trading

Bitcoin tumbles to 6-week low on fears of regulatory noose tightening

Bitcoin’s spot price was slumping on Tuesday, touching a six-week low below $11,000, as the biggest cryptocurrencies came under pressure across the board.

The selloff follows reports that South Korean Finance Minister Kim Dong-yeon said banning trading in virtual currencies was “a live option.” That has added to ongoing worries about a potential crackdown in what’s considered the world’s third-largest crypto trading market.


PBoC Official Calls for Wider Ban on Chinese Crypto Trading: Report – CoinDesk

A senior official at the People’s Bank of China is reportedly calling for a wider ban on services related to cryptocurrency trading in the country.

Pan Gongsheng, vice governor of the central bank, said, to prevent market risk, the government would apply more strict regulation to end all cryptocurrency trading-related activities and services. The news comes via a Reuters report today, citing an internal memo reviewed by the news agency.

While it’s not yet clear whether the reported memo will become immediate policy, the news indicates the continuing severe stance taken by China’s top regulators towards curbing cryptocurrency speculation and lowering perceived financial risk in the country.

According to the report, Pan said in the memo that a wider ban should extend to services and activities including individual or institutional market-makers, centralized trading platforms, guarantors, or settlement providers like online cryptocurrency wallets.




South Korean Government Will Not Implement a Cryptocurrency Trading Ban | BTCMANAGER

The South Korean government will not impose a ban on cryptocurrency trading after all, contrary to the claims of Park Sang-ki, the head of the Justice Ministry.
In an official announcement, South Korean government reaffirms there will be NO TRADING BAN for #cryptocurrency market in the short term and NOTHING IS FINALIZED.
A petition to fire the head of the Ministry of Justice over the #cryptocurrency trading fiasco filed. pic.twitter.com/tb5tDvIV2K
— Joseph Young (@iamjosephyoung) January 11, 2018
Earlier on January 11, Justice Minister Park stated that the Justice Ministry is drafting a bill that would effectively ban cryptocurrency trading for both foreigners and citizens. In a press conference, Justice Minister Park emphasized that the ministry plans to control speculation in the cryptocurrency market by outright banning cryptocurrency trading.
Immediately after the statement of Justice Minister park was released, the Ministry of Strategy and Finance noted that it was only made aware of his statement through media reports and that it does not reflect the viewpoint of the government. The Ministry of Strategy and Finance went on to say that the agency does not support and agree with the premature statement Justice Minister Park.


Cryptocurrency Market Recovers After South Korea Trading Ban Fiasco

The cryptocurrency market has begun to recover after the South Korean cryptocurrency trading ban controversy led the market valuation of cryptocurrencies to fall by more than $100 billion.

Cryptocurrency Market Starting to Recover
Almost immediately after the South Korea Ministry of Justice revealed its plans to continue drafting a cryptocurrency trading ban bill, the price of almost all cryptocurrencies in the global market plunged in value. Merely hours later, the South Korea Ministry of Strategy and Finance publicly stated that it does not support and agree with the cryptocurrency trading ban proposal by the Ministry of Justice.


How Likely Is It That Bitcoin Will Hit $500k In Three Years? – TECHAED

Do you believe John McAfee is right about Bitcoin hitting $500,000 in 3 years? originally appeared on Quora: the place to gain and share knowledge, empowering people to learn from others and better understand the world.

Answer by Vladimir Novakovski, 8.5 years in hedge funds, on Quora:

It’s interesting that almost all existing analysis of cryptoassets are from the point of view of fundamentals (or lack thereof). It’s often useful to look at things quantitatively instead.

So here, what we really want to understand is the probability of bitcoin reaching $500,000. There are a few ways to do that.
First, we can assume a completely random process and take a “gambler’s ruin” perspective. What is the probability that a random process will hit $500,000 before it hits $0? Given that the price as of Dec 2017 is about $15,000, we’d get $15,000/$500,000 = 3%.

Another approach is to model price as a lognormal process, which is a reasonable assumption to make for a broad set of assets. See Why do prices and income follow a log-normal distribution?

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Crypto Climax Closes Top Exchanges

Cryptocurrency trading reached a crescendo yesterday with total trade volume reaching an all-time high, topping $835 billion. The world’s major cryptocurrency exchanges were forced to shut up shop to new customers as the massive surge swamped their systems.

The massive influx in new account applications has caused three of the top four crypto exchanges to suspend new registrations. Many of them are reporting record numbers of signups as crypto mania exponentially increases.


Bitcoin Forecast – Tuesday, Jan 9

BTC/USD
Bitcoin fell against the United States Dollar during the trading session on Monday, as traders came back to work. It looks likely that the market could continue to drift a bit lower, but as you can see on the daily chart, I have formed a bullish flag that could happen. If we can break above the downtrend line marked on the chart, that should send this market much higher. The $12,000 level underneath should be massively supportive, and if we can break down below, where I think it’s the beginning of a serious trouble for Bitcoin. Otherwise, we could break out to the upside and go much higher, with a potential target of $30,000 based upon the pole of the flag.


Japanese Banking Giant Wants To Prevent Another Mt. Gox

Japan’s Mitsubishi UFJ Trust and Banking is preparing to launch a service that will protect cryptocurrency holders if the exchanges they use shut down or are hacked, reports Japan-based online publication Nikkei Asian Review.

The banking giant will keep matching records from cryptocurrency exchanges of customers who opt-in for the scheme. In the event the exchange fails or is compromised, Mitsubishi UFJ will compensate its clients for their losses according to the records they maintain.

Nikkei reports that the service will start with Bitcoin trading and could launch as early as April. Crypto exchange users who opt-in to have their funds protected by the Mitsubishi UFJ will be charged a fee for the service.

However, as CEO of Tokyo-based exchange Bitbank Noriyuki Hirosue asserts, the extra fee may be an easy price to pay for those who prefer to trust traditional financial institutions: