Bitcoin and ether prices are soaring again in India, as the country gears up for the Indian Independence Day celebrations on May 25.
The cryptocurrency has been rising at a rate of around 6 per cent a day in the country for the past two weeks, according to data from cryptocurrency research firm Coindesk.
India is India’s largest market for cryptocurrency, accounting for about 13 per cent of the world’s total cryptocurrency market cap.
Bitcoin is a digital currency that was invented in 2009 by an anonymous group of developers in the US and has since gained popularity.
It is used as a payment method in countries such as India, and as a means of payment for transactions on the internet.
It was launched on the Chinese blockchain in November last year, and is currently the world second-most traded cryptocurrency after Ethereum.
Ethereum is a blockchain-based cryptocurrency that allows anyone to exchange digital tokens for fiat currency.
The value of Ethereum has surged over the past few months, but remains at around $500.
India has seen a significant rise in adoption of the digital currency in recent months, with the number of bitcoin users jumping from 1.8 million in December to nearly 9 million in May.
Bitcoin prices have surged at a much higher rate than the cryptocurrency in India in recent weeks, which is likely because of the government’s crackdown on virtual currencies.
The country’s central bank has imposed several restrictions on digital currencies, and has banned them from transactions in banks and certain other sectors.
The Central Bank of India (CBI) also plans to ban cryptocurrency transactions in the central bank’s digital currency accounts starting from May 25, though the exact date has yet to be determined.
The government has warned against trading cryptocurrencies in the name of “illegal” activities, including money laundering and drug dealing.
However, traders have been taking advantage of the restrictions, and have been buying bitcoin, ether and other cryptocurrencies on exchanges such as Binance and Bitfinex.
Bitcoin price spiked above $8,000 on the trading platform on Wednesday, and continues to rise.
Ether price rose above $10,000 earlier in the week, and was trading near $20,000 by early Wednesday.
Bitcoin and ether are cryptocurrencies that are both digital currencies.