Bitcoin Today: Bithumb is the reason of recent growth
Price
As we expected 7000 – 7300 zone showed its resistive manner and pushed the price downwards, sending it into a lateral movement along the 7000 level. If bitcoin won't gain support in nearest time the recent trend will go into a correction and reach at least to the 6800 level. Let’s not forget, that until price will be holding firmly above 7300 the overall pattern looks like a correction of the downward trend, so it is logical that traders are afraid to bay at the cornerstone levels. From the fundamental point, the markets still rely on the SEC vs Bitcoin ETF funds relationships, which is crucial for institutional investors, so it is highly possible that BTCUSD will continue to drow a sideways pattern until next SEC announcements, or at least meeting of European Finance Ministers on Bitcoin regulation scheduled for September 7. For today: 6800 – local supportive level; 100-days EMA will serve as a resistance in case of upward impulses.
Today forecast
Trading in the 6800 – 7300 zone. Breakthrough above 7300 – bullish signal.
Latest news
As we expected 7000 – 7300 zone showed its resistive manner and pushed the price downwards, sending it into a lateral movement along the 7000 level. If bitcoin won't gain support in nearest time the recent trend will go into a correction and reach at least to the 6800 level. Let’s not forget, that until price will be holding firmly above 7300 the overall pattern looks like a correction of the downward trend, so it is logical that traders are afraid to bay at the cornerstone levels. From the fundamental point, the markets still rely on the SEC vs Bitcoin ETF funds relationships, which is crucial for institutional investors, so it is highly possible that BTCUSD will continue to drow a sideways pattern until next SEC announcements, or at least meeting of European Finance Ministers on Bitcoin regulation scheduled for September 7. For today: 6800 – local supportive level; 100-days EMA will serve as a resistance in case of upward impulses.
Today forecast
Trading in the 6800 – 7300 zone. Breakthrough above 7300 – bullish signal.
Latest news
- Bithumb could be a reason for resent growth
The market is dominated by the idea the recent bullish trend, that in view of the absence of serious fundamental indicators, was provoked by the inflow of funds from the recently closed to new users the largest Korean exchange Bithumb.
Seoul-based Bithumb was forced to shut registration by its banking partner Nonghyup Bank after losing the equivalent of $30 million in a June hack. The world's fifth largest exchange reopened account registrations again this week, according to Korean local media outlet Yonhap News.
"All of this buying is coming from Asia," said Brian Kelly, founder and CEO of BKCM. "The biggest news in the market right now is that South Korea exchanges are coming back online."
Bithumb's daily trading volume had dropped to around $72 million at one point in August after the NH Bank news. By Tuesday, its 24-hour volume had recovered to $362 million, according to data from CoinMarketCap.com.
South Korea is the fourth largest market for bitcoin despite some tightening by regulators earlier this year. The country's top financial watchdog said in June it would require domestic banks to monitor all exchange accounts in compliance with Korean anti-money laundering laws.
South Korea's justice minister said in January that the government was considering a shutdown of cryptocurrency exchanges but got major pushback from retail investors. A petition asking the government to hold back on "unreasonable" regulation got 280,000 signatures following that announcement.
