Bitcoin Trading on the Weekends is Massive as SMC Capital’s Mikhail Mironov Paints the Picture Why
- Weekend trading with Bitcoin has brought the asset to nearly $14,000 in the last week.
- SMC Capital partner Mikhail Mironov evaluated the causes of this increase.
The way that Bitcoin has performed lately has gained a lot of attention through both the crypto industry and the mainstream media. Mikhail Mironov, a partner of SMC Capital, spoke with Bitcoinist about why he believes that the trading of Bitcoin through the weekends has boomed for a few different reasons, though the first one he pointed out was the rise of Chinese retail interest in Bitcoin.
Many exchanges have already established themselves in mainland China, even though there’s presently a ban in effect for the last two years against cryptocurrency trading and initial coin offerings. To elaborate, Mironov said that the retail trading in China has grown, adding that crypto exchange Biki, Bliss, MXC, and Zg.com have already entered mainland China.
“They already run business with millions of users acquired by deploying large marketing campaigns, and that’s amid the infamous crypto trading ban. To add, zg.com is a fiat to crypto platform accepting Chinese RMB.”
He also spoke about the cryptocurrency traders that are incredibly new to the market that are now getting involved. These investors are the ones that were not in the market when the 2017 bull run happened and will probably have unique trading patterns that keeps them separate from the rest of investors. Mironov said that the rise of searches for Bitcoin and crypto on the WeChat platform is another indication of the Bitcoin interest, which holds some weight with 1 billion users a month.
The bull market of 2017 appeared to be driven by a fear of missing out (FOMO), and every cryptocurrency on the market was showing massive highs. Part of the craziness around initial coin offerings had a lot to do with the boom as well, and Mironov believes that initial exchange offerings have a lot to do with the current industry’s impact.
Apart from the changes in China, Mironov believes that India is playing a role in FOMO right now, even though the government is leaning towards a substantial ban on cryptocurrencies. Even since last year, there are local exchanges that have been shutting down in India, and the traders left behind have been turning to other platforms. Luckily, these bans have actually led exchanges to experience even higher volumes.
In India last week, the price of Bitcoin reached a $500 premium. As Mironov sees it, the second quarter of the year brought KuCoin double their traffic with this bull run, reaching 200 million. At this point, he pointed out,
“KuCoin now already has 5 million users globally and it continues to grow rapidly. In emerging regions like SEA and South Asia, for instance, KuCoin experienced drastic user growth in the last couple of weeks.”
In the last seven days, Bitcoin reached $13,900 before the price fell back down by 25%. Many Bitcoin bulls are clearly hoping that the cryptocurrency sees the $12,000 again soon. At the time of writing, Bitcoin was at $11,216.63, following a drop of 6.82%.