"It's Pure Frenzy" - Bitcoin Extends Overnight Gains, Rises 200% Year-To-Date

More Japanese exuberance overnight (as USDJPY and Nikkei stumbled hard) sent Bitcoin to fresh record highs, blowing through $2800 and nearing $2900 this morning - now up 200% year-to-date.

It seems the momentum trade has caught the eye of Mrs. Watanabe...

But as we noted overnight, it's not just Bitcoin that is soaring, Bloomberg reports that Remixpoint Co., Infoteria Corp. and Fisco Ltd., have all seen volatile swings in their share prices after announcing businesses related to digital currencies.

Remixpoint, which has more than doubled since tying up with Peach Aviation Ltd. to let customers pay for tickets with bitcoin, fell as much as 9 percent in Tokyo on Tuesday.

 

Infoteria, up more than 50 percent in the past month, is testing ways to let shareholders vote by proxy using blockchain, bitcoin’s underlying technology. 

 

Fisco, a financial information services provider, began operating a bitcoin exchange last year and is up about 25 percent since early May.

All of these gains coincide with bitcoin’s rally, with the value of the virtual currency doubling against the U.S. dollar since early May. That has made the stocks of the these small-cap companies an attractive way for speculators to invest in cryptocurrency markets without buying them directly. That’s because investors can make bets via their brokerage accounts instead of taking risks with bitcoin exchanges, according to Naoki Murakami, a well-known day trader in Japan.

“From about a month ago when all these virtual currencies started spiking like crazy, we began seeing the so-called ‘stocks of the virtual currency bubble,”’ said Murakami, a frequent speaker at investor conferences.

 

“Not everyone is sure they can trust bitcoin exchanges. And some don’t have accounts there. That’s why they’re using the stock market to speculate.”

Another reason why these stocks can become proxies for bitcoin is due to Japan’s relatively loose listing laws, some of which require no income and a market value of as little as $10 million before a company can go public. That’s made the Tokyo Stock Exchange home to hundreds of small companies.

“It’s pure frenzy,” Murakami said.

In April, Prime Minister Shinzo Abe’s government legalized digital currencies as a form of payment and placed rules around audits and security. That lent credibility to digital currencies, leading to some Japanese companies seeking partnerships with bitcoin startups.

Comments

BadDog Jun 6, 2017 12:40 PM Permalink

I'm waiting for the next 'bitcoin is dead' rendition on the old player piano. Gold bugs and silver bugs will be vindicated, but take your blinkers off.

83_vf_1100_c Jun 6, 2017 12:26 PM Permalink

  I read a blurb on a puter site that the high end AMD RX series vid cards are flying off the shelves and selling for ridiculous mark ups because... Etherium mining.

Know shit Jun 6, 2017 11:36 AM Permalink

If you can't stand the heat stay out of of the kitchen.

If nothing else can get you in this game, use the excuse you will use it to practice when to get out of the PM market when it will start taking of.

Take care.

fliebinite Jun 6, 2017 11:35 AM Permalink

ZH used to brand itself as a home of traders, but no one here has a trading perspective at all.  Bunch of losers.  If you traded bitcoin the last 5 years, you made a fortune, and that can still happen.  If you traded gold, you didn't.  Gosh, so f*cking boring with the gold mongers, their man cave, their guns and their ramen noodles.... 

King of Ruperts Land fliebinite Jun 6, 2017 4:19 PM Permalink

I have done a bit of trading. Enough to know that you could have made or lost a fortune or broke even trading either thing over the last 5 years.

Gold has more liquidity and trades on a futures exchange, so probably it would have been easier to make a larger fortune trading gold, as one could trade larger positions. with greater leverage.

That said, someone could have traded modest positions in Bitcoin and also done quite well.

One could have lost money in either also.

Going long in something with no leverage and waiting for it to go up and then selling is not the only trade in town.

