Apparently, breaking the $5,000 mark was not good enough. Bitcoin took a turn for the best and rose almost ten percent overnight. On the morning of October 11th, Bitcoin surpassed a new all-time high mark of $5,200.
That still wasn’t good enough. The momentum stayed in the market and raised Bitcoin’s price up to $5,419 on Bitfinex earlier today. The price has now settled to around $5,319 at the time of this writing.
Bitcoin’s market cap has been inching closer and closer to $90 billion with its recent spikes in price. Now, being less than $2 billion away, it is closer than ever.
Finding the factors that affect Bitcoin’s price is easier said than done. With the proposed ban of cryptocurrencies and ICO’s in China, Japan has picked up the slack and kicked the US out if its throne. They now have the biggest Bitcoin market in the world. However, that is old news.
A few main factors that have a play in Bitcoin’s price are the current events going on in the Bitcoin world. The SegWit2x hardfork coming up next month, the introduction of national licensing programs for Bitcoin exchanges in Japan, and the rise in demand for Bitcoin among wealthy US-based individuals and investors. Perhaps Mike Novogratz has something to do with it? Read more about that here.
SegWit2x (aka B2X) is a controversial hardfork coming up in November. You can read more about that and see what pools currently support it here. Otherwise, here is a short explanation: Bitcoin has been having problems with the mempool and amount of transactions in each block. This leads to long confirmation times. SegWit2x omits this problem by increasing the block size by a lot. However, many miners are not a fan of this because bigger blocks promote centralization. Plus, this decision was made back in May, behind closed doors without any representation of the Bitcoin community. The staff members of coins4days are opposed to this decision.
Mike Novogratz plans to put together a $500 million hedge fund to invest in the digital asset world. More about that here. Him, along with his partners, and all of the other extremely wealthy individuals looking to make a pretty penny. Throwing massive amounts of cash into the markets surely has an impact on Bitcoin’s price.
China’s trading volume is steadily flowing into Japan’s more efficient market. The Russian government wants to regulate and legalize the usage of crypto coins.The increase in demand for Bitcoin as a whole is a great sign. There is lots of good news to go ’round. This is gentlemen.