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Bitcoin increases above $ 13,000 to reach a record in unceasing demand

TOKYO / NEW YORK (Reuters) – Bitcoin extended its advance on Wednesday, surpassing $ 13,000 to a record level despite questions about the real value of the cryptocurrency and concerns about a dangerous bubble.

Bitcoin received a boost after Friday's announcement by the top US derivatives regulator. UU That it would allow CME Group Inc and CBOE Global Markets to quote bitcoin futures.

The move opens the door to additional regulation, but also to greater adoption of the mainstream, as bitcoin futures and other derivatives would facilitate trade in the new asset class.

"Simply the perception in homes around the world that the CME and the CBOE give bitcoin legitimacy is what is driving the huge concentration here," said Karl Schamotta, director of global market and product strategy. Cambridge Global Payments in Toronto.

The rise of Bitcoin more than 10 times from less than $ 1,000 at the beginning of the year has attracted regulatory scrutiny around the world.

Some high-profile individuals such as Nobel Prize-winning economist Joseph Stiglitz have said that cryptocurrency should be prohibited.

PHOTO OF THE FILE: A copy of the bitcoin on the PC motherboard is shown in this illustration, October 26, 2017. REUTERS / Dado Ruvic / File photo

"It took me a long time to establish the methodology and the way bitcoin was exchanged The original appeal came from the fact that they were not regulated, however, it moved clearly from those shadows to center stage, "said Mick McCarthy, chief market strategist at CMC Markets in Sydney.

"We are in the throes of a bubble market, and one of the characteristics of a bubble market is that there is no way to know when the bubble will burst."

The current craze for bitcoin and cryptocurrencies in general, have been compared by some with the hobby of the Dutch tulip of the seventeenth century and more recently with the bubble of the dotcom.

"If you look at this kind of pattern, it has been repeated many, many times, the only way it ends is when the feeling changes and that is something deeply unpredictable," said Schamotta of Global Payments of Cambridge.

Bitcoin rose 12.42 percent to $ 13,127.01 on the Luxembourg-based Bitstamp exchange BTC = BTSP after climbing to a record high of $ 13,127.01.

"There is a lot of money flowing into Bitcoin right now, mainly motivated by the" fear of getting lost "and greed," said Leonhard Weese, president of the Bitcoin Association of Hong Kong.

Shinichi Saoshiro's report; Additional report by Michelle Chen in Hong Kong; Edition of Sam Holmes, Shri Navaratnam and Susan Thomas

Our standards: The principles of trust of Thomson Reuters.

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