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Bitcoin Soars Above $1,500 on Higher Optimism Between Investors

May 5, 2017 at 18:43 by Yahia Barakah

Prices of Bitcoin stabilized above $1,500 on Friday following rapid gains since the beginning of the week. The virtual currency soared as its investors became more optimistic about its global integration and circulation in the near future.

Bitcoin prices increased about 25% over the past two weeks, which sent the digital currency more than 300% higher since the beginning of 2016, when a single Bitcoin traded for nearly $450. The recent rapid climb of Bitcoin prices came after investors took more interest in the virtual currency as demand rose following legislation of Bitcoin as a legal payment method in Japan. More than 10 Japanese firms plan to launch exchanges for Bitcoin after its legislation to accommodate for the rising demand, according to a report published on Tuesday.

Meanwhile, regulators in Russia and India hinted that efforts are being made that aim at possibly legalizing Bitcoin and other virtual currencies, which added to confidence in Bitcoin’s international adoption.

Prices of Bitcoin were stirred last week after the US Securities and Exchange Commission announced that it plans to revise a decision that was made on March 10, which rejected a proposal for a Bitcoin exchange traded fund. The exchange traded fund, which was proposed by Cameron and Tyler Winklevoss, would allow US investors and firms to have an easy and direct mean of investing in bitcoin.

The revision of the SEC decision follows a notice of petition that was filed by Bats Global Markets, the operator of the Bats BZX Exchange, which would list the Bitcoin Exchange traded fund if approved.

However, a revision does not guarantee a shift in the stance of the US Securities and Exchange Commission, most notably since its reasoning for the rejection of the proposal remain unchanged. The commission stated that its rejection is based on concerns about Bitcoin’s money laundering risks and lack of regulation.

BTC/USD traded at 1,532.4 as of 18:35 GMT on Friday on the Bitstamp Exchange from 1,613.9 at 18:30 GMT on Thursday, the pair’s highest level in history. BTC/USD began trading today at 1,542.3, while it was at 1,353.9 when the week started.

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