As the bitcoin price plummeted to less than $52,000, it could lose a psychologically important record for the bitcoin price of $50,000, a cryptocurrency leader.
According to the cryptocurrency exchange CoinMarketCap, bitcoin, which has not caught a downtrend in the last 24 hours, has increased its decline despite two good news. Tesla, an electric car maker in the US, has declared that it will accept bitcoin as a payment method, and Fidelity, a large financial company, has become the first institution to do paperwork to launch a Bitcoin exchange trade fund.
BTC is under pressure this week as the dollar strengthens, but other dynamics may also be underway. Technology stocks have also been hit hard amid concerns over rising interest rates in recent days, which has forced traders to take their capital elsewhere.
To make matters worse, a record $6 billion worth of bitcoins To make matters worse, a record $6 billion worth of bitcoin futures options will expire tomorrow, which could further destabilize the market.
Could Bitcoin be made illegal?
Recently, the voice of regulation on cryptocurrency has been growing for some time, such as Christine Lagarde, President of the European Central Bank (ECB), declaring that bitcoin is only used in’business for fun’.
In addition, billionaire investor Ray Dalio, who founded the mega hedge fund Bridgewater Associates, warned in a recent interview that there is quite a lot of potential for bitcoin to become illegal.
In an interview with Yahoo Finance, he pointed to a 1934 law that banned Americans from holding gold amid fears that it could damage the dollar, and predicted that this history could be repeated (even for Bitcoin).
Dalio explains, “Every country takes monopoly over supply and demand control seriously. They don’t want other cryptocurrencies to be issued or competing because the situation could go out of control.”
“That’s why I think Bitcoin owners could be put into a situation where Bitcoin became illegal in the way gold was made illegal,” he warned.