Bitcoin retreating accelerated last week as bears held firm control of crypto market – BTCUSD closed down six out of seven sessions. Bitcoin fell below $33,000 after breaching below uptrend support line. A glance at the Bitcoin daily chart reveals the bearish trend continues but BTCUSD is oversold! Current setup points to a likely attempt at a rebound but the bearish trend will continue if no surprise reversal of the current trend materializes in an unexpected shift in sentiment!
The crypto market’s retreat continued last week as Federal Reserve raised interest rates by half a point on Wednesday. The next day Bitcoin dropped sharply – more than $144 billion was wiped off the crypto market in less than six hours! Legislative initiatives in India and California last week added to legal infrastructure needed for crypto market operation in their respective economies, the US Securities and Exchange Commission (SEC) ramped up anti-crypto scam efforts, and Luna Foundation Guard acquired $1.5 billion in Bitcoin.
India named the country`s Computer Emergency Response Team (CERT) as the national agency for cyber security, including the crypto industry. The government requires that crypto businesses, such as virtual asset service providers, keep know-your-customer (KYC) information and records of financial transactions for five years. The rule clarifies which agency has the authority over suspicious or illicit activities in the sector. And overseas in California Governor Gavin Newsom signed an executive order on Wednesday to “create a transparent regulatory and business environment for Web 3 companies” in the state.
The US securities regulator announced plans to hire another 20 people to police coin offerings, non-fungible tokens and decentralized finance. With the additions, the number of staff dedicated to probing securities law violations in fields like coin offerings, lending, non-fungible tokens (NFTs) and decentralized finance (DeFi) is 50.
The Luna Foundation Guard (LFG) acquired 37,863 bitcoins last week to reinforce stablecoin reserves. The purchase brings LFG`s holdings to more than 80,000 bitcoins, or nearly $3 billion, with its target set at accumulating $10 billion of stablecoin reserves before the end of the third quarter. The purchases were made in the form of two over-the-counter deals, one a $1 billion swap of US Terra (UST) for bitcoin (BTC) with crypto prime broker Genesis Global Trading and the other a $500 million purchase of bitcoin from hedge fund Three Arrows Capital.
