China’s Bitcoin Buying Bingehttp://www.pymnts.com/news/bitcoin-tracker/2016/china-bitcoin-buying-binge/In a buying spree that began on Friday (May 27) and carried on through the four days since, Chinese investors managed to push the price of bitcoin up by 16 percent. As of the time this story was written, the price of an individual bitcoin was pushing $550.
All in, bitcoin has added $1.2 billion to its market cap, according to data from blockchain.info. Bitcoin is still trading well below its high point of a little over $1,100.
The bitcoin burst comes as Chinese investors are looking for new and more productive asset classes. Similar booms have recently been observed in equities, bonds and commodities trading — all with an accompanying deflation once the roving gang of investors moves on to the next big thing. The recent devaluation of the yuan has also motivated some Chinese consumers to seek bitcoin as a hedge against currency devaluation.
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