Bitcoin bounces above 8,000 $ :


The free fall of bitcoin would have come to an end. While undergoing a significant decline in recent weeks, bitcoin has been subject to an increase of almost 20% of its value this Wednesday, February 7 and it has risen to 8,280 dollars around 16h.

How then explain this reversal of situation? Several experts agree on a significant influence of the hearings of Jay Clayton (chief of the Securities and Exchange Commission) and J. Christopher Giancarlo (president of the Commodity Futures Trading Commission), who said before the senators "Do not want to do of bitcoin ". While he was close to $ 20,000 in December, the famous cryptocurrency was in free fall below $ 6,400 at the beginning of the week following the release of several information threatening his reputation.

The two men also praised the blockchain process, the basis of how bitcoin works. J. Christopher Giancarlo said, "It would be irresponsible not to recognize the cryptocurrency revolution, we know it will lead to a paradigm shift, so we decided not to hurt it." The "initial coin offering" (ICO), an operation to raise funds for bitcoin by start-ups and whose cumulative amount exceeds $ 1 billion for the period from November to January, was however at the center of the debate and the two men said they would be more strict about this type of operation.

At the origin of the fall of bitcoin, the bankruptcy of a trading platform South Korea indicating to have been hacked was thus falling the bitcoin from $ 20,000 to $ 16,000 in December, a fall maintained until the beginning of this week. The growth of bitcoin had been impressive in 2017 since it had started at $ 1,000 in January to reach $ 3,000 in June 2017.

In its wild growth, the most famous virtual currency in the world has been stopped by a hardening of the authorities towards it, especially the Chinese and South Korean governments, causing its plunge at the end of 2017. There are thus some rumors about a possible complete ban on bitcoin mining by China since it is a computer activity that emits digital currency. These rumors have enormous impacts on the markets since, as analysts say, China is the country where the bitcoin mining activity is the most developed.
The South Korean government's indication of Seoul's future ban on cryptocurrency trading platforms was also taken very seriously, although they retracted their comments and indicated that it was in fact a measure contemplated by the Department of Justice. As analysis firm Capital economics pointed out on Tuesday, South Korea is home to some of the biggest bitcoin trading platforms.
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