cryptocurrency crypto japan street bitcoin

Bitcoin Going Down after Japanese Crackdown on Exchanges

Bitcoin fell close to 10 percent on Friday after the Japanese authorities ordered several crypto exchanges to improve their money laundering efforts.

The price of the bitcoin fell from around $ 6,650 to at least $ 6,013, the lowest level since the beginning of February this year. On Saturday morning a bitcoin was traded for around $ 6,070.

Japanese authorities demanded Bitflyer, Japan’s largest crypto exchange, to stop new users from creating accounts while the company is working on improvements to stop money laundering and terrorist financing.

Japan’s bitcoin trade accounts for more than 60 percent of the cryptocurrency’s total daily volume, according to data from the Cryptocompare analyst site.

In the short term, the inflow of new capital to the Japanese trade in bitcoin is expected to slow down, which may cause the price of bitcoin to go down further, according to Mark Newton, technical analyst and founder of Newton Advisors.

“There is a lack of interest, there is no buyers and sellers that dominate the market,” he told CNBC, saying that bitcoin can continue to fall down to around $ 5,000 before it reaches the bottom.

Ethereum and Ripple also fell by almost 10 percent each.

Source: CNBC