After coming so close to breaking the $10,000 barrier for the first time since the start of the month, Bitcoin
BUY NOW bears came out in full force, dragging the price down by 10%. The flagship crypto has gradually recovered and is trading around $9,440 at press time.
Indian traders have more than just the Bitcoin price to worry about, however, after it emerged that the country is reigniting proposals to blanket-ban cryptos. Some key ministries in the Asian nation will be discussing Bitcoin’s future in the coming weeks.
The Fed’s Grim Outlook Pulls Bitcoin Down
Bitcoin looked set to finally hit $10,000, before taking a nosedive all the way down to $9,113. On some exchanges like Coinbase and BitMEX, the price fell as low as $9,049 and $9,012, respectively.
The drop came amid a grim outlook from the U.S. Federal Reserve, which resulted in a spectacular 6.9% drop for the Dow Jones Industrial Average (DJI), its highest since March.
The S&P 500 wasn’t spared either, recording a 5.3% drop, its biggest in three months. Fed chair Jerome Powell stated that it might take the U.S years to recover from the current economic crisis.
As BeInCrypto recently reported, we may not have seen the worst of it yet. Bitcoin could retrace all the way to $8,550, despite a slight recovery. A breach of this level could see it test $7,100, its 0.5 Fib level for the current uptrend.
On the bright side, despite the drop, Bitcoin’s dominance is on the up and up again.
Read the full analysis here and here.
India’s Crypto Debate
India’s crypto industry is not out of the woods yet, despite the Supreme Court’s favorable decision three months ago. New reports suggest that the country is reconsidering a blanket ban on cryptos.
India’s Ministry of Finance recently called for an inter-ministerial consultation on the possible ban. The initiative comes amid claims that many banks are still denying crypto exchanges access to basic banking services.
QuadrigaCX Was Bound to Fail
Almost 18 months after the death of its founder, new details have emerged that shed light on the running of the now-defunct QuadrigaCX crypto exchange. Gerald Cotten was reportedly operating the exchange like a Ponzi scheme. It was bound to fail.
The report by a Canadian regulator revealed that Cotten would withdraw funds and trade them on other exchanges. QuadrigaCX ceased maintaining its own books in 2016, and by 2018, it was using new deposits to settle older withdrawal requests.
Read about the rot at QuadrigaCX here.
Images courtesy of Shutterstock, TradingView and Twitter.
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As a leading organization in blockchain and fintech news, BeInCrypto always makes every effort to adhere to a strict set of editorial policies and practice the highest level of journalistic standards. That being said, we always encourage and urge readers to conduct their own research in relation to any claims made in this article. This article is intended as news or presented for informational purposes only. The topic of the article and information provided could potentially impact the value of a digital asset or cryptocurrency but is never intended to do so. Likewise, the content of the article and information provided within is not intended to, and does not, present sufficient information for the purposes of making a financial decision or investment. This article is explicitly not intended to be financial advice, is not financial advice, and should not be construed as financial advice. The content and information provided in this article were not prepared by a certified financial professional. All readers should always conduct their own due diligence with a certified financial professional before making any investment decisions. The author of this article may, at the time of its writing, hold any amount of Bitcoin, cryptocurrency, other digital currency, or financial instruments — including but not limited to any that appear in the contents of this article.
Source: https://beincrypto.com/cryptocurrency-news-roundup-for-june-12-2020/
