Bitcoin reached new all-time high at $2,087 after surging beyond its last all-time high set at $2,050, with demand toward Bitcoin growth from institutional investors within the United States, Japan and South Korea.
Joseph Young posted in Twitter on May 21:
“#bitcoin officially hits new all-time high at $2,050 as international average. Bitcoin being traded in Japan & South Korea at $2,350. p.c.twitter.com/tFR0zXsUku”
At the time of writing, Bitcoin is being traded in Japan and South Korea at $2,350, at an eleven percent premium relative to the worldwide average Bitcoin price and the price indexed by Bitcoin exchanges based in the United States.
Charles Hayter, the Chief Executive Officer of CryptoCompare, noted that the Japan’s and South Korean Bitcoin exchange markets played a major function as the driving aspect of Bitcoin’s latest price surge.
Charles Hayter stated:
“Arbitrage among the fiat pairs drags markets up or down in line with main markets. At present, volumes on the South Korean won and Japanese Yen pairs dominate buying and selling with a combined forty eight percent marketplace share.”
However, the Japan’s and South Korean Bitcoin markets on the worldwide Bitcoin marketplace keep over 48.6 % of the international Bitcoin marketplace share and represent the majority of institutional traders in Asia. Japan has experienced an explosive increase in demand for Bitcoin as a number of the Japan’s most influential conglomerates introduced the release of their independent cryptocurrency exchanges, with the vision of facilitating fiat-to-digital currency exchange securely and transparently, with low expenses.
A huge quantity of traders have begun to fuel a cryptocurrency bubble concentrated around Ripple and NEM. IndieSquare co-founder, Koji Higashi, stated that the legalization of digital currency and the tax exemption of Bitcoin convinced beginner and informal digital currency investors that each other cryptocurrencies are legitimate and nicely based. Moreover, he mentioned that the majority of traders are making an investment in digital currencies apart from Bitcoin with particularly shallow information and knowledge of digital currencies.
Koji Higashi stated:
“I think I know the answer now. Newly entering Japan’s traders are driving this digital currency bubble and not-so-smart cash is flowing into the space particularly into a few cryptocurrencies at a rather concerning rate. Some other element to note about this new trend is that the general lack of knowledge or appreciation of the technology by many of new customers.”
Within the following couple of months, as Bitcoin keeps its momentum and upward trend, it is probably that Japans digital currency exchange marketplace will show a few stability and see a decline in interest over some other digital currencies. If so, the demand for Bitcoin will probably raise through the years.
Presently, analysts and researchers at mainstream media outlets are attributing Bitcoin’s recent upward momentum to the monetary uncertainty and instability of the United States. This is a rational conclusion thinking about that the United States replaced the Japan’s Bitcoin exchange marketplace for the first time during the last year to become the biggest Bitcoin exchange marketplace.