Bitcoin has experienced such three stages as “mining” game interior testing stage oriented by the demand of “technical share revision”, the business model construction stage oriented by investment demand and market bubble showcase stage oriented by the speculative demand since 2009 when Bitcoin produced, and has formed a global market to exchange Bitcoin. As a product of virtual financial market, Bitcoin market development is propelled by human spontaneousness and human oriented demand, however, the market craziness triggered by speculative demand not only damages the interests of the investors but also impedes the self-development of Bitcoin market. Bitcoin, which does not belong to the currency in real sense, has long-term development basis by widening and consolidating basic service function of network payment, but its value stability can not be maintained for a long time. Bitcoin, as a virtual currency, largely deviates from its intrinsic value in its market price currently, has big bubble, as a result, the investment or speculation on Bitcoin is the worst choice, therefore, China must make effective supervision on Bitcoin market and actively guide and broaden the channel for private capital to invest.