03:31 GMT +321 August 2019
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    Bitcoin is a decentralized form of digital currency, created and held online all over the world. The cryptocurrency is used to buy things electronically.

    Bitcoin Goes High: Cryptocurrency Enjoys All-Time High After Two-Year Slump

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    The price of Bitcoins has reached an all-time high after a bleak winter. Chinese investors have fueled a bitcoin hike, according to Bitcoin exchange group "OKCoin." The cryptocurrency hit US$600, up from US$436 after a suffering a two-year slump.

    Bitcoin is a consensus network that enables payment using digital money. It is the first decentralized peer-to-peer payment network that is powered by its users with no central authority or middlemen, it can effectively be used as cash on the Internet.

    The huge hike in Bitcoin value has meant that it now has a market cap of over US$10 billion, placing it above Twitter which stands at US$9.77 billion.

    So how did this happen and what does it mean?

    The boost in the value of bitcoins is being attributed to Chinese investors who were slightly concerned about the weakening Yuan.

    According to Reuters, around 95 percent of all bitcoin transactions are done via Chinese exchanges, and this latest spike is thought to be driven by fears that China's economy is slowing. As a result, people were trying to diversify their investments, which currently stand at US$22 trillion.

    According to experts this bitcoin hike is a brilliant thing and could pave the way for even more growth. Bobby Lee, Chief Executive of BTCC, one of the World's Leading Bitcoin exchanges said that what we are witnessing now is very high trading volumes.

    "The block halving will dramatically decrease the bitcoin being added as we approach 75 percent of all bitcoins issued."

    "People understand that in this world of ever expanding assets and printing of money, we have something that's fixed and limited in issuance. It gives a decent alternative for people who want to hold assets that can have sustained purchasing power," Bobby Lee said.

    Others took to social media to discuss what this could all mean:

    So for those interested in the next investment opportunity, it appears that bitcoins may be the next big thing to put your money in to.

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    Tags:
    cryptocurrency, exchange, price hike, bitcoin, transaction, economy, World, China
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