Bitcoin Prices Surge Past $15k As Volatility Soars
This Thursday, December 7th, 2017, Bitcoin passed the $15,000 mark. While Bitcoin’s stratospheric rise in 2017 has astounded even the most ardent Bitcoin supporters, the $6,000 gain in just the last week has made all past Bitcoin rallies pale in comparison.
What Is Driving Bitcoin Prices?
The price of Bitcoin has historically responded to three factors: hacks, public awareness and regulatory issues.
This week has been dominated by the news that two major exchanges would now be offering Bitcoin futures, which has led to a dramatic rise in public awareness about Bitcoin. This increase in public awareness and acceptance has led speculators to significantly increase the price that they are willing to pay for Bitcoin.
This extremely positive news has totally eclipsed a recent hack on a website for Bitcoin miners that saw around $60 million in Bitcoin stolen. A hack of this magnitude has historically had a substantial impact on the price and volatility of Bitcoin, but had no noticeable effect this week as all eyes were on the implications of the upcoming Bitcoin futures release.
What Is the Limit for Bitcoin Prices?
Even Bitcoin investors who argue that this current rally in Bitcoin prices is just a speculative bubble believe that the price still has a long way to go before it comes down again. Some of the most respected Bitcoin investors have suggested a top of $40k or even $60k per Bitcoin.
True Bitcoin enthusiasts, on the other hand, see this recent rally as just the beginning of Bitcoin’s march into the 100s of thousands or even millions of dollars per Bitcoin. They argue that the growing public awareness and acceptance is just the beginning of a new age of digital transactions, and Bitcoin will be center stage for it all.
Whatever the outcome, this week’s rally in Bitcoin prices has cemented Bitcoin’s place in financial history. People are waiting with bated breath to see what surprises Bitcoin has in store next.