Bitcoin which is the most popular and valued cryptocurrency had an amazing run in the month of May. Its value soared more than 60% hitting a high of $9,084 on 30th May, which is up from $5,200 a month ago. Though it still can’t compare to the year-end of 2017, when it reached an all-time high of $20,000.
The ongoing trade war between the U.S. and China is one of the main reasons for Bitcoin to soar. The two economies are threatening each other with tariffs on goods, which is having an effect on the cryptocurrency market. The Chinese Yuan value has clearly dropped down compared to the U.S. dollar, which is making the investors and the Chinese people wary. They are investing their money in digital assets and most notably Bitcoin as it seems a much better option for the time being, driving the price of Bitcoin.
When Bitcoin was introduced, many were expecting it to become a digital currency for payments and it did, but the majority of the people were using Bitcoin as digital gold, a safe form of investment. This trend has been observed repeatedly around the world. Ever since the soaring of Bitcoin value, many investors in Asia have once again started to show their interest in Bitcoin.
Altcoins such as Binance coin, Bitcoin Cash, Ethereum also did well for the month of May. Though the month of May was pretty good for Bitcoin, it can’t be said for the upcoming month. On the first week of June, there have been signs showing Bitcoin may fall below the $8000 mark, and it seems pretty plausible. If the value of Bitcoin falls below $8000, the market will shed a lot of money, and investors will also lose a lot of it. Bitcoin which was around $8,900 in the month of May has tumbled down to $8000, and people are worried about it. The market is unpredictable and I am sure you will agree with me on this. But it’s all part of the game called trading, risks are always associated with it. Bitcoin is a long way from its peak value of $20,000 and it will certainly take some time to reach it. Many people are optimistic about it while others are not, the month of May was good for Bitcoin, as for the times ahead you’ll have to see.