Who's keeping up with the bitcoin bull-run?
The past few years have been an interesting ride for bitcoin traders and many have given up the cryptocurrency altogether in search of better yields.
However, those who continued to increase their bitcoin holdings instead of giving up should now be sitting pretty on a nice percentage increase. In fact, prices are up more than 100% since the beginning of the year leading Market Watch to declare bitcoin the best performing commodity of 2016.
The price of bitcoin has rebounded from 2014 lows of around $250USD to reach its highest price of $874.10USD this week. Furthermore, bitcoin's market cap has grown substantially through 2016 to over $14 billion.
You can keep up to date with the price of bitcoin by heading over to Bitcoin Wisdom.
What has been the catalyst for the recent highs?
With fear and uncertainty on the rise in 2017, investors are turning to bitcoin as a safe haven for their capital.
Experts are pointing to widespread global turmoil, an increase in adoption among professional traders, and devaluation of the Chinese Yuan as just some of the reasons for the increase in price and market cap.
Institutional investors are also playing their part as bitcoin becomes better recognized as a solid commodity.
You can check out the Bitcoin Investment Trust or Investopedia's explanation of the Winklevoss Bitcoin Trust for more information on institutional investors and the bitcoin market.
What happens next?
Who knows!
I could see this bull-run continuing into the new year as more people jump into FOMO mode. However, anyone who was riding those parabolic price moves back in 2013-2014 knows bitcoin is a spicy mistress and she can plummet just as quickly as she rises.
If you are considering buying into the bitcoin market now, you should be very aware of the risk.
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