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Russia May Legalize Crypto Trading Next Week. BTC May Surge if More Traders Join In

Russia is preparing for a decisive moment in its economy: the possible legalization of crypto trading.

As reported by Ethereum World News on February 27, 2019 Russian President Vladimir Putin ordered that by July 1, 2019, the country’s lawmakers should have ready a set of “Federal laws aimed at the development of the digital economy, including determining the procedure for conducting civil law transactions in electronic form, as well as regulating digital financial assets and attracting financial resources using digital technologies.

Vladimir Putin. President of Russia
Vladimir Putin. President of Russia

According to a report by the Parliamentary Gazette, Russia’s Ministry of Finance and the Russian Central Bank are working on this issue, and already have two draft laws ready and although trading would be legalized, what is still being discussed is the juridical state of possession and use of cryptocurrencies as means of payment since the Central Bank opposes their legalization.

“This rule prohibits barter transactions between legal entities and individuals, the subject of which is the exchange of cryptocurrency. It turns out that the initiative defines the token and cryptocurrency as securities” Said Nina Efimova, senior lecturer at the Department for Legal Regulation of Economic Activities of the Financial University under the Government of the Russian Federation

These laws also loosen the state’s approach to mining. For now, it seems that they will be more permissive with domestic miners who “conduct activities to mine cryptocurrencies that do not fall under the criteria of industrial mining.

Russia May Bring Good News to the Whole Crypto Ecosystem

Eventual legalization of trading could have a positive impact not only on the Russian economy but on the entire ecosystem. Russia is a leading country in Bitcoin trading, however, a strong anti-cryptocurrencies policy has damaged not only the credibility of these technologies but also the motivation of the population to take part in crypto trading.

These laws could be the first step towards a more
crypto-friendly legal framework that introduces more people into the world of
cryptocurrencies, strongly impacting the value of the token by increasing
demand considerably.

The Russian government has issued no major statements, however, the community is in expectation. The volume of trading in rubles has maintained an increasing trend throughout the year, going from 772 Million Rubles to 1.2 Billion Rubles, however, the volume in Bitcoins has decreased, going from 2821 BTC to 1929 so far this year.

Trading Volume in BTC
Volume in BTC
Trading Volumen in Russian Rubles
Volume in Rubles

The post Russia May Legalize Crypto Trading Next Week. BTC May Surge if More Traders Join In appeared first on Ethereum World News.

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Bitcoin (BTC) Price Analysis: Closing in on Major Support Zone

Bitcoin had a pretty steep drop in the past 24 hours, taking price close to the long-term floor around $6,000 once more. A bounce off this area could lead to another test of nearby resistance levels or even stronger bullish momentum as many are hoping to buy on dips.

The 100 SMA is still above the longer-term 200 SMA to confirm that the path of least resistance is to the upside. In other words, the uptrend is more likely to resume than to reverse. However, price has fallen below the moving averages to reflect a bit of bearish momentum.

RSI is indicating oversold conditions or that sellers are feeling exhausted, and turning higher could encourage buyers to return. Similarly stochastic looks ready to pull up from oversold levels and reflect a return in bullish momentum.

Bitcoin has had a rough ride in the past few days, owing mostly to a set of negative updates. For one, it has been reported that Goldman Sachs might ditch its plans to offer a bitcoin trading desk. Although this was dismissed as “fake news” by its CFO during a speech, the remarks weren’t enough to restore investor interest.

Reports that ShapeShift is adding registration requirements and that Kraken is planning layoffs and a shutdown in some operations also fueled the bearish fire. Kraken also dismissed these rumors but bitcoin was unable to pull up significantly.

Traders could return their focus to pending bitcoin ETF applications from here, although the sentiment has been dampened recently. Recall that the SEC is also reviewing its earlier decision to reject a few applications but has not specified when the review period would end. A positive decision may be what bulls are hoping to get in order to sustain the anticipated rebound for the year.

The post Bitcoin (BTC) Price Analysis: Closing in on Major Support Zone appeared first on Ethereum World News.

