In the last two weeks, investors have just enjoyed a return on Bitcoin (BTC) investments as the crypto king recorded an increase from $ 10,500 in early October 2020 to a price level of nearly $ 42,000.
However, unexpectedly the BTC price did not last long at its highest level when it started to decline to a low last night, $ 31,757 which was due to concerns over tighter US regulations.
Bitcoin has fallen 10% on Thursday to a 10-day low. Indirectly, the market capitalization of cryptocurrencies was also affected, falling to $ 600 billion. Analysts argue that there is panic selling amid growing concerns over the policies the government administration wants to adopt and fears that Bitcoin is a ‘bubble’.
Janet Yellen in one of her statements stated her stance on cryptocurrency which is considered very closely related to crime.
Clearly, the use of Bitcoin (BTC) is so widespread among terrorists and money laundering activities, including the use of cryptocurrencies in illegal financial transactions. On that basis, Yellen has called for the use of cryptocurrencies to be curtailed to ensure that no money laundering activities take place through crypto channels.
The same thing was stated by the President of the European Central Bank Christine Lagarde who proposed that the regulation of Bitcoin be implemented as soon as possible because the crypto currency is often misused as used in money laundering activities.
Joseph Edwards of Enigma Securities says that Janet Yellen's comments have had a big impact. But personally this fall is only temporary.
