Categories: Bitcoin Latest News

Risk Aversion Pulls Crypto Market Down, Bitcoin Still Below $40K

The crypto market is still reeling as a result of risk aversion triggered by Russia’s invasion of Ukraine.

On Monday, Bitcoin (BTC) fell for the sixth time in six days. It has again failed to break beyond the $40,000 barrier.

Bitcoin peaked at $39,536 before plummeting to a low of $37,192. It completed the day around $38,850, having found support at $37,000.

The news that the White House is set to issue the long-awaited crypto executive order shook crypto proponents on Monday.

Crypto EO Comin’ Up

According to a source close to the matter, United States President Joe Biden is expected to sign a long-awaited executive order this week directing the Justice Department, Treasury, and other agencies to examine the legal and economic consequences of creating a US central bank digital currency.

The broader cryptocurrency market had a turbulent day.

BNB outperformed the market, rising 1.51%, while ADA (-3.51%) and SOL (-3.41%) underperformed.

AVAX (-0.96%), ETH (-2.31%), LUNA (-1.72%), and XRP (-0.56%) have all declined in tandem with Bitcoin.

BTC total market cap at $740.16 billion on the daily chart | Source: TradingView.com

Related Article | Bitcoin Prices Dragged Down By Geopolitical Tensions, Ukraine Nuke Plant Bombing

EO To Ban Crypto?

According to reports, Biden will sign an EO banning or limiting cryptocurrencies.

The move comes in the face of growing concern about Russian elites’ use of cryptocurrencies to avoid Western sanctions that have cut Russia off from large parts of the global economy, and moves by China and other countries to develop their cryptocurrencies.

There is a possibility that this will be the first step toward the formation of a CBDC.

An administration official, according to a source, said that such a move would have broad support from within Biden’s inner circles.

Related Article | Bitcoin Falls Back To $38,000 As Russia Steps Up Bombardment Of Ukraine

Following Biden’s directive, the Justice Department said it would look into whether new legislation is required to establish a new currency, with the Federal Trade Commission, the Consumer Financial Protection Bureau, and other agencies analyzing the effect on consumers.

It is expected that further study will be conducted on the role that cryptocurrencies will have on the broader market and the environmental impact of bitcoin mining in the future, according to the source.

Last year, US Treasury Secretary Janet Yellen warned of an “explosion of danger” from digital markets, particularly the abuse of cryptocurrencies, but she also said that new financial technology may be useful in the battle against crime and injustice in the country.

Wozniak Supports Bitcoin

Meanwhile, Apple co-founder Steve Wozniak refers to Bitcoin as “pure-gold mathematics,” and the rationale demonstrates why crypto may be here to stay.

Wozniak said he supports bitcoin but is skeptical about alternative cryptocurrencies and non-fungible tokens.

Although he did not explain why he is interested in Bitcoin’s mathematics, he most likely appreciates that the calculations appear to help provide a technical explanation for Bitcoin’s supposed stability compared to the yellow metal.

In an interview with Bloomberg, he said that the crypto market had reached “roughly $2 trillion in round numbers.”

“It’s simply pure mathematics,” he said.

Featured image from Al Bawaba, chart from TradingvView.com

The crypto market is still reeling as a result of risk aversion triggered by Russia’s invasion of Ukraine.

On Monday, Bitcoin (BTC) fell for the sixth time in six days. It has again failed to break beyond the $40,000 barrier.

Bitcoin peaked at $39,536 before plummeting to a low of $37,192. It completed the day around $38,850, having found support at $37,000.

The news that the White House is set to issue the long-awaited crypto executive order shook crypto proponents on Monday.

Crypto EO Comin’ Up

According to a source close to the matter, United States President Joe Biden is expected to sign a long-awaited executive order this week directing the Justice Department, Treasury, and other agencies to examine the legal and economic consequences of creating a US central bank digital currency.

The broader cryptocurrency market had a turbulent day.

BNB outperformed the market, rising 1.51%, while ADA (-3.51%) and SOL (-3.41%) underperformed.

AVAX (-0.96%), ETH (-2.31%), LUNA (-1.72%), and XRP (-0.56%) have all declined in tandem with Bitcoin.

BTC total market cap at $740.16 billion on the daily chart | Source: TradingView.com

Related Article | Bitcoin Prices Dragged Down By Geopolitical Tensions, Ukraine Nuke Plant Bombing

EO To Ban Crypto?

According to reports, Biden will sign an EO banning or limiting cryptocurrencies.

The move comes in the face of growing concern about Russian elites’ use of cryptocurrencies to avoid Western sanctions that have cut Russia off from large parts of the global economy, and moves by China and other countries to develop their cryptocurrencies.

There is a possibility that this will be the first step toward the formation of a CBDC.

An administration official, according to a source, said that such a move would have broad support from within Biden’s inner circles.

Related Article | Bitcoin Falls Back To $38,000 As Russia Steps Up Bombardment Of Ukraine

Following Biden’s directive, the Justice Department said it would look into whether new legislation is required to establish a new currency, with the Federal Trade Commission, the Consumer Financial Protection Bureau, and other agencies analyzing the effect on consumers.

It is expected that further study will be conducted on the role that cryptocurrencies will have on the broader market and the environmental impact of bitcoin mining in the future, according to the source.

Last year, US Treasury Secretary Janet Yellen warned of an “explosion of danger” from digital markets, particularly the abuse of cryptocurrencies, but she also said that new financial technology may be useful in the battle against crime and injustice in the country.

Wozniak Supports Bitcoin

Meanwhile, Apple co-founder Steve Wozniak refers to Bitcoin as “pure-gold mathematics,” and the rationale demonstrates why crypto may be here to stay.

Wozniak said he supports bitcoin but is skeptical about alternative cryptocurrencies and non-fungible tokens.

Although he did not explain why he is interested in Bitcoin’s mathematics, he most likely appreciates that the calculations appear to help provide a technical explanation for Bitcoin’s supposed stability compared to the yellow metal.

In an interview with Bloomberg, he said that the crypto market had reached “roughly $2 trillion in round numbers.”

“It’s simply pure mathematics,” he said.

Featured image from Al Bawaba, chart from TradingvView.com

Tags: bitcoinCBDCcrypto

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