Bitcoin prices fall by 20 percent after reaching $1000 for the first time in three years

Bitcoin prices are particularly volatile now. The new year started off with a steady rise in prices, reaching a high of $1,149 on 5 January from a price point of $936 on 30 December. The record was just short of the all time high commanded by the cryptocurrency, of $1,163 in 2013. There are more bitcoins in circulation now than there were in 2013. Over a period of six hours on 5 January, the prices per bitcoin dropped suddenly to $893. Subsequently, there was a recovery, with a generally upward trend.

Unocoin tracks local bitcoin exchange rates. On January 4, bitcoin prices touched Rs 79,049, and fell to Rs 75,139 on January 5. The Indian bitcoin prices are about Rs 10,000 more than the US prices directly converted to Indian currency according to prevailing exchange rates. Unocoin has an app that monitors bitcoin prices, and can be used as a mobile wallet for cashless transactions.

Bitcoin allows users to move currency around the world quickly and anonymously, without control by a central authority. Bitcoin is considered a modern safe haven in times of economic instability . The US saw an increase in bitcoin investment after the stock markets fell because of a surprise Trump win at the 2016 US presidential election. Following the demonetisation of high value currency notes, India also saw an increase in Bitcoin adoption. The falling Yuan in China and the capital controls, also resulted in a spike in Bitcoin usage in China. Bitcoin saw an increase in adoption in Venezuela in anticipation of the demonetisation of the 100 Bolivar note.