image credit – moneyweek.com
Bitcoin, the famous cryptocurrency which started off the year on a high note with a valuation of over US$1,000 across multiple exchanges had a very turbulent week after its grand entry in 2017.
Over a 7 day period, it fell from its US$1,020-plus perch, dropping by as much as $200 on the 5th of January and fluctuating between the $850 and $900 range.
Depending on which Bitcoin exchange you are using, it’s currently worth between $885 (that’s Coindesk’s latest rate for it) and $924 (that’s the value you’ll get for it on Bitcoinfundi, a Zimbabwean Bitcoin exchange).
The highs and lows of Bitcoin in the past few months have been tied to its increased uptake in China as some entities there have embraced it as an alternative for moving money out of the country.
According to Bloomberg the latest slip in value is related to this with Chinese bank’s regulations on its use set for review with increased restrictions.
In markets like Zimbabwe, there has been no regulation set up for Bitcoin and cryptocurrency with the central bank only going as far as to advise users of the currency to tread with caution.
The latest yo-yo effect on its pricing could highlight the need for some sort of framework on it, especially since the cryptocurrency is already being used by an increasingly e-finance literate population (smartened by the cash crisis) for services like remittances and imports like cars.