In reply to by fliebinite

83_vf_1100_c fliebinite Jun 6, 2017 12:52 PM Permalink

  So your point is you do not believe in insurance? Drive carefully and you'll never have an auto wreck. Keep the matches on a high shelf and your house won't burn. Keep your credit rating in the 700+ and you'll always be able to go to the grocery store and buy food.  By all means throw some money at BC, et al but it is prudent to buy some insurance. Some AU, AG, gunsnbullets, beansnrice, a clean water source and a realistic bugout place can save your ass if the SHTF. Preppers (mostly) are not crazy, They are just hedging against societal breakdown. I can't speak fot them but I am hoping it never happens but I am better prepped than 90% of my neighbors. I do not desire to live in a Venezuela but shit happens and the USA is not immune. We are either odd, crazy, or smart as fuck and future events will be our judge.  Take some of that generous BC money return and buy some of that SHTF insurance. No stories coming out of Venezuela about how bitcoins are keeping them fed or safe. Several mentions of gold and guns and food.

In reply to by fliebinite

Suicyco Jun 6, 2017 11:21 AM Permalink

Heh, had to Google "Beanie Babies". I gather that was a strictly US thing at the time. We just had a similar one with certain coffee cups.This one's global, if it can be thought of as a bubble or a fad.

Exponere Mendaces Suicyco Jun 6, 2017 12:18 PM Permalink

You can "think" all you want.Its been going on 9 years, 24/7/365 uptime - send value to anyone on the planet.If that's a "fad", then SWIFT/ACH/IBAN is going to have some problems, lol.Even the often-quoted "tulip mania" only lasted about 4 years -- https://static.seekingalpha.com/uploads/2014/9/2/saupload_Tulipomania.p… like most ZH commenters, they don't use facts, just emotionally charged LIES. 

In reply to by Suicyco

kuro_neko Jun 6, 2017 11:10 AM Permalink

@gunzeonthe point is Bitcoin only REAL use is to hide money to governments. the cryptographic scheme may be unbreakable TODAY, but with faster (quantum) computers, it will probably be breakable in 5-10 years only. Furthermore, computer security is NOT only about cryptography. Your Bitcoins are as secure as your private keys. If you computer or Mobile phone is hacked then your BTC are NOT safe. And if you read ZH, you should know by now the NSA has access to any mobile phone or computer in this world already....Good headlines news about BTC "scaling" up, but even after the scaling, it will still take a few minutes to process one block. MOST transactions are on exchanges and not on the blockchain. If all transactions were on-chain, then it would be much slower by a factor x10 or more AFTER the upgrade.On the other hand, you have ALREADY existing DIGITAL MONEY solutions enabling transfers in SECONDS such as WECHAT pay that is very popular in China for example; and APPLE PAY, GOOGLE PAY is coming... There will be no use for BTC as digital money. That leaves the anonymous part, but its NOT really anonymous.in 5y or 10Y everybody will have forgotten about Bitcoin

Exponere Mendaces kuro_neko Jun 6, 2017 12:21 PM Permalink

I'd happily take a bet that Bitcoin won't be forgotten in 5 years.I won't even make you pay - just show up later and be humble when you lose.Your "existing solutions" are centralized pieces of garbage. If you own gold, its even worse - you shoved money at a government treasury or through a coin dealer, and ended up witn inert lumps of matter.Anyone bringing up the quantum computing angle as a "dealbreaker" really hasn't done their homework. Not only would your "existing solutions" be fucked, they wouldn't be able to change fast enough to prevent losses.Bitcoin can adopt new algorithms if necessary -- but good luck getting the people behind SWIFT/ACH/IBAN/SEPA doing the same thing with any speed. 

In reply to by kuro_neko

King of Ruperts Land Exponere Mendaces Jun 6, 2017 4:10 PM Permalink

The quantum computer code cracker would be a bigger problem than just Bitcoin and is the one angle where I see possible NSA involvement in Bitcoin. NSA might have invented Bitcoin and put it out there, even bid up the price as an early warning system on advances in chypher technology.

If anyone independently invented a quantum computer to inverse hash functions, they could use it to make money mining bitcoin.

If I had such a thing I would only start it up deep deep within a mountain. Deeper than bunker busters and nukes could touch.

