The digital cryptocurrency Bitcoin has been hugely demanded in 2017, where the value is more than tripled. Among experts there is disagreement about whether it is a bubble or if the course can go further.
Today 1 Bitcoin costs $ 2.683, while at the beginning of the year it could be purchased for around $ 950. There is a growing demand for bitcoins in China, and the fact that several companies - including Russian e-commerce giant Ulmart and the Japanese airline Peach - have accepted the currency as a means of payment, has also been a factor that has driven the uptrend. At the same time, Japan has set the currency to be considered as a common currency. Bitcoin is just one of many different crypto currencies, which are constantly emerging.
The price of bitcoins is mostly driven by what is happening in China, where there has been a lot of interest in bitcoins, because there are no free movement of capital for Chinese people. At the same time, there is a limited supply of bitcoins, a suddenly big demand, will result in a sharp increases in price. Today there are about 16.3 million Bitcoins in circulation, and new ones will be issued on a regular basis, which will reach a maximum of 21 million. In the year 2140. Bitcoin was created in 2009, and has had massive fluctuations in price. The main difference between ordinary currencies is that there is no central bank, such as the European Central Bank, or the Federal Reserve Bank to regulate this currency.
Last year, Saxo Bank was on the track with an analysis, where the bank predicted that the price would cross 2000 dollars in 2017, although this price point has been reached by far, the bank is optimistic for further increases. Kay Van-Petersen strategist for Saxo Bank, recently stated to CNBC media that the price could reach $ 100,000 in the next 10 years. Here Saxo Bank strategist assumes that Bitcoin will have a market capitalization of 1750 billion. dollar.
