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Analyst: Bitcoin Ban Extremely Unlikely Post-U.S. Treasury’s Comment

U.S. Treasury Secretary: Bitcoin, Crypto Are “National Security Issues”

On Monday, the U.S. Treasury Secretary made it clear that he is aware of Bitcoin, cryptocurrencies, and Libra, especially in regards to what issues they pose to society and traditional finance.

Echoing Donald Trump’s stances to a T, Steven Mnuchin noted that “cryptocurrencies such as Bitcoin” have been “exploited” to facilitate illicit activity worth billions. Mnuchin claims that said criminal activities that are known to involve Bitcoin and other decentralized digital assets include “tax evasion, extortion, ransomware, [the sale of] illicit drugs, and human trafficking”. With this in mind, the Treasury Secretary dubbed cryptocurrencies a “national security issue”, keeping his statement blunt.

He adds that companies dealing with this asset class should comply by the rules that many “traditional financial institutions” abide by, namely those involving anti-money laundering, countering the financing of terrorism, and money transmitting and servicing. Mnuchin explained:

“The United States Treasury has been very clear to Facebook, to Bitcoin users, and to other providers of digital financial services that they must implement the same [rules] as traditional financial institutions. The rules governing money-service providers apply to physical and electronic transactions alike.”

While these comments seem bearish, there may be a silver lining. As crypto-friendly economist Alex Kruger notes, the odds of there being a U.S. “Bitcoin ban dropped from extremely low to almost zero” following this press conference. Kruger dubbed Mnuchin’s comments a “nothing burger”, presumably because what was said could be classified as givens.

Mnuchin’s tacit assurance that this industry should be heavily regulated, not banned, comes after talk of an all-encompassing ban on Bitcoin and altcoins arose in response to Trump’s tweets on cryptocurrency.

Trump’s Thoughts on Crypto

Per previous reports from Ethereum World News, the American president tried to dismantle the value proposition of not only decentralized cryptocurrencies — such as and namely Bitcoin — but Facebook’s Libra too.

Trump quipped that he doesn’t believe that digital assets are money, adding that they are also known to be very volatile and “based on thin air”.  The President went on to argue that cryptocurrencies can and do “facilitate unlawful behavior”, citing its use in the drug trade and “other illegal activity”.

He even took some time to poke the Libra crowd, claiming that the association should abide by “all Banking Regulations”, and that the U.S. Dollar should be the world’s strongest currency.

Might Just be Bearish for Bitcoin

Sure, maybe there isn’t a ban on the horizon. But, should cryptocurrency investors be worried after these comments. According to Kruger, it’s entirely possible. He writes that Libra’s chances of actually coming to fruition seem “toast”, and institutions may be disincentivized to foray into the cryptocurrency space more than they already have.

Photo by Mikhail Pavstyuk on Unsplash

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US Treasury Secretary Shares Trump’s Concerns on Crypto, Stresses Compliance

The United States Treasury Secretary echoed President Trumps’ recent tweets on crypto as a speculative asset largely used to fuel illegal activity.

United States Treasury Secretary Steven Mnuchin shares President Donald Trump’s concerns on the use of cryptocurrency to finance illicit activity, and stresses the role of enforcing FinCEN regulations with respect to crypto-dealing organizations. Mnuchin made his remarks at a press conference on July 15.

Mnuchin called the use of cryptocurrencies to fund illicit activity a national security issue, saying that billions of dollars have been used for this purpose:

“Cryptocurrencies such as Bitcoin have been exploited to support billions of dollars of illicit activity, like cybercrime, tax evasion, extortion, randomware, illicit drugs, human trafficking … This is indeed a national security issue.”

In response to a question from the press, Mnuchin further commented on the ostensible role of crypto as a means to finance crime, saying:

“I think to a large extent, these cryptocurrencies have been dominated by illicit activities and speculation.”

Secretary Mnuchin also echoed the Presidents’ latest Twitter posts on cryptocurrencies, saying: “As the President has said: ‘Bitcoin is highly volatile and based on thin air’” and “Treasury takes very seriously the role of the U.S. dollar as the world’s reserve currency.”

