The pick of the day is something that I’ve never owned or traded but since I get numbers of questions regarding it, and with the advent of new payment systems actually using it, I’ve decided to talk about it. Another reason for it is that there actually isn’t a great deal to talk about today on the real currencies side. The major and minor pairs are mostly dancing in a range, as the tier two data that was published fell in line with expectations. What the traders really want to hear about, interest rates, are not being announced until next week.
So you may have guessed but Bitcoin, the virtual currency that has got a lot of governments worried, is the pick of the day. Bitcoin hit a big hurdle yesterday, when it was announced that $400m worth of coins had been stolen from a Tokyo based Bitcoin exchange, Mt. Gox, which has since gone dark, or off-line. The scandal, which is still unfolding initially forced a 25% fall in the value of the currency, with the volume of traders shorting it, skyrocketing. The price of Bitcoins against the US dollar has since recovered, moving up more than 10% touching the 600$ area. Those saying Bitcoin’s days were numbered because of this were put right by a guest on CNBC TV yesterday who reminded viewers that the Euro took more than a decade to introduce, and well it is still up and about. Beyond Mt. Gox, many Bitcoin believers and especially the ones who have left their steady financial careers in government and finance to build Bitcoins companies, have kept their faith to see a more robust system.
Stay tuned for more updates and if you feel like you’re lost in translation with this report, come one over to InvestDiva.com and check out our straightforward and easy education program.
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