Bitcoin nearly hits $3,000 before plunging

Bitcoin’s wild ride is continuing on Monday. The cryptocurrency climbed to a lifetime high of $US2,999.97 a coin in overnight action, but has seen a sharp drop from its highs. It’s currently trading down $US223, or 7.6%, at $US2,729 a coin.

Monday’s action comes without any real catalyst as trade appears to be fuelled by buying in Asia. Recently, China’s three largest bitcoin exchanges lifted their ban on clients withdrawals. Additionally, Japan’s government announced in early April that bitcoin was now a legal payment method in the country.

Bitcoin has gained 187% so far this year. It’s meteoric rise has prompeted tech billionaire Mark Cuban to call it a “bubble.” Last Tuesday, Cuban tweeted, “I think it’s in a bubble. I just don’t know when or how much it corrects. When everyone is bragging about how easy they are making $=bubble.”

The market continues to await the US Securities and Exchange Comission’s ruling on Winklevoss exchange traded fund. Back in March, the SEC rejected that ETF, along with another. It has since taken public comment on its decision regarding an ETF started by the Winklevoss twins, but it has not made an additional ruling.

Get the latest Bitcoin price here.

NOW WATCH: Animated map shows what the US would look like if all the Earth’s ice melted

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.