Bitcoin Rebounds After Crash, Peercoin Rallies 70% From Lows

FXOpen

Bitcoin has staged an impressive rebound after flash crashing to $334 on Monday. Prices rallied 43 dollars on Tuesday and a further $27 on Wednesday, closing right at the $500 mark. In the early Asian trading session today, BTC continued the move up to hit $528 per coin.

btcusdh1

It is unclear where bitcoin will go from here. Since we managed to clear the $500 hurdle, prices should remain supported by this figure, at least in the near term. This is barring any external price shocks of course. A breakout above the resistance at $550 may trigger a new rally in the crypto. A technical breakdown below this previous support level was the catalyst for the losses we saw during the past week.

Negative Reactions to Proposed NY Rules Continue

The negative reactions from firms working in the bitcoin space to the proposed rules by the NYDFS (New York Department of Financial Services) continue. The founder of Coinsetter, Jaron Lukasiewicz, was quoted as saying that: ‘’It just doesn’t fit with the technology, and it’s impossible to comply with the proposed disclosure rules. I think it’s also a complete invasion of privacy.”

Jaron’s comments come just a few days after Circle’s CEO Jeremy Allaire wrote a long blog post about the proposed regulation. Allaire says that the new rules will radically limit those who can participate in this industry and added that if adopted as is, Circle will have no choice but to block customers from New York. The three major points of contention for the Circle CEO are:

  1. The scope of the BitLicense proposal is too broad and specifically targets software companies, open source projects and open intellectual property.
  2. BitLicense imposes a range of requirements over key business decisions, limiting discretion
  3. AML requirements are over reaching and go beyond Federal law

Circle is a digital currency company headquartered in Boston, Massachusetts. Its aim is to allow consumers to easily convert, store, send, and receive bitcoins. The company’s offer is still in invite-only stage and not open to the public. The firm has so far raised about $28 million in two funding rounds.

Peercoin Rallies 70 Percent, Parity Eyed

Peercoin has rallied close to 70 percent from the $0.565 low reached on Monday. The altcoin fell to new lows following big brother bitcoin downward. We are currently trading at $0.952, just shy of the $1 parity level.

ppcusdh1

Given the extent of PPC rally in the last 3 days, I don’t expend the crypto to go over $1 soon. The parity level itself may act as a significant hurdle to more gains. On the contrary, we may see a retracement as the move up from $0.565 to $0.993 happened with no major pullback in between.

Trade global forex with the Innovative Broker of 2022*. Choose from 50+ forex markets 24/5. Open your FXOpen account now or learn more about trading forex with FXOpen.

* FXOpen International, Innovative Broker of 2022, according to the IAFT

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

Latest from Forex Analysis

Market Analysis: Dollar Falls from 10-month High Market Analysis: US Currency Continues to Grow Ahead of GDP Data Release Market Analysis: Gold and Commodity Currencies Resume Their Decline Market Analysis: EUR/USD Takes Hit While USD/CHF Surges Market Analysis: The Yen and European Currencies Headed to New Lows

Latest articles

Financial Market News

Weekly Market Wrap With Gary Thomson: Inflation, EUR/USD, S&P 500, OIL

Get the latest scoop on the week's hottest headlines, all in one convenient video. Join Gary Thomson, the COO of FXOpen UK, as he breaks down the most significant news reports and shares his expert insights. Inflation Still Dogs the

Forex Analysis

Market Analysis: Dollar Falls from 10-month High

EUR/USDThe euro rose on Thursday as the dollar retreated since investors remained cautious ahead of key inflation figures due on Friday. Data on Thursday showed the US economy maintained fairly strong growth in Q2, with an unrevised annual rate

Indices

US 30 Analysis: Dow Jones Finds Support

September is likely to be the second month in a row that the Dow Jones (US 30) stock market index declined. The last time this happened was... also in September, a year ago. Important economic data was published yesterday: → According

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 60% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.