Bitcoin has been around for 11 years and has faced many ups and downs over the years as it is not backed by any government authority. As a result, several important factors influence the value of BTC. A cryptocurrency crackdown on bitcoin was announced in recent years. It has had an impact on the entire cryptocurrency industry at once and all of these effects are impressive.
Talking about the popularity of bitcoin, it is one of the most popular cryptocurrencies, which is worth considering under the user base. Bitcoin is digitized completely anonymously, with no government officers associated. This has worried many countries to trade bitcoin and keep investing in it. Trading software like some authentic apps is quite useful for your BTC campaign, which helps in achieving the results. If you are interested in bitcoin trading then you can click here
There are some significant implications of the Bitcoin (BTC) crackdown in the crypto industry which are discussed below.
China announces bitcoin crackdown
Many countries have gained considerable capital through bitcoin, and China is another country that has benefited immensely from the BTC industry. On the other hand, the US ranks first. In short, we talk about bitcoin attracting more of the population of China. The ever-increasing popularity of bitcoin is linked to financial authorities in China. Given the bitcoin change, the higher authorities out there have made many such drastic Verdict on bitcoin. Although, BTC is not banned for trade and investment purposes in China. Some high officials in China have completely banned BTC mining. Some financial institutions confer crypto services that have recognized BTC as a payment method. One of the main reasons China banned bitcoin was to aim for financial stability in the county’s economy.
Despite this, the crypto industry saw several effects of the BTC crackdown that were quite serious. Let us know for what reason they were.
Bitcoin deceleration
As you know bitcoin is one of the most popular and favourite cryptocurrencies and everyone believes that there is no other digital currency better than bitcoin. However, you will be acutely aware of the fact that many things are capable of affecting the value of bitcoins. For example, crypto protocol or regulation rules by a higher authority of the country. The example of the cryptocurrency crackdown saw a significant drop in the value of BTC that frightened Chinese investors. BTC had fallen 40% to 50% from its highest level this year since the digital currency crackdown.
The market value of BTC was seen at around $55,000 before the cryptocurrency suffered huge losses in the market. Although, after the digital currency crackdown, trading of BTC was initiated at an amount of $31,000. You may be acquainted given the matter that each crypto is received from the basic notion of BTC. Moreover, these altcoins can provide the path defined by BTC.
Referring to the bitcoin path, cryptocurrencies like Ethereum (ETH), and Dogecoin (Doge) saw a decline. Ethereum saw a drop of up to 43% and Dogecoin saw a drop of up to 40%. In short, the price of cryptocurrencies, including BTC, has seen a significant decline.
Bitcoin (BTC) Crackdown
Elon Musk is the co-founder of Tesla Motors and the SpaceX Foundation. The crypto industry has been very active for them. An announcement was made by Elon Musk, where it was reported that Tesla Motors has invested significantly more money in the bitcoin digital currency. It was also reported that Tesla Motors invested up to $1.4 billion in BTC. After that, after the announcement of Elon Musk, its price saw a lot of jumps. It was announced by Elon Musk that they will start accepting bitcoin cryptocurrency as a payment method at Tesla Motors.
