The price of bitcoin surged by 10 per cent in less than an hour on Tuesday, pushing the cryptocurrency's value above $7,000 for the first time since early June. It is the second time this week that bitcoin has shot up in price, helping its value go up by around $1,200 over the last six days. Other major cryptocurrencies received a boost off the back of bitcoin's resurgence, with ethereum ripple and bitcoin cash all rising by between 5 and 8 per cent over the last 24 hours. But the most significant gains were experienced by stellar and cardano, which rose by 22 per cent and 16 per cent respectively. Bitcoin's volatile history in pictures Show all 10 1 /10 Bitcoin's volatile history in pictures Bitcoin's volatile history in pictures Satoshi Nakamoto creates the first bitcoin block in 2009 On 3 January, 2009, the genesis block of bitcoin appeared. It came less than a year after the pseudonymous creator Satoshi Nakamoto detailed the cryptocurrency in a paper titled 'Bitcoin: A peer-to-Peer Electronic Cash System' Reuters Bitcoin's volatile history in pictures Bitcoin is used as a currency for the first time On 22 May, 2010, the first ever real-world bitcoin transaction took place. Lazlo Hanyecz bought two pizzas for 10,000 bitcoins – the equivalent of $90 million at today's prices Lazlo Hanyecz Bitcoin's volatile history in pictures Silk Road opens for business Bitcoin soon gained notoriety for its use on the dark web. The Silk Road marketplace, established in 2011, was the first of hundreds of sites to offer illegal drugs and services in exchange for bitcoin Screenshot Bitcoin's volatile history in pictures The first bitcoin ATM appears On 29 October, 2013, the first ever bitcoin ATM was installed in a coffee shop in Vancouver, Canada. The machine allowed people to exchange bitcoins for cash Reuters Bitcoin's volatile history in pictures The fall of MtGox The world's biggest bitcoin exchange, MtGox, filed for bankruptcy in February 2014 after losing almost 750,000 of its customers bitcoins. At the time, this was around 7 per cent of all bitcoins and the market inevitably crashed Getty Images Bitcoin's volatile history in pictures Would the real Satoshi Nakamoto please stand up In 2015, Australian police raided the home of Craig Wright after the entrepreneur claimed he was Satoshi Nakamoto. He later rescinded the claim Getty Images Bitcoin's volatile history in pictures Bitcoin's big split On 1 August, 2017, an unresolvable dispute within the bitcoin community saw the network split. The fork of bitcoin's underlying blockchain technology spawned a new cryptocurrency: Bitcoin cash Reuters Bitcoin's volatile history in pictures Bitcoin's price sky rockets Towards the end of 2017, the price of bitcoin surged to almost $20,000. This represented a 1,300 per cent increase from its price at the start of the year Reuters Bitcoin's volatile history in pictures What goes up... Bitcoin price crashes spectacularly, losing half of its value in a matter of days Getty Images Bitcoin's volatile history in pictures Bitcoin plunges The cryptocurrency eventually bottoms out below $4,000 in 2019 before slowly rebuilding momentum to outperform more traditional assets Getty Images The latest price still remains a long way off bitcoin's all-time high, which reached close to $20,000 in December 2017. It is also still some distance from the $10,000 it was trading at in May, however the sudden spike still represents bitcoin's best day in around three months. Positive and negative news in the cryptocurrency space can often be attributed when explaining bitcoin's market movements and earlier this week a 4 per cent gain followed news that investment firm BlackRock is looking to move into the cryptocurrency space. "After a few weeks in the doldrums, news like this goes a long way in lending legitimacy to crypto as an asset class, which is powerful over the long-term," Matthew Newton, a market analyst at the investment platform eToro, said in an email to The Independent. Mr Newton added that negative news can often be more influential on the market than positive news. “Investors would be wise to remain cautious, as we saw a similar situation in April where some big short positions were squeezed causing the price to surge. That said, if bitcoin pushes past $8k, it’ll indicate that the bull is back and prices could continue to climb further,” he said. BlackRock is not the first well established firms in the financial sector to express an interest in cryptocurrency, with Goldman Sachs launching a bitcoin trading operation and backing fintech startup Circle. Circle revealed in May that it plans to launch a digital version of the US dollar, which would offer many of the benefits of cryptocurrency while also overcoming the price volatility issue. “The invention of cryptographic assets and blockchain-based computing have ushered in the next major era of the open internet,” Circle explained in a blogpost announcing the new cryptocurrency. “But a price-stable medium of exchange and store of value is missing, and badly needed in order for global financial interoperability to function reliable and consistently.” The latest bitcoin price rise follows positive news in the cryptocurrency space (Getty Images) Cryptocurrency analysts expect more giants from the traditional financial sector to explore the nascent market, with some experts suggesting fiat currencies could eventually merge with cryptocurrencies. “There is no doubt BlackRock is looking at the options when it comes to cryptocurrenciess. This is logical given that many in the City, including asset managers, are already exploring ways to enter the market," Romal Almazo, cryptocurrency lead at consultancy firm Capco, told The Independent. "If you believe that fiat currency will eventually merge with cryptocurrencies as many do, then it’s only a matter of time before this trickle becomes a flood. We need to remember that cryptocurrencies and blockchain are a 10 to 20 year project and this will all take time. This is all part of a natural evolutionary process which has been repeated many times in history – when it comes to technology.”