- Bitcoin declines below $9k extending its downward move following the SEC statement and new remarks from Twitter
- BTC sellers could even try to test a crucial demand zone a notch beneath $6k
- More than 20% of wealth advisers and private bankers taking part in an annual survey said their clients had increased exposure to cryptocurrencies
Bitcoin is continuing to fall following the harsh statement from the US Securities Exchange Commission we wrote about yesterday. Let us remind that the SEC announced that all digital assets trading platforms will have to register with the federal agency.
Furthermore, Twitter added fuel to the flames reporting that it’s taking measures aimed at preventing cryptocurrency-related accounts from running scams on its platform. In its official statement the company wrote "we’re aware of this form of manipulation and are proactively implementing a number of signals to prevent these types of accounts from engaging with others in a deceptive manner". Keep in mind that the Twitter’s major competitor Facebook already banned ads promoting financial products and services tied to cryptocurrencies and initial coin offerings (ICOs).
Bitcoin is set to witness a hideous week after breaking below a $9k mark. Do notice that the yesterday’s candlestick closed below $9350 allowing the price to continue dropping. If so, the ongoing downward move could reach a crucial place localized at around $5500. A breakout of this level might be hard to do at least for the first time as buyers could be incentivized to enter the market at the better price. Source: xStation5
If the this week’s candlestick closes at around the current levels, it would result in the largest weekly drop since December underlining gargantuan bearish momentum and heralding subsequent moves to come. Source: xStation5
Ending the trading week it’s worth mentioning curious results of an annual survey carried out among wealth advisers and private bankers by Knight Frank. According to the survey’s fallout as much as 21% of respondents reported their clients had increased investments in cryptocurrencies in 2017. It needs to add that the survey embraced over 500 private bankers and wealth advisers who jointly represented roughly 50k people with a combined wealth exceeding $3 trillion.
Taking a look at the geographical breakdown Latin America was the region where the difference between respondents reporting an increase in exposure to virtual currencies and those reporting a decrease in the last year was the highest. In defiance of conventional wisdom North America had much less affluent people increasing their investments in cryptocurrencies let alone Asia being viewed as the heart of the digital currency industry. It could have stemmed from the sharp standing taken by some Asian governments including South Korea on cryptocurrencies.
What’s interesting despite an outstanding increase in cryptocurrencies capitalization rich people kept preferring to invest in equities, properties as well as keeping a chunk of their wealth in cash which seems to understandable given expectations as to interest rates. Source: marketwatch.com
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