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Bitcoin (BTC) Price Analysis: More Bullish Confirmation

Bitcoin continues to hover around the resistance of its rising wedge formation and might be due for an upside break. After all, the 100 SMA is starting to cross above the longer-term 200 SMA to signal that the path of least resistance is to the upside.

In other words, resistance is more likely to break than to hold. In that case, bitcoin could be in for a steeper climb, possibly the same height as the rising wedge pattern. This spans $6,000 to around $7,400 so the resulting rally could be at least $1,400 in size.

However, RSI has been near overbought territory for quite some time and may be due to head back down. This could indicate a return in selling pressure and a dip to the wedge support just above the $7,000 handle. Stochastic is also starting to head lower after hitting overbought levels to indicate that buyers are taking a break.

Bitcoin price managed to stay supported on the lack of negative updates from the industry last week. There were also plenty of key developments in other altcoins, keeping cryptocurrency investors in an optimistic mood.

Besides, the move past the technical $7,000 barrier was enough to encourage bulls to stay in the game. Many believe that this could be the chance for bitcoin to resume its strong rebound until the end of the year, possibly hitting record levels or surpassing them.

Still, traders are on edge when it comes to the SEC decision on bitcoin ETF applications since this could be the next big catalyst. Approval could mean stronger volumes and activity for the months ahead, which might spur even more gains for bitcoin and its peers.

At the same time, the improvement in overall market sentiment on account of geopolitical developments also lifted appetite for risk, which was bullish for cryptocurrencies. Troubles in emerging markets also render bitcoin as an alternative means of storing value.

Girl in a jacket


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Bitcoin Trading: e-bike Business Owner’s Account Shut Down by High Street Banks.

Scott Snaith, the owner of 50cycles – an e-bike company, recently had his bank accounts frozen by two prominent banks in the United Kingdom. Snaith is accusing both banks of discriminatory practices due to his involvement in cryptocurrency trading. The case follows a pattern of similar occurrences in the UK and Ireland.

Between HSBC and Barclays

According to iNews, Snaith had two personal and one business account blocked by HSBC and Barclays earlier in August. Snaith is adamant that the account freezing carried out by both banks was due to his cryptocurrency trading activities. This conclusion is based on the fact that his accounts were shut down merely hours after exchanging Bitcoin for fiat money via a registered P2P trading platform.

Snaith believes that the action taken by both banks constitute financial discrimination, saying:

My two personal bank accounts and business account were frozen for using a well-known Bitcoin trading site. No unlawful activity has taken place but just because the word ‘Bitcoin’ was mentioned my accounts were locked instantly. A ‘senior fraud advisor’ then closed my complaint off – leaving me with no choice but to take the issue to the Financial Ombudsman for appeal.

Image result for scott snaith 50cycles

After a vociferous complaint from Snaith, HSBC reversed the freeze order, but Barclays refused to do the same. The 50cycles owner says he will no longer bank with Barclays as the situation has even led to him losing a member of staff due to his inability to pay salaries. According to Snaith, UK banks are anti cryptocurrency and are doing their best to frustrate the nascent industry.

Bitcoin Discrimination

The UK isn’t the only place with widespread complaints of discriminatory practices by banks against cryptocurrency firms. In June, Bitcoin brokers in Ireland accused local banks of systematically denying them access to banking services. The Bitcoin traders said the situation had forced many of them to either shut down their offices or move to friendlier locations.

In countries like India and Iran, their respective central banks have banned local commercial banks from even facilitating cryptocurrency transactions. Since late 2017, governments, as well as financial regulators, have enacted strict measures against alleged malpractices in the burgeoning virtual currency space.

What do you about the practice by High Street banks of closing accounts of people involved in cryptocurrency trading when no such prohibitions exist in the UK? Keep the conversation going in the comment section below.

Image courtesy of


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Bitcoin (BTC) Price Analysis: Just a Pullback?

Bitcoin encountered an area of interest at the $7,000 mark on its recent pop higher, which may have been just a shallow pullback from the slide. A continuation of the selloff could take bitcoin to the downside targets marked by the Fibonacci extension tool.

