Market Remains Stable Despite Bitfinex and Tether NewsOct 25, 2019
Most likely, you already know that Ivan Manuel Molin Lee (CEO of Crypto Capital) was arrested by the Polish police. He is charged with money laundering through Bitfinex.
A scandal broke out around Bitfinex and Tether because of the freezing of crypto-exchange funds in Сrypto Сapital. The companies were accused by the US authorities in unauthorized use of $850 million from Tether reserves to pay off users’ obligations.
As a result, we are witnessing a massive Tether investments’ outflow: significant 40 and 20 million USDT transactions in various instruments. But there is no panic here – the total cryptocurrency market capitalization is not reduced, the price of BTC remains stable in the last 24 hours. This is a very good signal for investors, especially considering that each next wave of BTC decline is weaker than the previous one.
The BTC’s return above the resistance area of 7 750-7 900 will allow us to expect a change in medium and long-term trend Earlier, we’ve already noted the BTC’s growth potential to $30,000 as part of the next global growth wave.
Please note, that the stochastic technical indicator is kept below 20 points, indicating a BTC’s oversold. Perhaps, sellers have already hit the bottom and it’s time for a U-turn.