A fishy storm of blood! The cryptocurrency circle collapsed en masse, 220,000 people burst their positions! European and American concept stocks dive, what is the situation? Three major associations joined forces to block, Musk

Bitcoin no one bottomed out, or fell to $35,000-$38,000?

A fishy storm of blood! The cryptocurrency circle collapsed en masse, 220,000 people burst their positions! European and American concept stocks dive, what is the situation? Three major associations joined forces to block, Musk

The virtual currency market is once again in a foul mood.

Today, Bitcoin fell below the $39,000 mark, down more than 14% in 24 hours and back 40% from its all-time high set in April this year. In addition, ethereum fell below the $2,900 mark, down more than 17%; coin and dogcoin plunged about 22%.

As a result, U.S. blockchain concept stocks plunged in the pre-market, with Riot Blockchain falling more than 10%, Marathon Patent and Jia Nan Technology falling more than 8% and Coinbase falling more than 4%. Shares of Frankfurt-listed cryptocurrency trading platform coinbase plunged 6% to a new record low.

AICoin platform data shows that in the past 24 hours, cryptocurrency market capitalization evaporated nearly 2 trillion yuan, and the total market value shrunk to 11.62 trillion yuan. Bitcoin Home data shows that in the past 24 hours, another 220,000 people have exploded in the cryptocurrency market, with the amount of exploding positions reaching 12.2 billion yuan. hundreds of thousands of people have exploded across the network since May 12, with more than 50 billion funds going up in smoke.

It is worth noting that yesterday evening, three major associations of the Chinese financial industry jointly issued a document to resist virtual currency speculation and prompt relevant risks. Another news is that some users in the cryptocurrency circle recently reflected that after making money and selling coins to withdraw USDT, but the peer-to-peer transaction of USDT, the transfer process was pulled by the bank. In other words, after making “money” from coin speculation, the money could not really turn into RMB, so users started to panic.

Bitcoin plunges again, cryptocurrency market value evaporates 2 trillion

Today, the “big brother” Bitcoin twisted its head down and fell below $42,000, $41,000, $40,000 and $39,000 in succession, dropping more than 14% in 24 hours to a low of $38,600 per coin, down 40% from the historical high set in April this year.

AICoin platform data shows that the market value of cryptocurrency market evaporated nearly 2 trillion yuan in the past 24 hours, and the total market value shrunk to 11.6 trillion yuan.

Bitcoin Home data shows that in the past 24 hours, another 220,000 people in the cryptocurrency market blew their positions, with the amount of the blowout reaching 12.2 billion yuan. Since May 12, cryptocurrencies such as bitcoin, ethereum and coin have plummeted one after another, while dogcoin and shiba coin have skyrocketed and plummeted. According to incomplete statistics, hundreds of thousands of people have exploded across the network since the 12th, and more than $50 billion of funds have gone up in smoke.

William, chief researcher of OKEx Research Institute, a digital asset trading platform, said that the crypto asset market represented by bitcoin has been tumbling recently. Yesterday, there were signs of stopping the decline, but the voices of three major associations in the financial industry brought the market back to the downward channel.

William noted that bitcoin has been in a weak pattern recently for a number of reasons.

First, bitcoin’s maximum gain since last March has been more than 1600%, the market is bound to have accumulated a large number of profit-taking discs, institutions are even more profitable, profit-taking discs to cash out pressure increased.

Second, although the Federal Reserve has been insisting that it will continue to maintain the current ultra-loose monetary policy, but investors are concerned that inflation may get out of hand, the criticism of this is incessant, increasing the risk aversion of investors; Third, yesterday three associations jointly issued a statement.

Third, the three associations jointly issued a paper yesterday to prompt market risks, and market sentiment has given corresponding feedback.

Three major associations of the financial industry joined forces to block virtual currencies

Since the beginning of this year, the continuous rise of cryptocurrencies such as bitcoin and ethereum has caused the whole cryptocurrency circle to boil, and various stories of “speculation in coins” have been spread from time to time. Recently, the surge of various “small-cap” virtual currencies such as dogcoin and Shiba Inu coin, encouraged by Musk, the “king of the bandwagon”, has caused many people to rush in again. The turnover of the cryptocurrency exchange “Coinan” can even reach 1 trillion yuan a day, more than the Shanghai and Shenzhen exchanges.

The madness of the virtual currency market is staggering enough. Many people rushed in with the mindset of getting rich overnight, but returned with a negative overnight profit, ending up with no money back. To prevent the risk of speculation in virtual currency trading, Chinese regulators have stepped in again.

In the evening of May 18, China Internet Finance Association, China Banking Association and China Payment Clearing Association jointly issued an announcement on preventing the risk of speculation in virtual currency trading. The three associations require financial institutions, payment institutions and other members to effectively enhance their social responsibility, not to use virtual currencies to price products and services, not to underwrite insurance business related to virtual currencies or include virtual currencies in the scope of insurance liability, and not to provide other services related to virtual currencies directly or indirectly for customers.

The announcement points out that virtual currency is a specific virtual commodity, not issued by the monetary authorities, does not have the monetary properties of legal tender and compulsory, is not real money, and should not and cannot be used as money in circulation in the market.

Conducting exchange business between legal tender and virtual currency and between virtual currency, buying and selling virtual currency as a central counterparty, providing information intermediary and pricing services for virtual currency transactions, token issuance financing and virtual currency derivatives trading and other related trading activities violate relevant laws and regulations and are suspected of illegal fund raising, illegal issuance of securities, illegal sale of tokens and coupons and other criminal activities.