As previously reported by Cointelegraph, President Trump tweeted out a series of anti-crypto and anti-Bitcoin remarks on July 12, following his “Social Media Summit” for conservative personalities. Trump remarked that the value of crypto is “highly volatile and based on thin air” and that they can “facilitate unlawful behavior.”

According to Mnuchin, the Treasury has stressed — to Facebook and Bitcoin (BTC) users among others — that digital financial services are bound by the same Anti-Money Laundering and Combating the Financing of Terrorism policies as traditional institutions such as banks.

Additionally, he said that any crypto transmitters must comply with the Bank Secrecy Act (BSA) and register with the Financial Crimes Enforcement Network (FinCEN): a bureau of the Treasury. FinCEN is the federal regulator that implements the BSA in practice, and has authority over all money service transmitters — including cryptocurrency projects such as Libra.

Mnuchin also established the Financial Stability Oversight Council’s Working Group on Digital Assets, which reportedly includes key regulatory players such as the SEC, CFTC, and the Fed in addition to FinCEN. The idea of this group is to mitigate purported regulatory risks associated with cryptocurrencies.

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Crypto Researcher: Trump Could Ban Bitcoin, But it’s Unlikely

Donald Trump Name Drops Bitcoin

In a three-part thread, Donald Trump lambasted cryptocurrencies, even setting his sights on Bitcoin. The American leader tried to dismantle the value proposition of not only decentralized cryptocurrencies — such as and namely Bitcoin — but Facebook’s Libra too.

Trump quipped that he doesn’t believe that digital assets are money, adding that they are also known to be very volatile and “based on thin air”.  The President went on to argue that cryptocurrencies can and do “facilitate unlawful behavior”, citing its use in the drug trade and “other illegal activity”.

He even took some time to poke the Libra crowd, claiming that the association should abide by “all Banking Regulations”, and that the U.S. Dollar should be the world’s strongest currency.

A BTC Ban Possible?

This sudden tweetstorm left many wondering, is Trump looking to ban Bitcoin? And more importantly, would it even be possible for the American leader to take such drastic action?

According to one prominent crypto researcher, no and yes. In a recent Twitter thread, Alex Kruger, an economist and known industry analyst, laid out his thoughts on the potential for a ban of Bitcoin and maybe other cryptocurrencies in the United States.

Via the 16-part thread, Kruger explained that technically, the U.S. president cannot ban code, which Bitcoin is. What Trump can do, however, is to ensure that the government targets fiat onramps into this ecosystem. For instance, U.S. financial regulators could determine cryptocurrencies, even Bitcoin, too risky to be sold to retail investors; and the President could even issue an executive order disallowing those from dealing with BTC, but he would need to find a valid reason in the Constitution or legislature.

Kruger sees three main reasons why the government would want to crack down on the cryptocurrency. 1) cryptocurrency represents a clear threat to the banking system, as made evident by the anti-Libra stance by governments the world over; 2) digital assets hurt Washington’s ability to impose economic sanctions; 3) as Trump stated, Bitcoin and its ilk can be used to facilitate illicit activity, like laundering proceeds of contraband sales and evading taxes.

Despite these reasons to ban cryptocurrency, Kruger notes that such a step would be unlikely. Even if a ban manages to occur, the economist notes that the ban would be overturned.

This aside, Jeremy Allaire, the chief executive of the Goldman Sachs-backed Circle, suggested that Trump’s tweets — yes, tweets — are potentially the “largest bull signal” for Bitcoin of all time. As he explains, no longer is Bitcoin an asset for the fringe. Now, it exists in the mainstream, as more likely than not, this single Twitter thread, exposed to upwards of 68 million Twitter users, will trigger global political and economic discussion on the matter. And by simple virtue of curiosity and the so-called “Lindy Effect”, this space could grow rapidly.

Photo by Helloquence on Unsplash

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Trump Banning Bitcoin is Feasible But Highly Unlikely, Says Economist

Even if he crushed exchanges, making Bitcoin illegal would likely see rejection by lawmakers.

United States president Donald Trump would cause a Bitcoin (BTC) price crash if he banned it, but the law would likely prevent him, economist and trader Alex Krueger concluded on Twitter July 15.

Trump, who announced his distaste for cryptocurrency in general last week, initially failed to impact market sentiment. A subsequent breakdown over the weekend sent Bitcoin below $10,000.

