At the moment, bitcoin exchange rate is rising towards $810. It is the highest price the cryptocurrency has reached over the last 34 months.
The price started moving upwards after midnight 21 December. Within a few hours, it jumped from $792.5 to $800. Later, the cryptocurrency stabilised at the level below $800 for a while, but soon began another climb above that mark. At the press time, bitcoin is trading at around $807.
Comparing to the last January level, bitcoin has grown by 80% in a year’s time.
The main factor driving the cryptocurrency upwards is the world macroeconomic situation, especially the slowdown in emerging markets. The GDP growth in China, the second-biggest economy in the world, is has rolled down to 6.5% in 2016.
China still remains the biggest market for bitcoin. Three main Chinese crypto exchange platforms, BTCChina, Huobi and OKCoin, account for more than 98% of the global bitcoin trading volume.
This year, Chinese authorities tightened the control over cross-border capital flows. It has also contributed to bitcoin price growth since local investors now prefer using the cryptocurrency as a means to move their assets abroad.
A rapid growth of interest to the cryptocurrency was registered prior to the UK referendum on Brexit. If in May bitcoin traded for about $440 per unit, by 19 June the cryptocurrency rose to $768. After the referendum, bitcoin returned to $580 but the upward trend continued. It regained the Brexit high in November.
Meanwhile, experienced members of the bitcoin community predict that the growth of the cryptocurrency will not stop soon. The analysis of Danish Saxobank, CEO of which Lars Christensen is an active bitcoin supporter since 2014, suggests that the digital currency has a potential to reach $2,100.