Bitcoin Breaks $6,000 Barrier, while Market Cap Exceeds $100 Billion

Bitcoin

The highest volume BTC/USD exchange, Bitfinex, earlier today broke the $6,000 record and has joined by all the major exchanges. Also the price of Bitcoin had peaked at $6,041 regarding to Coinmarketcap.com, and causing by that the market capitalization to exceed $100 bln for the first time.
How news are connected with it?
Recent surge comes after a week of extension over the $5,000 mark, despite the comments of the president of Brazil’s central bank and naysayers like Jamie Dimon. China banned ICOs and Bitcoin exchanges , South Korea banned ICOs, the US SEC stepped up scrutiny of ICOs, and the CEO of Chase Bank hasn’t been able to keep his mouth shut and all of this happened in the last month.

For some years, Bitcoin had the name of “the honey badger of money,” and “antifragile.” And the meme “Bitcoin don’t care” is perhaps the most applicable of all currently. Bitcoin doesn’t care about China’s actions, or what bank CEOs says, or what central bankers think. The only thing about which Bitcoin cares, apparently, is increase of prices and adoption.

Can’t hold it

Many have thought that institutional money make the way into Bitcoin, and they are correct. LedgerX has been recently approved by the Commodities Futures Trading Commission with a purpose to create a regulated Bitcoin options market. This would give institutions wary of holding the actual digital currency a way to expose themselves to the price movements. LedgerX is scheduled this month to debut Bitcoin options trading.
Bloomberg stated that industry executives expect in near future an approval of a Bitcoin ETF. They point to LedgerX, explaining that with a regulated derivatives market having been approved by the CFTC, it’s only a matter of time before the SEC gets on board and allows an ETF to be created. Also earlier this year, SEC had reported that in the event a regulated options market is developed, they may rethink about their position on Bitcoin ETFs.
The exchange traded fund or the approval of an ETF seems to be the holy grail of institutional Bitcoin adoption. Such a fund would actually be required to possess enough fully “backed” Bitcoin and would be easy for institutional and retail investors to use.

What fork?

Probably the most surprising aspect of Bitcoin’s latest price moves is the approaching SegWit2x hard fork. Though 85% of miners are still showing their intention to go through with the fork, recent defections as F2Pool and statements from Bitfinex and Coinbase may made investors believe that the hard fork will not happen.
Industry CEO Bharath Rao commented after being asked about SegWit2x that the debate seems to be between miners and businesses and their opponents — users and developers. He said that whatever chain the miners and businesses ultimately support will probably end up being successful.
However, Rao still believes that forks can be really perceived as a good thing, because when a winner emerges from such a fork, the marketplace will boost the price of the victor.
If this November Bitcoin’s scaling crisis is finally be resolved, the market will likely to continue act favorably.

Polli Bormotova

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