Publishing a dedicated thread on the chances of Trump banning the cryptocurrency, Krueger argued he could theoretically have some success.

By targeting entry and exit points for retail and institutional investors, the president would turn Bitcoin into an isolated, more illiquid asset as it is used by lay consumers. 

“Trump could also go after fiat onramps, by simply forbidding banks to service crypto exchanges, or by requiring banks to not service exchanges unless conditions XYZ are fulfilled (and make that practically impossible),” Krueger summarized.

In reality, however, Trump would need to convince Congress of the need to ban Bitcoin, and lawmakers could overturn his demands, even if they occurred via an executive order or similar emergency measures.

A ban is thus feasible but the probability of it becoming law is extremely low, Krueger concluded. 

His comments came several days after mainstream media suggested Trump had inadvertently made Bitcoin a campaign issue for the upcoming 2020 presidential elections. 

As Forbes noted, competing hopefuls, notably Andrew Yang, have long held an opposing view — that Bitcoin is in fact something to be embraced at national policy level.

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Hodler’s Digest, Top Stories, Price Movements, Quotes and FUD of the Week

Trump tells the world what he thinks of Bitcoin, Facebook vows to cooperate with Congress on Libra, and an angry mob descends on Tron’s office in Beijing.

Top Stories This Week

Trump tweets opposition to crypto, specifically Libra and Bitcoin

Shrinking violet Donald Trump doesn’t often share his views, so it was refreshing to see him share an opinion for once on Twitter. The United States president declared that he isn’t a fan of Bitcoin and other cryptocurrencies — telling his 61.9 million followers they fuel unlawful behavior. Trump also had Libra in his sights during the three-tweet tirade and warned Facebook’s upcoming digital currency will have “little standing or dependability.” He rounded off by reminding his followers that there’s only one real currency in America, the U.S. dollar (and this really came as a surprise, as I thought it was the Vietnamese dong.) Bitcoin prices actually reacted positively to Trump’s proclamations, as it’s unclear whether this amounts to a policy of any kind. His tweets came two days after Libra co-creator and Calibra head David Marcus assured Congress that Facebook is willing to cooperate with its hearings — even though politicians’ pleas to halt the project seem to have fallen on deaf ears at Menlo Park.

U.S. SEC and FINRA issue statement on crypto custody issues

Rumblings from other U.S. institutions did have the potential to spook crypto users this week. In a joint statement on Monday, the Securities and Exchange Commission and the snappily named Financial Industry Regulatory Authority said they are unconvinced that crypto custodians can comply with strict rules designed to ensure that assets can be returned to customers if a company collapses. Tuesday saw the Internal Revenue Service raise eyebrows when leaked documents suggested the taxman planned to force tech giants to check download histories and report on crypto activity by its users. And to round it all off, Bitcoin prices took a hit on Wednesday when Federal Reserve Chair Jerome Powell said he thinks Libra “cannot go forward” unless there is “broad satisfaction” that Facebook has addressed regulatory concerns. 

 

New York attorney general fights dismissal motion in Bitfinex, Tether case

Bitfinex and Tether’s annus horribilis continues. The crypto exchange and stablecoin firm, accused of defrauding investors to the tune of $850 million, have been trying to get the case thrown out of a New York court by arguing that they didn’t operate their businesses in the state. But the attorney general is not going down without a fight — and submitted dozens of documents that allegedly prove this is a lie. In one document filed to the courts, government lawyers said the defendants’ “ties to New York are many and deep” and expressed opposition to their motion to dismiss. Tether’s headaches don’t end here. Also this week, the Metropolitan Commercial Bank announced it has shut down accounts associated with the stablecoin issuer.

European Central Bank won’t add Bitcoin to reserves — says it’s not a currency

A genteel question-and-answer session hosted on Twitter by the European Central Bank turned fiery on Tuesday when the institution doubled down on its anti-crypto stance. When asked whether it planned to add Bitcoin to its reserves, chief economist Philip Lane gave a blunt reply: “No. Bitcoin is not a currency, it rather is an asset and it is very volatile.” Crypto fans took umbrage at the bank’s dismissive answer. One Twitter user criticized the euro’s inflation levels, which mean 100 euros worth of goods in 1999 would cost 139.27 euros today, adding, “Better volatile than toilet paper.” Burn. Another responded to the bank by writing, “Bitcoin is money,” along with a GIF of Jeff Bridges in “The Big Lebowski” saying, “Yeah, well, that’s just, like, your opinion, man.” Somehow, I’m not sure the central bank will get the reference.

