The cryptocurrency market has seen mild losses on Thursday. The Bitcoin price is dropping to $32,475 and could sink to $32k, as the external news flow has been exerting strong pressure. The technical picture for BTC trading looks moderately negative, so in case of a break down to $32k, the door will be open for the bears to reach $30k.
Nor is the fundamental backdrop for Bitcoin is looking very upbeat right now. Notably, US authorities have declared another major crypto witch hunt, that is, they intend to tighten control over cryptocurrency transactions in order to monitor the actions of hackers and keep an eye on scammers. According to Bloomberg, digital asset transfers are to be scrutinized by an ad hoc committee. These measures are to be implemented allegedly under the auspices of global cybersecurity. However, there is a side effect: in fact, all transactions can be monitored. Privacy and decentralization are the two key pillars of the cryptocurrency sector, and now they could be in jeopardy. This issue is putting pressure on the BTC price.
Additional pressure on the flagship cryptocurrency is coming from Chinese news: earlier the media wired that Anhui province plans to shut down all crypto mining projects.
BTC has also come under the field of vision and scrutiny of former US Treasury Secretary Steven Mnuchin, who has switched his position on virtual money. Mnuchin now believes that buying Bitcoin is perfectly normal, although earlier the financial politician harshly criticized the cryptocurrency sector. It’s a pity that this viewpoint has in no way managed to neutralize or offset the impact of more far-reaching negative drivers.