Bitcoin did NOT Soar, Litecoin Did!

A price increase in bitcoin was expected after the Greek crisis. HOWEVER.

  • Greek economy is not that big and modern bitcoin market is nowadays driven primarily by China.
    • There seem to be some permanent price difference on exchanges: like Chinese people are buying bitcoins against Chinese Yuan paying some 6% more, see here,  and getting out US dollars and getting less than the market price. This could be permanent and it is maybe one of the primary usages of bitcoin today: to dodge government restrictions on free movement of money.  This is primarily getting cash out of China, not out of troubled Greece which again is not that large.
    • This is also clearly related to the collapse of the stock market in China. A new bubble must be created elsewhere in order to milk stupid investors
  • Also bitcoin have had some bad press recently and was shaken by some forks in early June due to mandating some good rules on DER formatting of digital signatures.

So it is the Litecoin price which has increased like 6 times, with a peak on 9 July.

After this sudden spike, it has not collapsed. It seems to have stabilized at 3x the price of May 2015.

LTC_price_May_July2015

 

 

 

 

 

 

This is a very similar pattern to what happened with Ripple since Nov 2014.

 

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