China’s crypto ban shakes market

The cryptocurrency sector is in disarray due to China’s total ban on cryptocurrencies. It was announced last week. On Wednesday, September 29, bitcoin opened at Rs. 33,52,013 (about $45,185). The world’s most valuable cryptocurrency had a 0.78 percent loss in exchange value for the second day in a row. Bitcoin had fallen by 2.96 percent the previous day. 

According to analysts at trading platform CoinDCX, the Chinese government’s crypto limitations have resulted in a sell-off with minimal long-term influence on Bitcoin price, which has frequently recovered following an initial slump. Ether, the world’s second most valuable cryptocurrency, had a tough start to the day as well. The price of the Ethereum blockchain-based cryptocurrency declined by 1.39 percent. Ether is currently selling at Rs. 2,31,183 (about $3,116). According to the Gadgets 360 crypto-price tracker, Ether dropped by 5.93 percent on September 29.

Other prominent cryptocurrencies, such as Dogecoin, Cardano, and Litecoin, have also seen minor drops in exchange value. Given the market volatility, only a few major cryptocurrencies have seen their exchange values rise today.

Uniswap ads and Bitcoin SV are among the few cryptocurrencies that have seen a price increase, albeit only barely.

Bitcoin technology

Unlike China, several other countries are participating in the experiment with decentralized and unregulated digital assets.

For example, the city of Miami in the United States’ Florida state legalized its native crypto coin, the Miami Coin, which is based on Bitcoin technology. Miami Mayor Francis Suarez even offered land near a nuclear power plant to put up Bitcoin mining centers to lessen the city’s carbon imprint.

In addition, Dubai will host a massive crypto expo in October, attended by over 3,000 individuals. The event will feature cryptocurrency professionals discussing the rapidly expanding digital financial area.

Musk on China’s crypto crackdown

ON TUESDAY, Tesla CEO Elon Musk warned that the US government should avoid controlling the cryptocurrency industry. Tesla announced earlier this year that it had purchased $1.5 billion in bitcoin. As bitcoin prices rose in the second quarter, the value of their holdings increased to around $2.5 billion. Bitcoin’s value, like that of other cryptocurrencies, has since decreased. Musk, who has repeatedly tweeted his support for various digital coins, is optimistic about the role of cryptocurrency in potentially lowering “error and latency” in legacy money systems. However, he admitted that cryptocurrency did not hold all of the remedies to society’s woes. Musk also discussed the significance of China in bitcoin mining and regulation.

Last week, China’s central bank announced more decisive steps in its broader crypto crackdown, including beefed-up infrastructure to monitor crypto-related transactions.

Musk stated that the heavy hand is most likely due to the country’s severe electrical generation challenges.