2 November 2024
Altcoins Suffer the Most as China Bans Crypto Mining
Amid China's Toughest stance over Crypto, Altcoins have once again suffered the most.
Bitcoin (BTC) slipped from 41,760 to 37,000 USD in half an hour and continued correcting lower. It was down by 10% in a day. Ethereum (ETH) tumbled by 16%, landing at 2,355 USD whilst multiple altcoins dipped tremendously.
According to Bybt.com data, over USD 253M worth of trading positions were liquidated in the crypto derivatives market.
Reportedly, China has announced a crackdown on Bitcoin mining and trading activities to eliminate financial risks, Reuters reported, citing the State Council's Financial Stability and Development Committee.
Bobby Lee, Founder and CEO of Ballet, stated that as per new guideline issued from the regulatory agencies, " they're taking it more seriously, they want more enforcement," "But in terms of the rules, it's the same in terms of what's allowed and not allowed. There's talk about going after miners. The question is, can they catch all the miners."
However, Matt Maley, Chief Market Strategist for Miller Tabak + Co claims that the Crypto mining issue is not a problem. "They say they're doing this as part of an effort to control risk-taking in their markets, but it's really a signal that China is not going to be a big market for cryptos unless it's a PBOC-controlled one," Bloomberg reports.
Disclaimer: The author’s views and opinions are for informational purposes only and do not constitute financial, investment, or other advice.
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