Everyone, It’s Bitcoin-Madness today!! This news comes on the very same day that the U.S. Government have began discussions about the Bitcoin as we see the value of the digital currency skyrocket.
The value of the Bitcoin hit $900 at around 23:45 GMT Monday which makes its value up more than 70% from Sunday’s close, however in the very next 30 minutes the Bitcoins volatility is shown as it drops its value by $250 in just under 30 minutes. This is very important as the value of the Bitcoin only just hit $400 for the first time a week ago and $500 for the first time yesterday.
The spike in todays graph is most likely due to the fact that the department of justice have noted that Bitcoins can be “a legal means of exchange” and US Federal reserve chairman has stated that the Bitcoin could hold long term promise even after the Federal Reserve has no plans to regulate the Bitcoin.
For those of you who aren’t familiar with the Bitcoin, it is a virtual currency that has recently been gaining popularity in the light of the FBI shutting down Silk Road (on online marketplace for illegal drugs and illicit services). Bitcoins only exist online and can be transferred immediately and are not controlled by the Federal Reserve.
Up to today, it is very unclear as to how or more importantly if governments are trying to regulate the system, however the surge in the value of the bitcoin certainly shows that some people are clearly in favour of the digital currency.
Its current market value is now around $750