In reply to by Exponere Mendaces

kuro_neko Exponere Mendaces Jun 6, 2017 12:48 PM Permalink

By the way I'm not a Bitcoin loser, I'm a winnerI cashed out more than 700,000 USD in winnings. Of course, I've been stupid, because with the current rally, i could have added one more zero, if I had the balls to stay or add longs. But hey, thats a lot of money for so little efforts. If everybody who is currently playing on Bitcoin made as much money, that would probably be TRILLIONS in gains. Obviously thats not gonna happen. I'm happy to cash out and leave the risk to the latest entrants.The risk/reward buying a ultra-hot market without sound fundamentals at the top is not for me. Yep there are crypto-millionaires traders, I'm happy for them. The true winners are the scammers selling tulip-ICOs for TENS or HUNDREDS of millions and the ones who bought 1 or more years ago. Now the suckers are buying. I'm not a big winner, but I ain't a sucker. I prefer to buy real assets with my winnings, you know, like a big condo, a car.... things you need USD to buy with, not Bitcoins...

In reply to by Exponere Mendaces

Exponere Mendaces kuro_neko Jun 6, 2017 5:39 PM Permalink

Sure, and you have a yacht and go brunching with Jeff Bezos.If you had that much in holdings, "buying at the top" wouldn't be a concern. It would be an averaging-in move for you. But again, ZH proves over and over that most of the people banging on their keyboards here haven't traded a day in their lives.And then you go on about buying a condo or a car - both things that Bitcoins have been used to buy.Not too smart, are you? 

In reply to by kuro_neko

kuro_neko Exponere Mendaces Jun 6, 2017 7:38 PM Permalink

I'm not saying I'm smart. If I made money, its that I bought at some price, and sold at a higher price. Thats all. If I was really smart, i would have made much more money.I didn't buy BTC @ 1USD, and i didn't sell it @ 2900 USD either. I'm not trying to pick the exact bottom or the exact top when I trade. I buy when its low enough and looks oversold and I sell when its high enough and it looks overbought. I had a good run. 700,000 USD is nothing. I know many traders who made way way more than 1,000,000 USD.. But they're not those who've been buying in the last month.Of course in oversold markets you get the biggest crashes and overbought market the biggest smashes. But given enough time, it usually mean reverts, and the more the markets are stretched, the more they reverse hard.We're clearly in an overbought market  now. Good luck to all those who think they can outsmart others and get out in time. A few will, but not everyone.BTW cars or condos with Bitcoins ? maybe in your banana country .... a second-hand car maybe ? I fail to understand whats so cool to make a payment with BTC instead your old USD...The *ONLY* purpose to buy BTC, is to hope to be able to sell at a (much) higher price to a greater fool. But we all know not everyone can succeed in that goal. 

In reply to by Exponere Mendaces

Exponere Mendaces kuro_neko Jun 6, 2017 8:34 PM Permalink

< Amusing trade banter snipped >Right, you don't time the market because you don't have an edge.But, in the same post you buy when it "looks oversold" and sell when it "looks overbought".Which is it? You are contradicting yourself, as usual.Bitcoins are being accepted for property and other things, not just in "banana country" - god, what a douche - but that is who I am dealing with, some smug market timer that doesn't think he's market timing.And if you think the only purpose of Bitcoin is to "sell to a greater fool", then you've missed the entire point -- which considering your displayed intellect, is about par for how you operate.LOL 

