Since early September, Bitcoin price has struggled to recover beyond $4500 due to uncertainty surrounding the Chinese cryptocurrency exchange market and SegWit2x.
Over the last week, Bitcoin has seen some major price swings. At one point prices almost reached $4500, but the pullback was as strong as the rally, bringing the price to as low as $4100. And now, just after two days, the price once again reached $4400 mark.
If analysts are to be believed, the Chinese government may resume cryptocurrency trading. As per CnLegder, Xinhua, a state-owned news publication in China reported:
“Virtual currencies have become the top choices of underground economies. We shall adopt “zero-tolerance policies” towards crimes hidden underneath and take measures such as record-keeping, licensing, AML processes, real-name, limiting large transactions.”
Although China might resume cryptocurrency trading in the future, it is still too early to predict when it will happen. What’s really holding back Bitcoin’s continuing growth is uncertainty around SegWit2x.
Several businesses have pulled out from the SegWit2x NYA agreement and the plan of the Digital Currency Group-led consortium of companies to carry out a hard fork in November.
According to Tuur Demeester, a prominent bitcoin investor, analyst, and editor in chief at Adamant Research, Bitcoin price would surpass $5000 if support towards SegWit2x declines in the next few days.
The recent rally could be attributed to Taiwan’s decision to adopt a friendly stance toward cryptocurrency usage. Within the past 24 hours, the combined value of all cryptocurrencies has grown by nearly 4%. After entering the day at $143.4 billion, the total crypto market cap has risen by more than $4 billion and now sits at $147.4 billion.
Top Stories from the Crypto World
1. China will likely resume crypto trading
In the coming months, China will likely resume cryptocurrency trading with necessary Know Your Customer (KYC) and Anti-Money Laundering (AML) systems in place.
According to a report by Xinhua, Chinese government is concerned with criminal activities surrounding cryptocurrencies such as Bitcoin.
The report emphasized that cryptocurrencies have become the “top choice” for underground economies and revealed that the government will take appropriate measures to regulate the market by implementing a licensing program and strict AML systems.
2. Mark Cuban gets on Bitcoin boat
After criticising Bitcoin time and again in the past, Mark Cuban, a tech billionaire investor and television personality, recently claimed that he sees Bitcoin and its underlying Blockchain or distributed ledger technology (DLT) as the way of the future.
He also countered the various claims that the leading digital currency is not real and has no intrinsic value. In an interview with Bloomberg, Mark said:
“…it’s interesting because I think there are a lot of assets that have values based on just supply and demand. You know, most stocks, they don’t have any intrinsic value, no true ownership rights, no voting rights, you just have the ability to buy and sell those stocks. They’re like baseball cards and I think Bitcoin is the same thing…”
3. Singapore’s central bank plans to regulate Bitcoin payments
Singapore’s central banking authority, the Monetary Authority of Singapore (MAS), said that they are now working to create a new regulatory framework for cryptocurrency payment services, in order to ensure they are not misused for money laundering and terrorism financing.
In the statement, Shanmugaratnam – deputy prime minister of Singapore – clarified that, while MAS has yet to produce a targeted regulatory framework uniquely for ICOs, it will do so if deemed necessary.