AtlantisFX | The cryptocurrency Bitcoin continued on Tuesday the high flight of the past trading days. At times, the price rose by around five percent to as much as $ 12,821. Market observers referred, among other things, to reports of the planned creation of a financial services firm specializing in cryptocurrency trading.
As news agency Bloomberg reports, one of the founders of Bitmain Technologies, Jihan Whu, wants to launch the new financial services provider. In the industry, he is considered a billionaire investor. Bitmain Technologies was founded in 2013, headquartered in Beijing, and is involved in mining bitcoins.
The crypto-currency Bitcoin is generated in complex mathematical procedures on the computer. Your possible amount is limited. The more bitcoins are created on the computer, the more complex the "scratching" process becomes. This requires large amounts of computer capacity and devours enormous amounts of electricity.
On the market, as a reason for the recent high-altitude flight of Bitcoin but also referred to the so-called "Halving". This means having the amount of Bitcoin that can still be generated in a given period of time. This supply shortage is specifically designed in the software and should counteract a depreciation of the cryptocurrency.
Since the beginning of the year, the value of Bitcoin has roughly tripled. However, the price is still well below the record high reached at the end of 2017 at just under $ 20,000.