Survey: Generation Z does not plan to buy cryptocurrency

The youths of today… what are they like? Generation Z, the young whippersnappers who are currently between four and 24 years old, doesn’t seem that interested in what the crypto world has to offer. Granted, although it is unlikely that a six-year-old is going to become a hardcore Bitcoin evangelist, a Business Insider survey has revealed what an older part of this age group thinks. Just 5% of the 13 to 21 year olds polled said it was “extremely likely” they would buy cryptocurrency in the next six months — and 52% said they had absolutely zero plans to get involved. Trying to strike an optimistic note, the researchers stressed that the survey was conducted before the recent bull run and suggested sudden price rises may have encouraged some of the crypto-cautious kids to reconsider.

Winners and Losers

At the end of the week, Bitcoin is at $11,142.85, Ether at $266.13 and XRP at $0.33. The total market cap is at $305,929,043,649.

The top three altcoin gainers of the week are Bolenum, Bata and Constant. The top three altcoin losers of the week are Posscoin, SegWit2x and TrustNote.

For more info on crypto prices, make sure you read Cointelegraph’s market analysis

Most Memorable Quotations

“I am not a fan of Bitcoin and other Cryptocurrencies, which are not money, and whose value is highly volatile and based on thin air.”

Donald Trump, U.S. president

“When the mining rewards get cut in half, some miners will not be profitable and they will shut off their machine. If a big percentage does that, then blocks will slow down for some time.”

Charlie Lee, Litecoin creator

“It [Libra] has the potential to completely disintermediate commercial banks entirely, and destroy their revenue-generating possibilities. […] PayPal is f—ed anyway.”

Arthur Hayes, CEO of BitMEX

“Deutsche Bank plans to fire almost 20,000 employees. Bitcoin has no employees to fire. DB is built for the old world. And Bitcoin is built for the new world.”

Anthony “Pomp” Pompliano, co-founder of Morgan Creek Digital Assets

“Blockchain is going to be the future of academic records. The technology would certainly provide for greater fluidity. It will also allow students to own their own academic records.”

Ted Bland, college coordinator

“We need to define what cryptocurrency is at the legislative level. Then there is a fork in the road: we either prohibit organizing infrastructure for the purchase and sale of cryptocurrencies in Russia, or allow it.”

Anatoly Aksakov, chairman of the State Duma Committee on Financial Markets

“Most people just don’t care about blockchain at this point. Maybe they should, but they don’t. And that’s just a fact that we have to deal with.” 

Larry Sanger, co-founder of Wikipedia

Prediction of the Week

“Google Coin” within two years, as FANGs will go crypto, say Winklevoss twins

We have the Winklevoss twins to thank for the prediction of the week. Tyler and Cameron, who co-founded the crypto trading platform Gemini, think every FANG company — the “Big Four” internet companies (i.e., Facebook, Amazon, Netflix and Google) — will have their own digital currency in just two years’ time. According to the dynamic duo, it’s only a matter of time before tech giants follow in the footsteps of Mark Zuckerberg and his nascent stablecoin. The Winklevosses even suggested that they might list Libra on Gemini if it’s an open protocol.

FUD of the Week

Tron calls police to protect Beijing office against angry mob

Protesters descended on Tron’s Beijing office this week in a tragic case of mistaken identity. A crypto scam in the city, which had a similar name, is believed to have swindled investors out of $30 million. Crowds jostled with police officers and reportedly yelled “Tron is a scam” — with the pictures spreading like wildfire on social media. In a statement following the unrest, the Tron Foundation said: “Tron officials expressed their sympathy and understanding for those who had been deceived, however, the company strongly condemns acts of violence that may be perpetrated as a result of events that are not in its direct control.”

