It is official, Bitcoin is now at the all-time high against two major European currencies, Euro and Pound Sterling. This breakthrough was mainly caused by the thriving acceptance and interest in cryptocurrency, as reported by The Telegraph. Beside, Brexit impasse and weaknesss of the Eurozone impaired Euro and Pound value. The further dilution into 2017 could boost more European propensity for bitcoin.
Monti dei Paschi, the oldest surviving bank in the world, being in the middle of a meltdown. The government proposed to raise the public debt to secure a €20 billion bailout. The Italian government pressed through with this, and it became apparent investors in the bank’s debt could face a haircut. Moreover, prioritizing Monte dei Paschi means that smaller Italian banks face the will of the market. Evidently, the Eurozone debt crisis still lingers, no longer confined to just Greece, and using public debt to finance another bank bailout is one factor that has seen sentiment toward bitcoin sweeten.
Bitcoin prices look set for further appreciation against Euro on the heaviest weekly volume in 1 year. But the possibility of profit selling activities could emerged if the BTC/EUR raised further near or above to €880. But the real buying interest could sustain and push the BTC price to over €1000 or even €1500. Currently, buyers is rushes to gobble the premier digital currency.
In the UK, the Bitcoin price peaked just before the Brexit memorandum, with voters opting to sever ties with the European Union. The economic overtones are massive. However, the unprepared government has made the situation even worse, with Europe in firmer stance in negotiations in a fling to brew the UK renege on the ill-fated vote. Yet the legislation is needed to formally leave the EU, Article 50, has yet to be triggered, meaning there is likely to be more troubles for GBP in 2017.
As a result, the Pound sterling is increasing weaker against the greenback. The higher cost of converting to US dollar has made Bitcoin is more attractive as the alternative to store their wealth. BTC-GBP is looking to breach above the £800 mark and is on the way at the psychological £1000 level. The current BTC super bull run could further extend BTC/GBP for more gains.
Bitcoin is already the best performing currency or investment for the year. And it prospects remain robust. It already on the verge to get pass 1,000 mark against USD. And it could soon eyeing to surpasses the gold price in USD term.