Prices of Bitcoin Exceed $3950 Due to the Conflict between North Korea and the US
On 25th September 2017, the prices of Bitcoin increased from 3690 dollars to 3950 dollars, recording a 7.11 percent surge on that day. Analysts came into a conclusion saying that the reason for the hike in the prices of Bitcoin was due to the conflict between North Korea and America.
On the same day, in a press conference in New York, the foreign minister of North Korea To Yong-Ho accused President Donald Trump for declaring war against his country. He clearly stated that the world should remember that it was not them who declared the war, but it was the US.
When Japan flew over North Korea, the global stocks also plunged. The North Korea government's dangers against the US and the culmination of the communitarian military penetrated between the US and Japan in which B-1B planes from Guam and F-15 co tender escorted Okinawa.
average of Dow Jones-a major stock market index.industrial a declined three days straight in the value of was the economy continues to grow, the stocks and assets tend to decrease further in value. Hence there amongIf the volatility of the global markets and the uncertainty
John Caruso, RJO Futures Pro’s senior marketing strategist, said that the market shook because of the US bombers flying over North Korean air-space. To top it off, the election in Germany makes the market even more unstable right now.
Bitcoin - as a safe haven asset
Even though there was a nationwide ban of Bitcoin by the government of China, Bitcoin still remains stronger in the local exchanges of Bitcoin. Since the international exchange markets of Bitcoin are still restricting, the global Bitcoin exchange market has been striving to recover from the previous price of 5050 dollars.
Since Bitcoin is considered as a safe haven asset and a long-term investment that is stable, secure and liquid, many analysts like Max Keiser and Vortex analyzed that the number of traders and investors looking for Bitcoin increases significantly when the market is volatile and during the times of financial instability.
Traders and investors of Japan, the US and South Korea, the three biggest exchange markets of Bitcoin-related to trading volumes, are shifting towards Bitcoin to avoid the decline in the value of assets, indexes of the stock markets, and exchange of currencies. All this happened because of the increase of the prices of Bitcoin to 260 dollars on September 25th.
Dollars and yen did weaken to an extent and according to Wall Street analysts, they expect the currencies to decline furthermore in the immediate future.
A positive indicator for Bitcoin is the volatility factor in the markets. The global markets are stabilizing at a fast pace. After the ban of Chinese Bitcoins, the investors and the traders moved to Japan, US and South Korea.
If the tension between North Korea and the US is likely to continue, and if the governments of South Korea and Japan also continue active drills on militarism, Bitcoin prices will increase and the global markets will decline in value.