Polish crypto exchange BitMarket shuts down, citing liquidity loss

Following several weeks of red flags, Poland’s BitMarket crypto exchange abruptly shut down on Monday. The company blamed a loss of liquidity for the closure. In the run-up to its demise, customers were reportedly forced to change their passwords and API keys for no reason — and speculation on Reddit suggested that some withdrawal attempts had been halted because additional Know Your Customer checks had been suddenly imposed on users. One critic claimed that BitMarket had failed to address allegations that it had concealed a hack.

Japanese crypto exchange Bitpoint suffers $32 million hack

We’re dangerously close to launching a Hack of the Week section, as it’s such a frequent occurrence. This week, it’s the Japanese crypto exchange Bitpoint. It suspended all services after $32 million in XRP, Bitcoin and other digital currencies was taken from its hot wallet. About two-thirds of the lost funds belonged to customers. Thankfully, it is not believed that the exchange’s cold storage was compromised. Bitpoint was recently served a business improvement order by Japan’s Financial Services Agency. At least eight exchanges have fallen victim to large-scale hacking incidents so far this year.

Best Cointelegraph Features

McAfee on BTC, exile and the U.S.: “No way the current system can survive”

Speaking to Cointelegraph from Cuba as palm trees swayed in the background, John McAfee said he could bring down the U.S. government and expressed skepticism about Libra — warning it will be used to monitor and trace what everyday citizens do with their money. We also asked him about his stance on income tax, which he hasn’t paid for eight years.

Top six issues that experts and entities have with Libra

With central banks, governments and crypto companies voicing their opposition to Libra, Cointelegraph takes a look at why they are concerned. As Facebook has been embroiled in some headline-grabbing scandals in the past, issues surrounding user data, privacy and censorship-resistance are among the main themes.

Libra, TON and JPMorgan Coin compared: Are they heroes or villains?

Several big players are currently putting the finishing touches to crypto projects they are planning to unveil to the world — each with vastly different aims, business models and technology. Here, we compare JPM Coin, Libra and Telegram’s TON side by side, and examine whether these incoming blockchains are the superheroes who will unlock mass adoption or villains the industry should be wary of.

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Trump Bitcoin Takedown To Provide Unintended Price Support For Crypto

donald trump bitcoin

Is there a Trump rally incoming for bitcoin?

That’s what’s on the minds of many after US president Donald Trump tweeted on Thursday that he was “not a fan of bitcoin and other cryptocurrencies”.

Although Trump is loved by many he is arguably hated in at least equal measure at home and possibly hundreds of millions more around the globe.

So could the Trump take down of bitcoin push those inclined
to look favourably on anything that Trump doesn’t like, bring a net boost to
the price of bitcoin?

His strident comments may have surprised some but that probably depends on your politics, or at any rate what you think Trump’s politics are.

Trump is fairly certain that cryptocurrencies “are not money”,
noting that they are “highly volatile and based on thin air”.

That’s wrong in so many ways but we needn’t bother to provide more well-worn rebuttals for EWN readers.

however, it is worthy or recalling that his tweets come hard on the heels of Fed chairman Jerome Powell accepting that bitcoin has a use case as a store of value similar to gold.

Unlike Trump, Powell also has the foresight and historical perspective to appreciate that nothing lasts forever when he was considering the current role of the US dollar as the world’s reserve currency of choice.

It is against this background perhaps – and the question of how to deal with Facebook’s Libra – that Trump’s attitude should be measured.

Where the Fed chairman goes, Trump is often tempted to go in
the opposite direction.

Libra – get a bank licence says Trump

And Donald and Mark (Zuckerberg) aren’t exactly buddies either. Trump made that clear in his demand that Facebook go get a banking licence before it launches Libra.

“If Facebook and other companies want to become a bank, they
must seek a new Banking Charter and become subject to all Banking Regulations,
just like other Banks, both National and International,” said the US president.

Powell, in coordination with other central bankers, is determined that Libra does not see the light of day until regulations that adequately address the perceived risks it conjures up are firmly in place.

Trump – a nationalist who doesn’t like “global money” unless it’s the US dollar

Perhaps it is not surprising that Trump’s economic nationalism has outweighed the hopes of those libertarians who lean right.

Although Trump’s thoughts to date on the US dollar have been contradictory as to whether he wants a strong or weak dollar, he does want the US’s preeminent position in the global  financial system to be maintained.

