Bitcoin towered an all-time high above $1,400 on Tuesday which is technically more than triple of its value over the past year. This comes alongside the recent rise in demand for the service in Japan, where the digital currency has been considered a legitimate means of payment. Bitcoin rose around 3% on Tuesday on the Europe-based Bitstamp exchange, where the currency of trading is mostly dominated by the dollar. It is to hit $1,437, its highest since its launch in 2008. That marked a more than 200% increase from its price in early May last year.
According to Cryptocompare, a data website that analyses bitcoin trading across dozens of global exchanges said around 50% of trading mass over the past 24 hours had been on the bitcoin/Japanese yen exchange rate.
“The Japanese have recently warmed their approach towards bitcoin by treating it legally as a form of payment – a ratification and bringing into the regulatory fold,” said Charles Hayter, founder of the website. “China’s clampdown on exchanges can also be seen as a positive move for the industry too,” he added.
Notably, the Chinese authorities have increased inspection of trades this year and have forced them to start charging trading fees over concerns about bitcoin gambling and its potential use in money-laundering.
Bitcoins’ current “market cap” is close to $25 billion.