Bitcoin @ USD 1,000
As 2017 kicked off, and with the bulk of other financial markets closed, Bitcoin took the stage, hitting a fresh milestone atop USD 1,000.
A single Bitcoin was trading at USD 1,025 Monday morning (2nd Jan. 2017), according to pricing data from Coin Market Cap. Other big exchanges such as Bitfinex, Kraken and Coinbsae showed the cryptocurrency topped USD 1,000 late Sunday (31st Dec. 2016), according to a report from Bitcoin.com.
The cryptocurrency looked set to reach USD 1,000 in the waning days of 2016, after taking out a key level above USD 800 in early December. MarketWatch’s Joseph Adinolfi has noted that analysts have attributed a range of factors to bitcoin's strength, including increased adoption by professional investors and fears of instability surrounding the world’s biggest economies.
Bitcoin's price has been climbing since the U.S. election results, which put upward pressure on the U.S. dollar. Among those who have been scooping up the cryptocurrency are the Chinese, as they seek protection from depreciation of the Chinese yuan, or the renminbi, which has been sliding in the face of a strong dollar.
Volumes on CryptoCompare show the extent of how much trade is being done via the Chinese currency: www.cryptocompare.com/coins/btc/analysis/USD
Under current laws, Chinese citizens can exchange up to USD 50,000 worth of yuan a year, but some are worried that expectations for fresh outflows as the new year begins will force officials to make new moves on capital controls. That annual quota will reset today on Tuesday (3rd January 2017), and some say there could be a rush for individuals to use up that limit upon the reopening of banks after the new year holiday.
original article: www.marketwatch.com/story/bitcoin-hits-milestone