With that objective in mind, the dollar has to be protected from all comers, and that includes bitcoin, Libra and any other potential challengers it would seem.

Although Obama made references of a negative kind about crypto with his “Swiss bank account in your pocket” remark, which was interpreted as a reference to bitcoin, this is the first time a US president has explicitly discussed bitcoin. That matters.

Crypto market takes Trump in its stride – will his remarks support bitcoin price?

The market did not immediately react in an adverse fashion to Trump’s observations, and the price of bitcoin has actually appreciated since then.

In other times, such a high-powered individual throwing sand
in the face of crypto would have triggered a price plunge. Indeed, Powell’s
recent remarks were cited by some as the reason for the recent pullback from
$13,000 by bitcoin.

In fact, far from being a negative for bitcoin, Trump’s tweets may help to support the price.

Bitcoin was priced at around $11,500 when Trump made his tweet on Thursday night and is $200 higher at the time of writing, trading at $11,725 on Coinbase.

That’s not a significant move by bitcoin standards, but it does show resilience in the face of political pressures.

BTCUSD 12-hour chart 12 July
BTCUSD 12-hour candles on Coinbase, 12 July (Chart courtesy TradingView)

Trump tweet a great advert for bitcoin

More than that though, Trump’s tweet has led to headlines
around the world as the mainstream media picks up on the latest pronouncements
from the Oval office.

If nothing else it further raises the profile of bitcoin and
crypto.

But more than that, it will get people asking “what are they worried about?”.

If the dollar is so “dependable” and “reliable”, as Trump would
have it, what’s there to worry about? If crypto is so useless, why worry about
Libra?

Unwittingly, Trump has just provided bitcoin with the sort of advert money (crypto or fiat) can’t buy.

If The Donald wants to get up to speed with the real deal on crypto, Tron’s Justin Sun has reached out with an invite to join him for lunch with Warren Buffett:

And if the president doesn’t have time for that, perhaps he should dwell on the fact that since his presidency began the dollar index is down -4% and bitcoin has returned 1,186%.


Image: Courtesy Fickr, Gage Skidmore

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Bitcoin Industry Celebrates ‘Achievement Unlocked’ as Trump Pumps Market

The United States president unwittingly triggered a slight recovery for the crypto market with his first ever comments about Bitcoin.

Donald Trump saying he is not a fan of Bitcoin (BTC) and cryptocurrency is “yuge” for the industry, commentators were suggesting after new tweets on July 12.

In the hours after the United States’ president delivered his lackluster appraisal of crypto, the Bitcoin price stayed stable, only to then begin growing to hit 1% gains Friday. 

Negative or not, for proponents, the event marked a psychological milestone for Bitcoin, as Trump had previously held off from mentioning it in public. 

The fact that he felt the need to bash Bitcoin publicly feeds the narrative that it is both independent of global powers and unable to be crushed by them, Coinbase CEO Brian Armstrong stated, leading the responses.

“Achievement unlocked! I dreamt about a sitting U.S. president needing to respond to growing cryptocurrency usage years ago. ‘First they ignore you, then they laugh at you, then they fight you, then you win.’ We just made it to step 3 y’all,” he tweeted.

Armstrong exemplified the buoyant mood among Bitcoiners. Others likewise thanked Trump for the free publicity, noting a surge in interest documented by Google Trends, while the president being wrong in his opinion also became a talking point on social media. 

“Congratulations BTC community — the president of the United States feels we are worthy of a tweet now,” cryptocurrency entrepreneur, Simon Dixon, added. “Bitcoin has outperformed USD by 23,440,508% since it started being priced in USD.” 

Max Keiser, the RT host and regular Bitcoin bull, considered Trump to have nullified his chances of reelection in 2020, while eToro senior analyst, Mati Greenspan, described his words as an “early nomination for the most bullish tweet of the year.” 

Despite the conversely more stable price performance since the tweets, the possibility of a ‘Trump pump’ occurring for Bitcoin was also gaining traction among analysts.

“Trump is bullish for Bitcoin generally because his media tactics wobble geo-political uncertainty. Thanks for all the dollars flowing into Bitcoin,” cryptographer and Hashcash inventor, Adam Back, added.

In the meantime, another, lesser-known cryptocurrency took the opportunity to capitalize on the buzz. TrumpCoin (TRUMP), an altcoin all but unknown since it appeared in March 2016, was up 28% Friday.

