Bitcoin prices are still increasing after surging past the landmark $1,500 level

 
Courtney Goldsmith
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Bitcoin is headed skyward (Source: Getty)

The price of bitcoin is still rising after it surpassed the landmark $1,500 mark late last night.

The cryptocurrency was trading up 2.01 per cent at $1,520.05, near its intraday high of $1,522.58, at the time of publishing.

"The bitcoin landmarks are coming thick and fast now. Crossing the $1,500 mark for the first time is an important moment for the asset," said Mati Greenspan, senior market analyst at eToro.

The rise comes amid the prospect of mass-adoption of the digital currency and reports that the US Securities and Exchange Commission (SEC) will review its decision to block the listing of the first US exchange-traded fund (ETF).

Read more: Winklevoss bitcoin fund rejected by SEC over fraud concerns

However, this isn't the first time the cryptocurrency has booked such a rapid surge in prices, and last time the rise was followed by a steep sell-off.

"Back in 2013, bitcoin went from $5 to $1200 in a few months. In 2013 the rally was succeeded by a steep drop in value and then a slow decline, from which the price has now fully recovered. Much has changed since then as more and more is understood about the technology behind cryptocurrencies and the potential for real-world applications," said Greenspan.

The currency's tipping point is expected to come from Japan.

Greenspan explained: “Just yesterday it was announced that ten new companies will be opening exchanges in [Japan]. Think about it like this. The Japanese government is actively trying to devalue the yen in order to discourage people from saving money. On the other hand, they've just made bitcoin a legal currency for savings and transactions. If you lived in Japan, what portion of your savings would you choose to invest in bitcoin?"

New real-world applications for bitcoin are the main factor driving the price forward, and Greenspan said more landmark bitcoin moments are likely to follow.

Read more: Bitcoin could reach £3,000 by the end of the year

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