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Bitcoin rally continues after hitting all-time high

A local cryptocurrency exchange displays a price chart of bitcoin. (Yonhap)
A local cryptocurrency exchange displays a price chart of bitcoin. (Yonhap)


Cryptocurrency Bitcoin remained on an upward trend Monday, after crossing the 30 million-won ($27,300) mark for the first time in the South Korean market over the weekend.

Hitting a high of 30.59 million won, the digital coin traded above the level of 30 million won throughout morning trading, according to Upbit, a cryptocurrency exchange run by financial technology firm Dunamu.

The price of one bitcoin came in at an all-time high of 31.8 million won on Sunday. Early this year, the digital currency traded at around 8 million won and dipped to some 5 million won in March, when the coronavirus crisis was at its peak. Since then, bitcoin’s value has quickly risen, exceeding 20 million won again after some two years and 10 months last month.

The value of the coin in dollars also hit a record high of $28,7200 on Sunday and remained in a price range between $25,900 and $28,200 on Monday.

Some experts said the interest of institutional investors in crypto coins is leading the bitcoin rally in recent months. In a recent interview with US news outlet CNBC, Anthony Scaramucci, founder of cryptocurrency fund operator SkyBridge Capital, said the bitcoin rally has just begun and would very likely continue for a long time still.

“For us, I don’t think it’s late. If anything, it’s the first inning. You’re about to see that wave of early adoption by the institutional community. I’d like to get our investors involved before that goes into full throttle,” Scaramucci said. SkyBridge Capital has recently launched a $25 million bitcoin fund.

Some market researchers said, however, individual investors should be aware of risks existing in the extremely volatile cryptocurrency market.

“As the value of bitcoin as a digital asset increases, the coin poses challenges against the traditional currency systems operated by the central banks,” said Hwang Se-woon, a researcher from local think tank Korea Capital Market Institute.

By Kim Young-won (wone0102@heraldcorp.com)
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