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Trump Pump? Bitcoin Price Buoyant After US President Says He’s ‘Not a Fan’

Trump’s first-ever public comments on Bitcoin achieved precisely zero fallout on markets as BTC price climbed above $11,500.

Bitcoin (BTC) was starting to reverse upwards July 12 as a critical tweet from United States president, Donald Trump, became a hot talking point across cryptocurrency.

Market visualization courtesy of Coin360

Market visualization courtesy of Coin360

Data from Coin360 showed BTC/USD 0.9% up over the past 24 hours after a significant downturn earlier on Thursday. 

At press time, the pair traded around $11,600, having bounced off support at just above $11,000. 

Bitcoin 7-day price chart

Bitcoin 7-day price chart. Source: Coin360

Volatility has lessened over the past nine hours, despite the first-ever public comments from Trump on crypto, which turned out to be highly negative. 

“I am not a fan of Bitcoin and other Cryptocurrencies, which are not money, and whose value is highly volatile and based on thin air,” he tweeted earlier.

“Unregulated Crypto Assets can facilitate unlawful behavior, including drug trade and other illegal activity,” he added.

Similarly dismissive of Facebook’s Libra digital currency protocol, Trump’s Bitcoin bashing nonetheless failed to leave any impression on markets, with BTC/USD showing no change in behavior after the tweets went live. 

“Boring market, no wonder everyone is talking Trump,” trader and investor Josh Rager summarized in a new market commentary.

The phenomenon underscores Bitcoin’s newfound resilience to external criticism, which has only increased in 2019 as markets shake off the opinions of naysayers. 

Amongst investors, however, almost all the attention was on Trump, many in fact thanking him for drawing attention to the industry and proving it did not need his support.

“Well done (Donald Trump) for bringing more awareness to (Bitcoin),” one popular response read, sharing data from Google Trends.

Others tried to convince Trump to reevaluate, including Tron CEO, Justin Sun, who invited him to his existing charity dinner showdown with fellow Bitcoin bear Warren Buffett.

Among altcoins, meanwhile, a more diversified picture was beginning to present. 

Ether (ETH), showed little change in its generally lackluster trend, dropping another 1% over the past 24 hours to $270.

Ether 7-day price chart

Ether 7-day price chart. Source: Coin360

Others, however, showed gains. Binance Coin (BNB), the in-house token of cryptocurrency exchange Binance, shot up 6.3% in the same period, while EOS (EOS) achieved 2.3% and Litecoin (LTC) 1.3%.

At the same time, Bitcoin SV (BSV), the off-shoot of Bitcoin Cash (BCH), dropped despite the pressure on Bitcoin itself. Previously, the token had managed to capitalize on downward Bitcoin price movements, a trait which recently evaporated.

Keep track of top crypto markets in real time here
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President Donald Trump Tweets Opposition to Cryptocurrencies

In a series of tweets, President Trump expresses opposition to cryptocurrencies, especially Bitcoin and Libra, while voicing support for USD.

Disclaimer: this story is breaking and will be subject to updates.

President Donald Trump voiced his opposition to cryptocurrencies as a whole, Bitcoin and Libra specifically in a series of tweets around 8:15 p.m. EST on July 11.

The full text of the three tweets reads: 

“I am not a fan of Bitcoin and other Cryptocurrencies, which are not money, and whose value is highly volatile and based on thin air. Unregulated Crypto Assets can facilitate unlawful behavior, including drug trade and other illegal activity….

“…Similarly, Facebook Libra’s ‘virtual currency’ will have little standing or dependability. If Facebook and other companies want to become a bank, they must seek a new Banking Charter and become subject to all Banking Regulations, just like other Banks, both National…

“…and International. We have only one real currency in the USA, and it is stronger than ever, both dependable and reliable. It is by far the most dominant currency anywhere in the World, and it will always stay that way. It is called the United States Dollar!”

What prompted President Trump to issue these tweets is a matter for speculation, but presumably has something to do with the impending congressional hearings on Project Libra scheduled for next Tuesday and Wednesday, July 16 and July 17.

Likewise, the intended result of these tweets in terms of policy or practice remains uncertain.