<doc-sep>Bitcoin: Cryptocurrency climbs in value slightly after huge losses FREE now SUBSCRIBE Invalid email Make the most of your money by signing up to our newsletter fornow When you subscribe we will use the information you provide to send you these newsletters. Sometimes they'll include recommendations for other related newsletters or services we offer. Our Privacy Notice explains more about how we use your data, and your rights. You can unsubscribe at any time. The number one cryptocurrency rose from $6,367 at 10.08am BST to $6,646 at 12.34pm BST, according to CoinDesk. What is behind the price rise? Bitcoin’s largest surge in two weeks was caused by the announcement that BlackRock, the world’s biggest asset management company, is looking to invest in the digital currency. Financial News said BlackRock has instigated a working group to focus on the ways it might take advantage of cryptocurrencies and whether it should invest in bitcoin futures. Two unnamed sources said a team had been assembled from different areas of the company to examine the infrastructure of cryptocurrencies and how blockchain technology works. Part of their investigations would be to keep an eye on what BlackRock’s competitors are doing with cryptocurrencies. CNBC said it had learned the working group was now new but has been in operation since 2015. A spokesman from BlackRock told the Express.co.uk today: “Like most financial institutions, BlackRock has a working group that meets periodically to exchange information on blockchain and consists of employees from various parts of the business. Cryptocurrency price: A year in charts Mon, March 12, 2018 Compare crypto currencies (Ripple, Bitcoin, Ethereum, LiteCoin) on value, market cap and supply for the past year Play slideshow coindesk.com 1 of 10 LiteCoin is going down with the market dip "We have been looking at blockchain technology for several years, recognising potential for shared processes and data across market participants, clearing, settlement and reconciliation and simplified securities issuance.” Other digital currencies, including ethereum and ripple, also received boosts off the announcement. Ethereum jumped by more than 5 percent, while ripple was up by over 4 percent. What has BlackRock said in the past about bitcoin? The move marks a massive u-turn for Blackrock, which like several other City firms has previously issued warnings about cryptocurrencies. Bitcoin price rise: Blackrock CEO Larry Fink called bitcoin 'speculative' in 2017 BlackRock Chief Executive Larry Fink, said late last year bitcoin was “speculative” and said none of his business clients would invest in it. Speaking at the time, he said: “It is an instrument people use for money laundering.” The huge change in rhetoric has not gone unnoticed by industry watchers. Blockchain advocate @TheCryptoLab tweeted: “This is absolutely huge, Black Rock is a $6.3 TRILLION investment powerhouse. 25x bigger than crypto itself. First JP Morgan, then Goldman Sachs and now Black Rock. Bullish! Bitcoin price rise: Why is BTC rising today? Is the beginning of a bull market run for crypto? Bitcoin price rise: The cryptocurrency climbed by 4 percent today<doc-sep>Bitcoin and blockchain are the Rorschach tests of high tech and finance. They are seen as either an overhyped, speculative digital tulip craze — or the biggest revolution since the dawn of the information age. At press time, bitcoin is in an extended dip, while more than 800 alternative cryptocurrencies have reportedly "died" during 2018, alone. Fresh bitcoin obituaries are published almost daily, just like the hundreds more written across previous market cycles. In stubborn defiance of skeptics, digital currencies and blockchain only come back stronger. This time is no exception. Writing as the founder of the world’s first-ever bitcoin trading floor, let me tell you: while this roller coaster isn’t for the faint-hearted, it isn’t as bad as they say. ADVERTISEMENT First, the rate of failure for ICOs in 2017 was 46 percent. For tech startups overall, the failure rate is over 90 percent in three years. The good news is that thanks to ICOs, great projects get revenue and capital and don't have to give up control, or an unhealthy cut of the proceeds, to intermediaries, hedge funds or venture capitalists. Most entrenched legacy interests have built businesses as the gatekeepers to capital. ICOs circumvent them. The price of cryptocurrencies is irrelevant at this point. People must focus on building long-term value through technology. Institutions, governments, and corporations, now, see this very clearly, and more climb onboard every day. The fair-weather speculators who came in late, and left early, never did and will not define how far blockchain will go. Those who got in early have zero regrets: each dip is from a previous, historic high. If you hold a six year — instead of six month — view, you see the astonishing progress of the leading cryptocurrencies, related assets, and of blockchain innovation. Bitcoin has some bad days — as all assets do — but blockchain is not looking back. As influencers and institutions realize the value of an immutable public ledger to store information, track transactions and understand that bitcoin is mathematically capped at 21 million bitcoins, people will rush to own and hold bitcoin. You already see this phenomenon in Venezuela and Iran, where people are desperate for alternatives to their failing legacy institutions and paper currencies. Governments fear bitcoin restoring the people’s monetary independence, and simultaneously, the erosion of their totalitarian control. Nations with legacy financial systems will try to regulate bitcoin and cryptocurrency. They will fail. The reality is that you cannot regulate math. Big countries will only frustrate and drive their innovators to flee to friendly, smaller countries which will soon become the meccas of finance. It’s already happening; most early leaps in blockchain adoption are happening in small countries and emerging economies, because they don't have legacy institutions