In particular, the 38.2% extension lines up with the swing low at $5,900 then the 50% extension is near the $5,600 psychological support. Stronger selling pressure could take it down to the 61.8% extension at $5,274 or the 78.6% extension at $4,825.70. The full extension is at $4,254.10.

The 100 SMA is below the longer-term 200 SMA on this time frame to confirm that the path of least resistance is to the downside. In other words, the selloff is more likely to continue than to reverse. Price moved briefly past the 100 SMA dynamic inflection point but has since moved back down.

RSI is pointing up, though, so there may be some bullish pressure left. In that case, bitcoin could make another attempt at pushing past the $7,000 area of interest to sustain the rally. Stochastic is also turning higher without reaching oversold levels, indicating that buyers are eager to return.

Bitcoin tumbled after the SEC rejected the bitcoin ETF applications from ProShares and Direxion this week, putting the industry a step back in terms of getting a thumbs up from regulators. Another set of ETF applications are awaiting their ruling next month.

Until then, bitcoin traders could hold out for the actual decision or any indication how it might turn out. Keep in mind, however, that the SEC has reiterated that the applications don’t show sufficient measures to rule out potential price manipulation and fraud, so the rest of the proposals might get similar concerns.

Still, it’s noteworthy how buyers continue to defend the long-term floor around $5,800 to $6,000 so another dip could see a bounce off this levels again.


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Bitcoin (BTC) Price Analysis: New Channel Forming!

Bitcoin continues to trend higher even as it sold off from the recent sharp rally. Price is testing support at the bottom of its ascending channel on the 1-hour time frame, and the Fib extension levels show upside targets.

The bottom of the channel lines up with a former resistance level that appears to be adding to its strength as a floor. This is also around the moving averages’ dynamic inflection points, although bitcoin has dipped below these levels slightly.

Still, the 100 SMA is above the longer-term 200 SMA to signal that the path of least resistance is to the upside. In other words, the uptrend is more likely to resume than to reverse. Then again, the gap between the indicators is narrow enough to suggest that a bearish crossover is also possible.

RSI is making its way out of the oversold area to indicate a return in bullish pressure. Stochastic is also pointing up to reflect that buyers are in control and could push bitcoin back up to the next upside targets. The closest one is the 38.2% extension at the $6,500 mark.

Stronger bullish pressure could take bitcoin up to the mid-channel area of interest near the 50% extension at $6,600 or the 61.8% extension at $6,664.70. The 78.6% extension is near the swing high at $6,800 and the full extension is at the top of the channel past $6,900.

Anticipation for the SEC decision on the ProShares bitcoin ETF application boosted price earlier on, but the rejection led to a swift retreat. The regulator disapproved two ETFs filed by ProShares that would track bitcoin futures contracts, another from GraniteShares, and five leveraged and inverse ETFs from Direxion.

This comes a few weeks after the SEC rejected the applications filed by the Winklevoss twins and ahead of another set of rulings due later in September. Many believe that this rejection is an indication of how their next decisions might turn out.


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Bitcoin (BTC) Price Analysis: Can More Bulls Join In?

Bitcoin bulls have charged past the $6,600 near-term resistance to push price to the $6,900 mark before pulling back. Applying the Fibonacci retracement tool on the latest swing high and low shows where more buyers could be waiting to join in.

In particular, the 61.8% Fibonacci level lines up with the broken resistance and the rising trend line connecting the lows since August 14. This is also just above the dynamic inflection points at the moving averages.

On the subject of moving averages, the 100 SMA is above the longer-term 200 SMA to indicate that the path of least resistance is to the upside. In other words, the uptrend is more likely to resume than to reverse.

However, RSI is already indicating overbought conditions and might be due to turn lower to signal a return in selling pressure. Stochastic hasn’t quite reached overbought territory yet but also looks ready to head south, so bitcoin might follow suit.

