After a tumultuous Thursday that saw bitcoin price drop below $550, the cryptocurrency is making gains in trading again, scaling beyond $675.
Bitcoin price has experienced volatility lately with observers pointing to a multitude of factors including increased buying interest from China supporting the price swell and the temporary outages suffered by digital currency exchange BitFinex seemingly contributing to the recent plunge.
At the time of publishing, bitcoin price is surging again and the most relevant factor would point to speculation throughout the period of a ‘Brexit’ vote which will see the United Kingdom leave the European Union.
The latest bitcoin rally began at 16:00 on Thursday in the hours leading up to the voting deadline. At the time, bitcoin price traded at $564.23. Nearly three hours later 18:40, bitcoin was trading to the USD on the Bitstamp Price Index (BPI) at $628.91. Price plateaued as polls closed at 22:00. The rally resumed as Friday began with the BPI marking $623.03
Indeed, the final count at the time of publishing shows a majority 51.9% vote for the ‘Leave campaign’, garnering over 17.4 million votes.
The fallout has proven to be significant for markets and currencies globally. The pound dramatically plunged to a 30-year low, falling over 10% to $1.33 to the dollar. Against the euro, the pound dropped 7%, to €1.2085 per pound.
The global markets are also seeing the effects of the vote.
Brexit hits Japan. The Nikkei tumbles more than 8% in early trading. 🇯🇵 pic.twitter.com/5cJwRrIKGr
— Matt Phillips (@MatthewPhillips) June 24, 2016
Japan has halted trading on the pound and UK stocks. The financial meltdown underway is unparalleled.
— Dr Paul Monaghan (@_PaulMonaghan) June 24, 2016
The Japanese yen, meanwhile, soared as investors took to the country’s national currency as a safe haven, climbing toward 150 per pound, its highest in over two years.
Similarly, the turmoil in a macroeconomic sense is also seeing bitcoin benefiting, as it did when economic and geopolitical uncertainty consumed Greece last year, sending the exchange value of the cryptocurrency soaring.
For a live Bitcoin Price chart, click here.
All time references are in Coordinated Universal Time (UTC).
Featured image from Shutterstock.