Skip to content

XTB TRADEBEAT

Zimbabwean central bank bans all crypto activity

Summary:

  • The Reserve Bank of Zimbabwe bans all activities related to cryptocurrencies
  • Cryptocurrency conferences still catch people’s eye despite a price slump we have seen this year
  • Individuals find new ways to bypass the crypto bank in Pakistan

The past week proved to be a weak one for cryptocurrency traders as major digital coins lost ground. Over the weekend we witnessed a shy try to bounce back, however, it fizzled out. In terms of the latest news the Zimbabwean story seems to deserves particular attention after an unprecedented step taken by the country’s central bank. The Reserve Bank of Zimbabwean issued a statement named "Circular to Banking Institutions: Virtual Currencies" where it banned all cryptocurrency-related activity in the African nation providing local companies with a two month grace period. The document focuses on the risks involved with virtual currencies and the need to ensure strict adherence to sound risk management. This move seems to be extraordinary given hyperinflation the country has been struggling for a long time. Do notice that there were some assumptions the country could adopt the Dash-based system so as to cope with unbridled price growth.

link do file download linkBitcoin failed to retain all its gains it made yesterday, and therefore one may suspect the price could struggle to come back above $8640. Once the price breaks below its 50DMA it would pave the way for a deeper pullback toward $6500. Source: xStation5

Cryptocurrency conferences still catch people’s eye despite a price slump we have seen this year

Bitcoin has lost a chunk of its gains thus far this year, but despite it people are still deeply interested in the blockchain technology, according to CoinDesk data. The company offers the data concerning attendees of cryptocurrency conferences whose a count is rising year by year as depicted at the chart below. The Coindesk’s Consensus conference which has kicked off this week is estimated to totalled 4000+ attendees even as a single ticket is not cheap and costs $2000. Thus, one may conclude that virtual currencies are still profitable businesses as this year’s conference, if forecasts realized, should earn more than $8 million.

link do file download linkCoindesk’s Consensus conference is drawing more attendees over the years. Source: CNBC

Individuals find new ways to bypass the crypto bank in Pakistan

Pakistan introduced a ban on virtual currency activities last month following a similar measure implemented by the Reserve Bank of India. However, individuals have reportedly found some ways to bypass those restrictions allowing themselves to trade digital currencies despite the official prohibition. According to Danyal Manzar, CEO of the Pakistani first Bitcoin exchange Urdubit, those who want to trade virtual currencies will continue to do so because alternative ways still exist and new ones will be invented.

link do file download linkLitecoin also failed to break its resistance at $175 and similarly to Bitcoin could continue moving lower over the next hours. If so, one could look for an increased demand in the vicinity of $110. Source: xStation5

Disclaimer

This article is provided for general information purposes only. Any opinions, analyses, prices or other content is provided for educational purposes and does not constitute investment advice or a recommendation. Any research has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Any information provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it.

Past performance is not necessarily indicative of future results, and any person acting on this information does so entirely at their own risk, we do not accept liability for any loss or damage, including without limitation, any loss of profit, which may arise directly or indirectly from the use of or reliance on such information.