Japan Remains Leader in Buying Up Bitcoin

Japan still has all the right ingredients to be the perfect market for Bitcoin. The country was an early adopter, shaking down easily the Mt.Gox failure and continuing with new exchanges licensed in the past few months.

But now, the frenzy of individual investors has grown even more, as Bitcoin's prices surged to all-time highs. And although the dollar is on the path to overtaking the yen, mostly by increased US interest in the crypto space, the yen still leads by 30,000 BTC traded in 24 hours:

The Japanese trading has also shown no lags or exchanges overwhelmed, and the charts from CryptoCompare reveal that the effect of the Korean Won and the US dollar flowing into Bitcoin are even greater than those of the USDT token on Bitfinex.

"We have a huge amount of liquidity. No matter how big the position we can close it out. If Bitcoin rose 20-fold in a day then I don’t know. But a day with a 30 per cent fall would be no problem."According to Yuzo Kano, founder of the leading exchange BitFlyer, the presence of new and old Bitcoin investors in Japan is 50:50%. Kano sees the new deposits continually increasing, with a majority of private investors. The Japanese markets are also highly liquid:

In addition to small-scale investors, some Bitcoin trading may come from international hedge funds. And the price in Yen may be independent of the US dollar.

Bitcoin's total value is quite small now, and an insignificant part of the world's wealth, believes trader Huroyki Kano. He also believes Bitcoin has enough skeptics and is not in bubble territory yet.

Japan has lived for a decade with extremely low interest rates, in an attempt to stave off depression. The arrival of cryptocurrencies offers a chance at high-return investments. In addition, the Japanese users have popularized other digital assets, such as DOGE and Litecoin.