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Bitcoin Rockets Above $900 on Positive Senate Hearings Remarks

November 19, 2013 at 0:54 by BitcoinNews

Bitcoin prices appear to have risen at least 60% in just the past three trading days. Wow! That reaction amply sums it up for the time being, as it’s not entirely clear what has driven the frenzy in the past week. In the time it has taken to formulate this blog post, Mt. Gox has hit a new high of 836.90.

chart

For example, Bitcoin was featured in the #2 top article today on Google Finance, in a CNBC headline titled “Bitcoin hits $750; Up 107% in a week”, and up 42% since Sunday’s closing price. However, these figures are no doubt based on the Mt. Gox prices, which were today as much as $100 above those of Bitstamp, which in turn is higher than BTC-e. CampBX hadn’t even hit $600 today.

The coverage of the Senate hearing today is given as the main reason for the jubilant reaction in the bitcoin markets. Timothy B. Lee on the WaPo Switch blog said “This Senate hearing is a bitcoin lovefest.” He notes in particular the comments of Jennifer Calvery, director of the Financial Crimes Enforcement Network, who agreed with the positive sentiments of others.

Additionally, she echoed a notion which has long been obvious to the bitcoin community, which is that “cash is still king” when it comes to money laundering. Digital currencies are not at all ideal for the illicit activities that have been alleged and promulgated in knee-jerk headlines. Calvery, sporting a hip short haircut, further remarked:

“Innovation is a very important part of our economy. It’s something for us to be proud of.”

In just the past 7 days going on Bitstamp prices, bitcoin has risen from a low of $340 to $660. That’s most likely a profit, any way you slice it, except perhaps for all the new money coming in today. On today’s big buys, the jury will be out for awhile longer.

Perhaps one day soon though, Google Finance would put Bitcoin on that Finance chart with the Dow and S&P500, which was only down 6.65 points today, only a hundredth shy of devilish. Nonetheless, literally at the moment I am typing this, even Bitstamp is hitting a new all-time high of $725, according to Bitcoinity.org, though several r/bitcoin redditors have already made light of $666.66 on the Mt. Gox exchange.

Bitcoin mania- it’s on the web, and now it’s on my local news this morning, if only a one minute segment wondering whether this newfangled Internet money ought to draw some attention from regulators. News flash- it already has.

If you’ve been a follower of Bitcoin, even just for the past year like myself, it seems to be popping up everywhere suddenly, but in reality for most it’s still barely a blip on their radar. Nonetheless, rising prices have presaged and beckoned new business development, and the Bitcoin ecosystem has much further to go with the venture capital investments that took hold in the bubble of this April are now being put to work.  Does the price have further to go from the exuberant highs today? Only time will tell.

 

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