Virtual currency has no real value support, the price is extremely easy to be manipulated, and the related speculative trading activities have multiple risks such as false asset risk, business failure risk, and investment speculation risk. From the existing judicial practice in China, virtual currency trading contracts are not protected by law, and the consequences and losses caused by investment transactions are borne by the relevant parties.

Consumers should enhance risk awareness, establish the correct investment concept, do not participate in virtual currency trading speculation activities, beware of personal property and rights and interests damage. They should cherish their personal bank accounts and not use them for virtual currency account top-ups and withdrawals, purchase and sale of relevant transaction top-up codes and transfer of relevant transaction funds to prevent illegal use and leakage of personal information.

On the same day that the three major associations of the financial industry issued their documents, Inner Mongolia issued a notice on the establishment of a reporting platform for virtual currency “mining” enterprises, which allows the public to report on four types of participants such as virtual currency “mining” enterprises and enterprises that provide services such as venue leasing for enterprises engaged in virtual currency “mining”.

Tesla CEO Musk “mutiny”

The “defections” of Tesla CEO Musk, the “king of the belt” of the cryptocurrency circle, are considered by the market as one of the reasons for the recent plunge in cryptocurrency prices.

Since this year, Musk has frequently touted cryptocurrencies such as bitcoin and dogcoin on social media platforms, causing the prices of these cryptocurrencies to skyrocket. Among them, Bitcoin touched a peak of $648.43 million per coin, up more than 70% from the beginning of the year; Dogcoin even rose 260 times in half a year.

However, in the morning of May 13, a major piece of negative news came from the cryptocurrency world. Musk announced on social media that Tesla was suspending acceptance of Bitcoin as a payment method due to concerns about the environmental issues caused by mining. This comes less than two months after Tesla announced that it would accept bitcoin payments.

In the statement, Tesla expressed concern about the increased use of fossil fuels, particularly coal, during bitcoin mining and trading. Cryptocurrency is a good idea on many levels, and the company believes there is a bright future for the space, but that vision cannot be built on great damage to the environment. Tesla has also stressed that it will not sell any of its bitcoin holdings and will reaccept this payment method when the mining process adopts more renewable energy.

The cryptocurrency market immediately plummeted on the above news. Bitcoin fell more than $10,000 at one point, down nearly 15% in 24 hours. Ether fell more than 10% intraday, Ripple fell more than 17%, Shiba coin plunged nearly 40% intraday, and Dogcoin fell nearly 17%. 302,500 people blew up in the cryptocurrency market in 24 hours, and the amount of the explosion exceeded 23.8 billion yuan.

In the early morning of May 17, Musk hinted in another tweet that Tesla may have sold its remaining bitcoin holdings, and immediately Bitcoin plunged more than 10% to a low of $42,212; that morning, Musk posted a clarification that Tesla did not sell any bitcoin. Once the news came out, bitcoin briefly rose and pulled up $2,500, but failed to recover lost ground.

Today, investors throughout the cryptocurrency world must keep a close eye on Musk’s tweets, as his cloudy moods and erratic statements are dominating the cryptocurrency market trends and occasionally triggering a spike or plunge in related virtual currencies.

David Portnoy, an American internet speculator and founder of the sports blog Barstool Sports, accused Musk of manipulating the cryptocurrency market, “The man pulls levers like a wizard in Oz, and everyone is tracking his every move – he makes dogcoins rise, he makes Bitcoin crash to the ground. Dogshit!”

Yanxi Gu, founder of Power Research Consulting and a researcher in the blockchain and crypto digital asset industry, said Musk has a very strong personal influence and so can influence a lot of people on Bitcoin and on buying and selling decisions on dogcoin, “If an investor buys and sells based on Musk’s views, then there is a good chance that he will become a victim again. Because Musk’s views are subject to change, he’s no different than any other trader in that regard.”

Data shows that since Musk’s “defection,” in just a few days, bitcoin has fallen by more than $16,000 per piece, a drop of nearly 30%.

Bitcoin No One’s Bottoming Out, Or Falling to $35,000-$38,000?

After Musk’s tweet caused the price of bitcoin to plummet, bitcoin options traders are betting that the price of bitcoin will fall below $40,000 next month. However, bitcoin’s decline has come faster than expected, and in today’s session, it has fallen below the $40,000 per coin mark for the first time since Feb. 8.

Pankaj Balani, CEO of crypto derivatives exchange Delta, noted that on Tuesday, puts at the $40,000 price level were trading very heavily. Investors are reducing the level of call option purchases, indicating they are pessimistic about the outlook for bitcoin. In previous declines, we have seen little change in market sentiment,” he said. And this time, we’re seeing a change in sentiment. We’re not seeing any signs of a bottom. The consensus seems to be that bitcoin has fallen pretty sharply, and it’s probably going to fall even more. So, the $35,000 to $38,000 range is the range that most traders are looking at.”

Balani noted that the trend in the options market suggests that bitcoin will fluctuate between $35,000 and $50,000 through June.

Posted by:CoinYuppie,Reprinted with attribution to:https://coinyuppie.com/a-fishy-storm-of-blood-the-cryptocurrency-circle-collapsed-en-masse-220000-people-burst-their-positions-european-and-american-concept-stocks-dive-what-is-the-situation-three-major-associations-j/
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