Bitcoin's price nosedives to under $30k

READ TIME - 1 min 21 seconds

Author

Daniel Akpobare
July 18, 2023

GM, this is The Crypto Explorer, the only newsletter with headlines so hot our writer can't stand the heat! 🥵

Here’s what we got for you today:

  • 📉 Bitcoin's price nosedives to under $30k

  • ⚖️ FCA Cracks Down on Crypto Promotions!

  • 🧱 Around The Block: Chainlink launches cross-chain protocol bridging blockchain to TradFi.

 📉 Bitcoin's Price Nosedives to under $30k

Bitcoin price has been on the downside and may likely fall below $29,000 in the short term! (N0, we’re not joking).

On July 13, BTC encountered difficulties breaking above $31,800, resulting in a 6.3% correction down to $29,700 on July 17.

And now, investors are concerned that ongoing regulatory developments and macroeconomic headwinds could drive Bitcoin below the critical $29,000 level last observed on June 21.

I mean, who wouldn’t be? 🤷

The recent ruling regarding Ripple’s XRP did not definitively determine whether XRP's initial coin offering was classified as a security offering, raising the possibility of other cryptocurrencies facing potential securities designations.

Moreover, Binance's layoff of 1,000 employees and its ongoing court action with the SEC has raised concerns about the exchange's future.

And to top it all off — the macroeconomic environment has also not been favorable for Bitcoin and risk-on assets.

China's GDP growth slowed to 6.3% in the second quarter, falling short of market expectations due to the trade war with the United States and efforts to address debt.

But hey, at least there is some partial good news on the derivatives side!😀

Between July 14 and July 17, BTC futures maintained a neutral-to-bullish 7% premium, surpassing the 5% threshold.

This suggests a moderate conviction among bulls after failing to break above $31,800.

However, the premium for the stablecoin Tether (USDT) in Asia has been declining — the Tether premium in Asia recently reached a discount of 1.8%, marking its lowest point in over six months.

⚖️ FCA Cracks Down on Crypto Promotions!

The UK Financial Conduct Authority (FCA) has just released a proposed guidance on social media financial promotions that’s bound to shake things up.

The guidance, which targets promotional memes and financial influencers (influencers), states that promotional memes prevalent in the crypto sector are subject to the FCA’s promotional rules.

In fact, any communication can be a financial promotion subject to its rules.

Thus, specific requirements, including risk warnings, must be met before crypto can be advertised to retail investors.

Oh, and the punishment for violation is no joke either – violators are looking at a jail term of up to two years in jail, an unlimited fine, or both.

And before you say you’re not in the UK, the law applies even to promotions from outside the U.K. that could affect the country.

Guess Crypto firms and influencers may need to start slapping disclaimers on crypto memes to stay compliant with advertising laws in the UK.

Public comments on the proposed guidance are open until Sept. 11.

🧱 Around The Block: Chainlink launches cross-chain protocol bridging blockchain to TradFi.

That's all we've got for you today.

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In any case, see you tomorrow, or on Twitter, if you're there: @danielakpobare

DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell assets or make financial decisions. Please be NEW”

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