fearful of losing power. For the 3.5 billion unbanked people in the world, ignored by legacy banking institutions, they can now be connected through existing cell networks. With mobile phones, anyone can have a crypto wallet, remote blockchain voting, trade bonds and receive direct refugee aid — without intermediaries seeking their cut. Every service operating on blockchain and using tokens will be accessible in the furthest corners of the globe. These features make bitcoin a viable candidate for becoming a world currency, as Twitter and Square CEO Jack Dorsey proclaimed. This is the future. Now, the question turns to what regulators should or shouldn't do. Lawmakers at the federal and state levels could help by turning their focus to a few key areas. The Securities and Exchange Commission’s recent indication that bitcoin is not a security is a solid first step in helping bitcoin gain acceptance as a practical means for routine transactions, and not only as a store of value. Proposed legislation for a tax reporting exemption on crypto transactions below a certain dollar amount is a good way to allow people to try payment alternatives, like bitcoin, without fear of being strangled by red tape. Next, lawmakers need to recognize how the tax code is actively penalizing Americans who join the market for alternative currencies and ICOs. Currently, when one wishes to buy or sell an alternative token, they must do so first using bitcoin or Ethereum as the currency of entry. Meaning they have to buy and sell one of those tokens to then pay for the alternative token they want. This creates a double taxation event — an effective sales tax equal to the short-term capital gains rate — when buying and selling alternative tokens. No other asset class faces this penalty. This redundancy has a severe adverse impact on digital assets, adding a cost and compliance burden that deters many from reporting or even engaging in the cryptocurrency arena. The best way for investors to avoid problems, is to stick to the roots of what makes blockchain, which should be reflected in the type of project and how it is run. With blockchain, we don’t need third parties to intermediate our trust because that trust exists through mathematics and cryptography where before it was through banks and governments. The bottom line is that governments need to be in the picture just enough to reassure investors, while not so much as to crowd out innovators. The decentralized high tech economy is highly mobile and responsive to adverse change; if America stifles this revolution, then it will and is surely taking place in more favorable regulatory climates. In many industries the service providers compete for consumers' business. Here, regulators and jurisdictions will be competing for our business. The blockchain revolution has gone from the dark web markets to Wall Street in less than half a decade. While there will be ups and downs and risk for early adopters, it’s a path of innovation that will bring all of mankind forward. Nick Spanos is an early pioneer of blockchain technology, and the founder and inventor of VoteWatcher, the patented first-ever blockchain voting platform.<doc-sep>
Bitcoin prices continued their summer rally on Tuesday, topping a price of $8,000 per coin for the first time since last May. As of early afternoon, bitcoin was trading at about $8,100 per coin, according to CoinMarketCap, roughly a six percent gain over the last 24 hours. That’s naturally got enthusiasts wondering whether the high flying days of bitcoin fomo are back. At least for now, we’re still a long way from where we were at the end of last year, when bitcoin prices climbed so quickly that the term “buy bitcoin with a credit card” began trending on Google, according to a CNBC report from the time. Despite the warning sign that people were buying irrationally — putting investments on the credit card pushes well past risky into reckless — bitcoin prices continued to climb As can be the case with cryptocurrencies and tokens, what’s been good for bitcoin in recent months has been good for the market as a whole, with prices rising for all of the seven largest cryptocurrencies in terms of market capitalization. Whatever has been driving the bitcoin price surge has also been helping the ecosystem as a whole? What’s Driving the Bitcoin Price Jump? A few developments this summer have the bitcoin bulls feeling confident. Somewhat ironically, a lot of them have to do with bitcoin and crypto’s increasing acceptance on the part of the financial establishment it hopes to one day displace. Take the example of Blackrock, the world’s largest asset manager, which recently announced it had formed a working group to look into blockchain and crypto-enabled investments. CEO Larry Fink told Reuters he still sees limited demand from investors, but the news of Blackrock’s working group still helped send bitcoin prices up more than 4 percent in the report’s aftermath. But the more interesting development has to do with the Securities and Exchange Commission, Wall Street’s top regulator which has been dancing around the issue of how to regulate cryptocurrencies and tokens since the mania last year. In January, the agency seemed to shut the door on approving the creation of exchange traded funds made up of different cryptocurrencies and other alternative investments. Cryptocurrency ETFs would go a long way toward making the assets more accessible to everyday investors because they’d theoretically let you invest in the whole ecosystem at a reasonable price point (similar to how investors can now buy shares and fractional shares in all 500 stocks in the S&P 500 for about $250 using one of Vanguard’s ETFs.) Giving investors access to diversification would be an important breakthrough on the path to mainstream acceptance, because most people don’t have tons of extra money to throw around on “investments” that might end up worthless in the long run. That said, though five of these ETFs are currently awaiting SEC approval, the decision about their approval was just just postponed to September, according to CoinDesk.