In reply to by kuro_neko

kuro_neko Exponere Mendaces Jun 7, 2017 3:02 AM Permalink

@Exponere MendacesI might be a douche, but a rich one...LOLand at least I'm not trying to troll the internet to find greater fools for my Bitcoins. Don't shoot the messenger. I'm trying to protect those who might be tempted to jump in and would lose their money because of their greed.Its better to miss an opportunity, even big, than to risk losing your life savings in Bit-Tulips.How do I know the market is overbought or oversold ? I just believe in Technical Analysis and indicators such like RSI, (there's plenty of others). I've seen thousands and thousands of charts during my career. Just browse in your favourite chart provider long term prices of some commodities , oil sugar, whatever, you see parabolic booms and the busts phase. People who bought at the top of those booms all thought they'd get richer. Bitcoin is no different.Monthly RSI for BTC is at 88, a reading over 70-80 level is traditionally considered as overbought. I'm not making it, just buy any TA book or Google it. This is an objective statement, not a subjective one. Overbought markets or oversold markets may overshoot, but they mean-revert hard. No one knows the top, i don't pretend I do, but its no surprise that at some stage, the price will crash hard from here. The buy zone is around 1250 EUR area, around 50% less than the current price. I wouldn't touch it before. A 50% downtick would just be a technical correction in the grand scheme of things, and would not (for the moment) signal a broader trade change, only time would tell if it was the case.

In reply to by Exponere Mendaces

kuro_neko kuro_neko Jun 6, 2017 7:44 PM Permalink

most of my money was done buying ETH at 1EUR, and selling around 10 EUR...i did some trading again but never with my full initial size and my last ETH sale was around 90 EUR. We're more than double that... so you can easily see that a buy and hold with my initial size would have added nearly one zero to my gains. So its not smart at all.But many people have already made a LOT of money in this market. Many won much larger sums than I did. But let me tell you, its mathematically IMPOSSIBLE that EVERYBODY will win as much as I did. So take a break look at the LT chart and try to think: if i buy now after all this rally, what can i REALLY expect to make ?Would I be happy if the price comes back to where it was 3 months before ? and how likely is that ?

In reply to by kuro_neko

kuro_neko King of Ruperts Land Jun 6, 2017 7:30 PM Permalink

i pay my taxes like everybody, it was pretty bad. But if i earned that money as salary in a normal job, it would have been the sameSo this number is a gross amount, the net -in my pocket amount - is much less, of courseUltimately one of the greatest winner of the crypto bubble would the government, if everybody paid its taxes as they should Of course, the TRUE goal of crypto is criminal, and to evade taxes. Some traders think they're smart and they can hide their gains forever. Good luck with that. More than one will be caught and end up in prison (depending on juridictions)...I didn't need crypto to become a millionaire, i was a BANKSTER in a previous life. I'm happy to make a good trade and pay taxes, and to move on.

In reply to by King of Ruperts Land

Exponere Mendaces kuro_neko Jun 6, 2017 11:20 PM Permalink

Aaaaah... a banker.And of course, your first thought of cryptocurrency is evading taxes.Your bias is showing.Also the pretentious "I'm slumming it with you dudes" is pretty thick. Might want to think about not coming across like a total douche. (At least for no reason, lol)Eh, who am I kidding, you don't give a shit, you're a financial enured cog (or was). 

In reply to by kuro_neko

jfb Jun 6, 2017 11:00 AM Permalink

The reason behind the fact that some countries (like Japan) have declared it as legal money but still lead a war on gold & cash is getting obvious to me. The people who purchase crypto currencies are mostly from the middle class, so it's a way to lead them to put their economies in something else than gold & silver. This bitcoin mania will continue until they abolish cash, probably by the end of the year, to follow the IMF recommendations.
Once cash is abolished, you can no longer use one of those bitcoin ATMs. And nothing prevent them from imposing a huge tax/levy when you want to reconvert bitcoins into fiat money. Because no merchant truly accept bitcoin as "money", they just display a fix price in fiat money and adapt it in bitcoins, bitcoins are too volatile to be the backbone. This new tax and the subsequent crash of the bitcoin price will erase all the gains made in 2017, only the people who bought bitcoins before 2017 will be left with something valuable. I will eventully sell most of my crypto by the end of the summer.

