The $900 Breach
Just three days ago I posted “The $800 Breach“. Well, today we have the $900 breach:
The news I’m reading implies that the price rise is due to heavy trading in China as investors flee from the yuan and utilize bitcoin as a convenient “store of value” (as opposed to gold). Expect more capital controls from the Chinese government as they attempt to staunch the flow.
When Bitcoin breached the $800 barrier, I thought a modest price pullback would soon follow. I have the same sentiment in mind now that the $900 threshold has been crossed. But hey, in the wild and wacky world of bitcoin you never know what the hell is gonna happen.
Could we soon see the price of BTC eclipsing the $1136 per-ounce value of gold, or could we see an epic crash looming? With so many governments deep in debt and central banks screwing up their economies, I think the former is more likely than the latter. What do you think?