On the afternoon of the 14th, the price of virtual currency is displayed at the Bithumb Gangnam Center in Seoul. On this day, the price of bitcoin on the domestic exchange once exceeded 71 million won per piece. yunhap news
For the first time, the bitcoin value exceeded the 71 million won line. It has been three days since the US$1.9 trillion (about 2140 trillion won) economic stimulus bill passed the Senate and passed the previous record high of 68 million won on the 12th. Due to the impact of the price soaring, the amount of domestic cryptocurrency transactions on this day exceeded the daily average transaction amount of the KOSDAQ and approached the level close to the daily average transaction amount of the KOSPI.
According to the domestic cryptocurrency exchange Upbit, as of 1:40 p.m. on the 14th, bitcoins are trading at around 70,994,000 won per piece. Bitcoin broke the 70 million won line for the first time at 5:24 am on the day, and then crossed the 71 million won line at 8:45 am for the first time.
As the price of domestic bitcoin surged, the total amount of cryptocurrency transactions at one time exceeded the amount of transactions in the domestic stock market. According to CoinMarketCap, an American cryptocurrency market relay site, as of noon on this day, the total transaction volume of the four major domestic cryptocurrency exchanges (Upbit, Bithumb, Coinone, Kobit) for the past 24 hours recorded a total of 14,660,5 billion won. It surpassed KOSDAQ’s average daily transaction amount (11,4126 billion won) in March, and is less than 2 trillion won of KOSPI’s daily average transaction amount (16,459 billion won).
The reason that the price of bitcoin continues to hit an all-time high in Korea is interpreted as the impact of the sharp rise in the price of bitcoin traded in the United States. According to CoinMarketCap, the price of each bitcoin in the U.S. at 8:49 pm on the 13th (local time) exceeded 60,000 dollars (about 68 million won) for the first time. It is a record for a week after surpassing $50,000 on the 6th (local time).
The reason why the sharp rise in bitcoin prices has been fueled is due to the financial market’s optimism following a large-scale stimulus package. As the liquidity of the market has increased, it can be interpreted that the sentiment to invest in cryptocurrencies such as bitcoin has revived.
In an interview with Bloomberg, Senior Market Analyst Ed Moya Oanda Group said, “Bitcoin price is 60,000 due to the US stimulus package, continued remarks of cryptocurrency support by Elon Musk Tesla’s CEO, and liquidity arising over the weekend. It is beyond the dollar,” he analyzed.
The addition of the hedging (hedge) sentiment of investors who are concerned about other inflation to the overflowing liquidity is also a factor that raises the bitcoin price. Traditionally, gold has been preferred to avoid inflation concerns, but cryptocurrencies such as bitcoin are emerging as an asset to replace gold.
“Because there are a limited number of cryptocurrencies, Bitcoin is gold (as a hedging tool),” said Stephen Eirrich, CEO of US cryptocurrency brokerage Voyager Digital, in an interview with CNN. It can be substituted for,” he said.
Reporter Yoon Sang-eon [email protected]
