Despite worries from some quarters that Bitcoin’s 2017 rally could be losing steam, the world’s most famous cryptocurrency soared past the $1400 price level on Monday, reaching a new record high. Coindesk reported a high of just over $1,422. Early Tuesday morning, the coin was trading at well beyond even that level, at $1,448.
According to CNBC, Coindesk analyst Alex Sunnarborg has attributed the price movement to increased trading volume around the world. Much of that volume has reportedly been coming from Japan, where there has been increased interest in Bitcoin in the wake of the government’s formal recognition of digital currency.
Bitcoin has not been alone in breaking price records in recent days. Ethereum also reported record highs, surpassing the $80 mark for the first time. Other currencies have seen marked increases in price as well. As Sunnarborg notes, most of those digital currencies are paired with Bitcoin, so anyone who wants to buy or sell them typically has to obtain Bitcoin to do so. That impacts trading volume as well.
Though some observers have pointed to the SEC’s recent decision to review its denial of the Winklevoss ETF as the reason for Bitcoin’s ongoing surge in price, other factors may be playing an even larger role. In addition to increased interest from Japanese traders, institutional investor activity and a growing consensus for a potential Bitcoin Core upgrade seem to be having an impact as well.