The pop higher earlier today is being pinned on anticipation for the SEC ruling on the ProShares bitcoin ETF application on August 23. Unlike the other applications shelved until the end of September, the regulator can no longer extend the ruling deadline on this one as it has been filed in December last year.

Approval could bring even more gains for bitcoin and its peers as this would build anticipation for a similar decision in the other applications. This could also mean more liquidity and increased activity for bitcoin trades. Denial, on the other hand, could force bitcoin to return its recent wins.

Risk sentiment is also a general factor to keep close tabs on as there has been a lot going on in terms of trade talks and geopolitical risks. Turkey appears to have taken the back seat for now and the central bank’s pledge to take action seems to have spurred a bit of calm.


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Bitcoin (BTC) Price Analysis: Another Bearish Break!

Bitcoin recently formed higher lows and found resistance at $6,600 to create an ascending triangle before breaking down. This signals that a downtrend is underway, likely the same height of the formation that spans $800.

The 100 SMA is still above the longer-term 200 SMA, though, so the path of least resistance is to the upside. This suggests that the breakdown could still prove to be a fakeout and bitcoin might still be able to climb back inside the triangle. Then again, price has fallen below both moving averages as an early indication of bearish momentum.

RSI has hit oversold conditions, though, so sellers might need to take a break from here and let buyers take over. Similarly stochastic is heading down but dipping into oversold territory to reflect bearish exhaustion and a possible return in bullish pressure. Price could simply pull back to the broken triangle bottom at $6,400 for a retest before resuming the drop.

Risk appetite appears to be in play in global financial markets so far this week as traders look forward to the talks between the US and China. This has lifted stocks and commodities, likely drawing investors away from cryptocurrencies for the time being. Of course the outcome of the talks could still change all that later in the week.

However, consolidation could also carry on as traders hold out for the SEC decision on the bitcoin ETF applications next month. Any hints on how their ruling might turn out could also push cryptocurrency prices around.

In the absence of any other catalysts, bitcoin traders could also take cues from overall market sentiment, although it’s not clear how it might react to changes in risk appetite. It is helpful to note that bitcoin and some of its peers were able to take advantage of capital controls in Greece a few years back, and the situation in Turkey is looking more or less similar.


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21-Year-Old Trader Prosecuted Over Bitcoin Money Laundering

A 21-year-old bitcoin dealer from California is being prosecuted for allegedly committing numerous counts of illegal money transmission and money laundering.

According to an announcement from the Department of Justice in the Southern District of California, Jacob Burrell Campos was ordered to be held without bail at a hearing on Friday in connection to the charges.

Based on a court filing against him entered on Aug. 8 and unsealed over the weekend, the prosecutors alleged that, from January 2015 to April 2016, Burrell sold about $750,000 worth of bitcoin to 900 individuals in the U.S. via his bitcoin exchange service.

The document said Burrell had not registered the exchange as a licensed money transmitter and intentionally failed to implement anti-money laundering measures. As such, he was accused of one count of illegal money transmission and one count of money laundering.

Further, the prosecutors said in order to fund his “illegal” bitcoin exchange, Burrell committed a total 28 counts of international money laundering. From February 2015 to February 2016, Burrell allegedly wired at least $900,000 in 30 transactions from his bank accounts in the U.S. to the Hong Kong-based crypto exchange Bitfinex via its account with the Cathay United Bank in Taiwan to buy bitcoin.

The transfers were allegedly conducted in an effort to avoid ID verification processes after Burrell’s trading account with U.S.-based crypto exchange Coinbase was closed, the document said.

The prosecutors said in the announcement:

“Burrell’s activities ‘blew a giant hole’ through the legal framework of U.S. anti-money laundering laws by soliciting and introducing into the U.S. banking system close to $1 million in unregulated cash.”

In addition, the defendant is also facing a further charge of structuring international instrument transactions to evade reporting, when he tried to smuggle around $1 million from Mexico into the U.S.

If Burrell is convicted on any of the money laundering charges, the U.S. government plans to forfeit “any property, real and personal, involved in such offense, and any property traceable to such property.”

Justice image via CoinDesk

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