it will be the best digital currency as gold or painting, rather than the traditional currency. Bitcoin is even more than the most capricious play fast and loose legal currency, the decentralized structure make it difficult to estimate.

“Gold and bitcoin is different from the conventional currency, that is to say, the world is not a single economic entity as the medium of exchange and a unit of account,” Prada said.

His views and opinions of the Commodity Futures Trading Commission, the Commission said on September 2015, agree without prior without previous consultation, such as virtual currency bitcoin is formally regarded as a commodity. According to this view, the Commodity Futures Trading Commission has the right to encrypt the currency futures and options trading supervision authority.

Wells Fargo securities (WellsFargoSecuritiesLLC) head of foreign exchange strategy Nick Beniblock (NickBennenbroek) said, to some extent, bitcoin can be regarded as a form of wealth and investment, as some vague alternative assets into consideration.

“As an alternative asset, the electronic products may have some value, because you can use it to pay 1); 2) ability to block chain and dispersing method, verify the transaction, may have some value,” said Benny Bullock. “There are other forms of capital, as people sometimes buy a painting, it is part of their portfolio. People buy bottled wine. But some people think that the paintings have intrinsic value.”

Billionaire Mark Cuban said the technology for the speculation on Tuesday with a pen, he said in Twitter, bitcoin is a bubble, price volatility will exceed $200 in the days of the trigger. Cuban wrote: “I do not question the value of it, but I doubt on the valuation.”

“This is a medium of exchange, but the price volatility means as a unit of account, if you use bitcoin as a reference, not very helpful,” said Benny Bullock.

Jefferies, currency strategist Brad Bechtel (BradBechtel) said, “you can’t really for the valuation, it does not create any value, although it will be regarded as a safe haven, to prevent it all completely crazy.” (Si Mei)

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