Bitcoin recovered quickly after China banned ICOs and exchanges, with trading volumes shifting to South Korea. Malaysia and Australia adjusted regulations while experts like Ray Dalio and Jamie Dimon weighed in on the market's resilience.
Hello. From Aspen, Colorado, this is Maria Jones at Cointelegraph Channel with a rundown of our hottest news stories from across cryptocurrency this week. Bitcoin too big to be killed Solving China's ban on ICOs and the recent news of total exchange bans, Bitcoin crashed to US$3,000. However, this crash was short lived and Bitcoin rapidly soared Back to the 4000 DOL. Digital currency users are hiding ways around their Chinese ban. In the meantime, Chinese neighbors such as Japan, Hong Kong and South Korea are profiting. All of this indicates that Bitcoin is more than capable of dealing with a few bumps in the road. Peter Van Valkenberg, Director of research at Coincentre sees positive in Chinese knee jerk reaction Chinese share of the broader cryptocurrency market isn't as high as it once was. Therefore changes in regulations have had less of an impact than they would have had a few years ago. The bounce back from these negative hits in such a quick and powerful fashion indicates that there is not much in terms of real world market pressure that can derail Bitcoin. The slump of about 20% is actually rather minor. If we look at Bitcoin's past volatility, Bitcoin has become too big to be sunk by one or two small mishaps along the way. A new center for Bitcoin following the upheaval caused by the recent announcement in China, it appears that Bitcoin transaction volumes have shifted out of the country. All indicators seem to show that traders have moved to South Korea. The largest exchange in South Korea process more transactions than Bitfinex and Bittrex. This represents a substantial shift away from China by the Bitcoin community. This may be part thanks to South Korea's recent legalization of Bitcoin. This move also has highlights the community's flexibility. As Bitcoin is a decentralized cryptocurrency, no government is able to truly ban it, much less control it. Countries is beginning to see that the best route forward is to embrace the currency. Many people see China's recent announcements as a blow to Bitcoin. The reality is that it simply proves what crypto fiars believed about Bitcoin all along. It's remarkably flexible and multifaceted. In the wake of the lockdown and cryptocurrency currency in China, other countries are beginning to be more open to Bitcoin. A recent statement by Malaysia's Bank Negaria's governor indicates that Malaysia may be the next to open its doors to Bitcoin the government stated clearly that Bank Negara was working on cryptocurrency guidelines. While not an explicit statement, it suggests the government will legalize Bitcoin as a currency following the creation of these guidelines. Malaysia has already been seen as an excellent location for Bitcoin and other cryptocurrencies. Legalization would create a wave of new investments into the country. Ray Deli, or the founder and head of Bridgewater, the world's largest hedge fund, knows a thing or two about the traditional investment business. He has spotted and steered his firm around traditional asset bubbles in the past. But does he know how to spot crypto asset bubbles? Recently, Dalio joined his friend and fellow billionaire finance mogul Jamie Dimon in following Bitcoin. Above all, he states that Bitcoin is not an effective storehold of wealth because it has volatility to it, unlike Coke. According to Dalios Bridgewater criteria, there are two important requirements in order to be considered a valid the first is that it must serve as a medium of exchange, and the second is that it must be a store of wealth. Dalios argues that the action of resulting abundance in cryptocurrency has very much been driven by people simply thinking they can sell sell it at a higher price without any understanding of fundamentals. Therefore, it's a bubble. Telier is not the only finance CEO with a negative stance on Bitcoin and other cryptocurrencies. Last week, JP Morgan CEO Jamie Dimon took a shot at calling Bitcoin. It's a throw. Only time will tell if their two financiers are right in their predictions about cryptocurrency. The Australian government has finally and conclusively ended the double taxation of Bitcoin and other cryptocurrencies. The bill ends the practice of taxing the purchase of Bitcoin and other cryptocurrencies. The current Australian government hopes that the bill will open doors for greater levels of fintech investment into the country. As China moves to crack down on ICOs and other cryptocurrencies, the Australian government is seeking to embrace the sea of change in the financial world. Breaking News Roger Ware Bitcoin Jesus just announced he's gonna buy a piece of land to create a new decentralized society. For the very latest news and events from the crypto scene, check out Cointelegraph.com and subscribe to our YouTube channel. If you would like to ask me a question or share your story with us, just leave a comment right here and see you next week.