kuro_neko jfb Jun 6, 2017 11:19 AM Permalink

I live in JAPAN, let me tell you this is total hype.BITCOIN is NOT LEGAL MONEY in JAPAN. THATS A WRONG TRANSLATIONIts accepted as a MEANS of payment which is a different thing. Its considered as an ASSET.every Bitcoin payment is an asset purchase or asset sale, which means you would have to file BTC capital gain or losses EVERYTIME you go at the groceries !!!Thats totally unpractical and unrealistic. So its only HYPE, and as soon as people understand the implications of using BTC, nobody will bother using it, because in Japan you have many digital money solutions, you can pay with PASMO card or your mobile phone just by touching a small pod. There are all kind of point cards as well, STRIPE is also starting to expand its network here...BITCOIN is already OBSOLETE.The only real GOOD NEWS in Japan about Bitcoin is that the consumption tax (8%) will be removed next month. It will make life easier for Japanese exchanges (BitFlyer), and the Bitflyer price against other prices should converge, but thats already happening. By the way because the arbitrage (free money for more advanced traders) is gone, Bitcoin volumes will go down a lot from here and that should remove some support to the Bitcoin price. It might be a turning event for this market.

In reply to by jfb

Madcow Jun 6, 2017 10:57 AM Permalink

Now that its perfectly clear that the PM markets are a scam and a fraud that will never be allowed to rise, people have no choice but to pile in to all the "Crypto Currencies" Gov-Co may still need to pass a law forbidding Asians from thinking of Gold and Silver as "money" - but in the West, their efforts have been enourmously successfull.  People who may have bought PMs in years past have given up and are now putting money hand over fist into "Bitcoin" "Etherium" "Riddle" "Lisk" "Dash" "Litecoin" "Ether"  .... and dozens more sure to come from smart computer programmers around the world. So Gold now IS a barbararous relic. They'll need to pass another law forbidding Silver to be used in new industrial applications maybe - but it is clearly no longer "Money" like "Litecoin," "Etherium,"  "Maidsafe" etc etc etc.  

kuro_neko Jun 6, 2017 10:29 AM Permalink

the guys making REALLY rich with crypto are NOT the ones buying coins, but those SELLING themnotably selling all those new tokens or coins through ICOs, and getting tens if not hundreds of millions on Day 1, and getting even richer on day 2 with the retained amount of coins when the price in the secondary is already x3 or x10 in a few days or even hours...This is a bubble my friends, a huge bubble. There's no telling how high it will go, but it will crash for sureBIT-CON and ALT-CON are just a gigantic Wealth-transfer Ponzi-esque mechanism where the late buyers enrich the early buyers.There is absolute no intrinsic value in Crypto. There are already stuff like Apple Pay or WeChat Pay where you can do instant money transfer safely in SECONDS.People buy bitcoins or altcoins because they hope to find a greater fool to resell it at a much higher price but we all know not everybody can win in this game. There are a lot of people who got insanely rich in this bubble and those stories are enticing new people to play game. But maths don't lie. Some coins are up x100 or more !!!!actually ETH is up x250 !!! in less than 18 months.... with near 20bn market cap if its was doing x250 again then it would reach 5 TRILLION market cap !!!! it just means the big and easy gains are BEHIND us. We're in the overheated phase, and when the market goes down, there's no telling when, under its own weight, then it will utterly collapse.In 5 years, most of the coins will be valued less than 5-10% than what they are worth today.... and its not shocking its just going back to what it was worth a few months or weeks ago.... LOL PS in the case you don't know crypto is NOT really anonymous. Bitcoin exchanges have KYC procedures. People who thought they could hide money with Bitcoin have actually been arrested. There are techniques to follow the trail, and Bitcoin is as safe as your PC or your mobile. which means no safety, the NSA has already access to all your passwords and every file... LOL

Exponere Mendaces kuro_neko Jun 6, 2017 12:28 PM Permalink

Initial Coin Offerings are usually crap being pushed by alt-coiners trying to turn a quick buck.Bitcoin doesn't have to do that kind of tactic, its value proposition is its inherent fungibility and the ability to transfer value globally.I agree that ETH is a monster of another color, and there will be tears before its done.As far as "not anonymous", you're only partially right - there are means to achieve anonymity using other tools. But you'd know that if you weren't so breathlessly trying to take a big shit on it.And yeah, three-letter-agencies know everything, eh? Right. That's the paranoia that they want you to believe. They're not so omnipotent as you think they are. Encryption is still a tool that means something, even if most ZH commenters don't understand it. 

