Bitcoin (Bitcoin: BTC.EXANTE) marches on markets setting new records one after another, but it’s not getting any less risky, warned Bloomberg columnist covering finance and markets Lionel Laurent.
True, the track-record of this crypto-currency is really fascinating: it has just hit a new high of more than $3,300, after having jumped 50% up in one month, 200% in six months and 30,000% in five years.
At the same time Bitcoin is becoming more volatile. According to Bloomberg data, its 30-day volatility index is at its highest since early 2015.
This is a clear manifestation of aggressive speculative games being played by Bitcoin traders.
One trader — "Spoofy" — has got into spotlight recently, when a blogger reported that he apparently place million-dollar orders for Bitcoin and did not actually execute them.
Although many investors and traders are willing to bet that Bitcoin will keep on rising, this crypto-currency remains essentially unregulated. That’s why risks also remain very high, Lionel Laurent supposes.