Bitcoin surged 120% in 2016, and Chinese aunties are speculating on Bitcoin again

Bitcoin has become a star product in the investment market because of its cumulative increase of more than 120% this year. Many market participants said that the crazy Bitcoin is back. The rapid surge in the market has attracted many users to participate, including the recent return of "Chinese aunties". The "2014-2016 Bitcoin Global Development Report" jointly produced by Huobi.com, Tsinghua University PBC School of Finance Internet Finance Laboratory, and Sina Technology shows that the proportion of female Bitcoin investors has increased by 50% compared with last year.
From its birth in 2009 to now, Bitcoin, which was once not optimistic, has gone through 7 years and 7 months. The price rose from worthless at the beginning to a maximum of 8,000 yuan per unit in 2013, which also attracted many "Chinese aunties" to join. However, under the policy suppression of Chinese regulators in 2014, Bitcoin once fell from a high of 8,000 yuan to a low of around 1,000 yuan, and then entered a long bear market. Until the beginning of this year, Bitcoin began to explode a new round of market. According to the market data of Huobi.com, in 2016, the price of Bitcoin rose from a low of 2,351 yuan per unit to a high of 5,180 yuan per unit, with a maximum increase of 120%. Currently, Bitcoin is still hovering at a high of 4,300 yuan per unit.
This wave of rapid surge in prices attracted many users, including "Chinese aunties", but this time the "Chinese aunties" were more rational. The "2014-2016 Bitcoin Global Development Report" shows that in 2015, the proportion of female VIP users on Huobi was 10%, and in 2016 this proportion rose to 15.63%.
A reporter from Beijing Business Daily interviewed a Bitcoin investor, Aunt Huang (pseudonym), who is 53 years old and lives in the United States. According to her, she has been a stock investor and has some experience in stock trading. She is currently mainly engaged in investment in the primary and secondary markets of stocks. Influenced by her family, she has always paid attention to Bitcoin, but she really invested in Bitcoin after the Brexit incident. "I saw an opportunity at the time and invested less than 1 million yuan in this wave of market conditions, and earned about 30,000 yuan through the price difference between the domestic and foreign markets." Aunt Huang said.
However, as a "rational fan", Aunt Huang said that she was very cautious in investing in Bitcoin, and after making a profit of 30,000 yuan, she did not continue to invest.
She believes that Bitcoin and stocks have similarities in technology. "Bitcoin is not as affected by the outside world as the stock market. Bitcoin is mainly affected by international market conditions, RMB exchange rate and policies. Whether it is Bitcoin or stocks, they are all for cashing out and there are market makers manipulating them. But I personally think that the risk of Bitcoin is greater than that of stocks."
"I will not focus on trading Bitcoin in the future unless I see particularly good news." However, she also said that she will continue to pay attention to Bitcoin.
It is worth mentioning that Bitcoin has been compared with gold since its birth. Zhu Jiawei, vice president of operations at Huobi.com, said that the issuance mechanism of Bitcoin is to simulate gold. First, the global reserves of gold are basically constant, so the total amount of Bitcoin is also constant; second, the difficulty of gold mining will become more and more difficult over time, and so will Bitcoin. Therefore, Bitcoin is also called "electronic gold."
Unlike gold, Bitcoin does not have much practical value at present. But the market has not reduced its attention to it, especially the underlying technology of Bitcoin - blockchain technology has begun to be hyped by the market, even praised by the People's Bank of China, and many financial institutions including UnionPay are studying this technology.
Speculative investors should also be wary of risks. Xiao Lei, chief researcher at Golden Wallet, said that the development of blockchain technology and Bitcoin are on two different paths, and the popularity of blockchain is unlikely to drive more investors into the Bitcoin market. Currently, most domestic speculators are not Bitcoin enthusiasts, but are trying to raise prices to obtain short-term high returns, similar to speculating on a GEM stock. Many new investors often face the risk of taking over. (Yue Pinyu)