In reply to by kuro_neko

gunzeon kuro_neko Jun 6, 2017 10:48 AM Permalink

"BIT-CON and ALT-CON are just a gigantic Wealth-transfer Ponzi-esque mechanism where the late buyers enrich the early buyers."Well, this cannot be argued against, most here will agree that is the case.But what we also need to note are: - Bitcoin is first on the scene, goto crypto for bank-free value transfer, first on the block and going nowhere anytime soon. - bitcoin works, never been hacked in the past few 4-5 years - sure, does not have whistles and bells most of us cannot understand anyway, like eth for ex - sure, slow as shit - will be resolved very soon - sure, is not anonymous unless you want it to bedon't think ponzi, think "Network Effect". I guarantee that anybody that exchanged their coins for fiat currency is sad right now. 

In reply to by kuro_neko

Exponere Mendaces gunzeon Jun 6, 2017 12:31 PM Permalink

I can tell you, in addition to your other points -- a Ponzi requires a constant inflow of people to survive. There were plenty of times after the big rallies in 2011 and such where Bitcoin was basing for a long time. Not exactly a friendly environment for such a scam.Also, a Ponzi doesn't operate well with an asset that everyone wants - and nobody who has it wants anyone to reduce their chances of getting more. Its typically the reverse, where they try to push it on everyone.Me, I don't care if no one in here buys anything. More for me. 

In reply to by gunzeon

Silver Savior Jun 6, 2017 10:19 AM Permalink

Will work for Bitcoin. Never thought I would have ever said that. Bitcoin stopped being geeky at $800.Ripple has been facinating me a lot too. Ripple is a technology for the banks and banks have a lot of money. I bought over a thousand XRP and am thinking about getting 10k of them then sit on it. I know a lot of xrp is made but the Outlook still looks good.

Exponere Mendaces Silver Savior Jun 6, 2017 12:34 PM Permalink

Ripple is basically "FedCoin".Its centralized, issued by a single entity.More is issued by the same entity when they feel like it. It isn't algorithmically controlled.There is a huge float out there locked-up by the same people. This is called a "pre-mine" by some crypto currency people. Its usually indicative of a strategy to enforce artificial scarcity as a marketing technique.Ripple is fiat, digitized.Invest at your own risk. 

In reply to by Silver Savior

King of Ruperts Land richdemetri Jun 6, 2017 4:42 PM Permalink

Bitcoin is just fine if the idiots who are trying to make it an online VISA card just go somewhere else.

Bitcoin doesn't have a scaling problem or transaction limit problem. It has a freeloader and low value customer problem.

When the Bitcoin community (the miners) finally figure out what is in their best interest, they will forget all the grand schemes of replacing VISA.

Instead Bitcoin should should see its ultimate use as replacing or at least supplementing: gold.

In reply to by richdemetri

Silver Savior Jun 6, 2017 10:02 AM Permalink

Damn I wish I invested in crypto for retirement instead of my 401k. They kept telling me the 401k was the best thing in the world though. Just like they were all too eager to sell me an IRA right before the 08 crash when I should have bought gold. I just want to move to the mountains and away from anything human.

NaiLib Jun 6, 2017 10:00 AM Permalink

"Russia creating their own,,," "FED creating their own..."ECBcreatingtheir own..." etc etc ALL Ats are created to mine and sell for Bitcoin. Bitcoin will crash several more times, but that is just as it should. In the end BTC will stand there, while th rest were just a bubble

Silver Savior Jun 6, 2017 9:50 AM Permalink

The problem I have with bitcoin and some of the other crypto is that if I just trade this stuff as currency the value of it keeps going up. So I don't want to get rid of it in transactions anymore. I may be compelled to just sit on it and use other means of payment. These crypto currencies depend on transactions being made so if too many people decide to store it that probably would not be good. 

tmosley Silver Savior Jun 6, 2017 10:03 AM Permalink

It will stop rising once adoption stops rising. It is rising now because it is being adopted in east Asia. This won't last forever. Good opportunity to make some profits, but foolish to go all in, because it looks very bubblicious, and we should all know by now that even new paradigms can create manias and thus malinvestment leading to a burst.

In reply to by Silver Savior