The current rise in bitcoin’s price is more stable than
its previous price changes, according to Martin Tillier,
a financial advisor writing in Nasdaq , a provider of
exchange technology, trading, information and public
company services across six continents. Tillier says
bitcoin’s previous price hikes were mysterious, but the
current one is due to the devaluation of China’s
currency.
Because this is a logical reason for the price surge, the
market is acting with a forward discounting mechanism
and some degree of appreciation is now built into the
price. In addition, the interest from traders combined
with the ability to short the currency allows the market
to check upward spikes naturally, simply by attracting
sellers.