With the help of the US inflation report, bitcoin was able to move above $17,582 at the 4-hour TF. Numerous cryptocurrency believers already believed that the "bottom" had been reached and hurried to purchase the first cryptocurrency ever created. However, their enthusiasm was dampened by the release of the Fed meeting results yesterday, and bitcoin fell to $17,582. A new consolidation below this level might spark a new decline. A trend line moving up is also present. Although it is fragile and only temporary, consolidation below may also be a sell signal. As a result, while bitcoin has grown thus far (over several weeks), it still hovers precariously close to the edge.
The bankruptcy of the FTX cryptocurrency exchange, whose president and founder was recently detained in the United States, can already be said to have faded from the memory of the cryptocurrency market. Remember that this is not the first significant bankruptcy of a company in the cryptocurrency sector. However, the FTX exchange's demise overshadowed other businesses because it was widely believed to be one of the industry's "whales." Online rumors are circulating that the most well-known and significant Binance exchange may soon start experiencing issues. It was revealed that the Fed and other American regulators are unhappy with Binance and are putting together several complaints against it. Recall that American government organizations have been skirting the issue of tightening regulation of the cryptocurrency sector for several months. We are specifically referring to requiring businesses and exchanges to disclose details about the owners of digital assets. The anonymity of cryptocurrencies will be lost in this scenario, which negates one of their main advantages over fiat money, which is very difficult to conceal from the general public. Furthermore, if the US government obtains the information, it will be able to identify the names of each coin's current owners and their previous owners. Once every transaction is known, bitcoin will be like regular money, which is typically also quite simple to track if you work for a government agency.
As the saying goes, "there is no fire without smoke," and investors have already started gradually removing their money from the stock market. Possibly all of the information presented above is untrue, but few would argue that recent trends show a significant decline in public confidence in cryptocurrency entities. Many experts urged investors to store their coins instead of entrusting them to cryptocurrency banks or exchanges. So, in our opinion, the "bitcoin" can be reduced even more due to the fundamental background.
On a 4-hour time frame, the "bitcoin" quotes exhibit a sluggish upward trend, and an upward trend line has even developed. It is weak, like the recent "bitcoin" activity. Fixing quotes below that level can be regarded as a new sales signal with a target of $12,426.
