Everywhere you turn, you hear people talking about Bitcoin, like they’re on a first name basis. Well, it’s all for a good reason. Bitcoin Price is on the rise. Since November 14th, Bitcoin has ended the trading day, above $700. This volume is close to the all time highs, which were recorded in mid-June, at $781.31. If Bitcoin continues the upward trend, the end of the year could see trading hit an average annual mark higher than $750.
With trading markets, value counts for a great deal because the larger a stock becomes, the higher amount of new money is being poured into it. For Bitcoin price this could very well result in more enthusiasm about the currency overall. Enthusiasm means that new investors will rush to gobble up Bitcoins. Thereby, elevating the value as a percentage exchange rate, which in turn could push Bitcoin value even higher.
Right now, the outside factor that’s helping to push Bitcoin price higher is Chinese capital controls. Chinese capital controls refers to the rate in which a stock increases or decreases in value as a market commodity.
In simpler terms, capital control is the growth rate of the Chinese economy and how effectively it’s managed. So what does this have to do with Bitcoin price? The rate of the Chinese economy grows affects the ability of foreign investors to put money into global stable stock. With Bitcoin phenomenal growth rate, Chinese investors are assuming no risks, meaning they can invest in Bitcoin for the long term. Because Bitcoins do not erode in value.
What does Bitcoin’s price rally mean for investors? This is good news for investors everywhere. Bitcoin is becoming a long term investment option, which gives it clout as a safe haven stock. An example of another long term, safe haven stock is gold. Gold is a commodity that’s always on the top of the list of stocks to buy. Because Gold always increases in value, and now Bitcoin is approaching that same status. Bitcoin is headed towards becoming a valued asset in every country.
As previously stated, Gold is the only other asset that’s in constant global demand. It is considered a year round, safe haven. Meaning the more money you invest in Gold as a traded commodity, the higher the return on the investment (ROI). Bitcoin is quickly approaching that same status as an in-demand publicly traded option.
Bitcoin had to climb beyond the predicted, “slope of Enlightenment,” for its latest value increases. The “slope of Enlightenment,” refers to the newness factor, once all eyes are on a particular currency, because of excitement. Once that initial excitement dies is typically the period when boredom follows. For a brief period, it seemed that Bitcoin was going fall down into that slope. When its prices slacked off slightly to $713.
Then “Black Friday” rolled around and Bitcoin price value started to climb once again. This is due to the fact that Bitcoin was a contender in the Black Friday deals, going toe-to-toe with mainstream discounts. Bitcoin was holding its on vying for precious consumer shopping dollars by competing to match other exclusive discount offers. Bitcoin wallets opened up and with that, the stock’s value began to climb even higher.
Everyone was a winner using digital wallets on Friday. Some of the most popular Bitcoin bargains were shipping discounts that also included a free gift as well. Other deals offered 10% off for anyone using Bitcoin wallets. In addition to discounts and percentages off savings, other retailers provided Bitcoin raffle tickets with purchase.