Hodler got a nice present for Christmas with the new all-time highs of Bitcoin. But it is now also in the crosshairs of the regulatory authorities.
Bitcoin Future review has had a week like no other. It hit new all-time highs of $ 28,400 and holds up very high. What’s next?
Cointelegraph presents five factors that will influence the direction of the Bitcoin price this week.
Gold rises on Trump’s signing of stimulus package
Markets were spared a nightmare this week after US President Donald Trump agreed to approve the $ 900 billion congressional stimulus package .
The package makes the US Federal Reserve’s mountain of debt even bigger and includes various perks for companies. For American citizens, however, the direct financial aid is less than in March.
Trump said he could not agree to the second package due to the low level of direct payments ($ 600 instead of $ 1,200), but later changed his mind.
The markets started the new week on a positive note. The S&P 500 futures saw slight gains prior to opening on Wall Street.
At the same time, the price of gold has also increased. Data shows that the precious metal could now make its biggest annual gain in a decade.
Compared to the end of November, XAU / USD is up $ 111, or 6.25 percent.
„President @realDonaldTrump vetoed just nine bills. This is the lowest number since Warren Harding, who was in office for just two years, from 1921 to 1923,“ the gold follower and notorious Bitcoin critic Peter Schiff tweeted when the law was signed.
„Since Chester Arthur (1881 to 1885), no full term president has vetoed fewer bills. You can’t drain the swamp by making it deeper.“
Regulations for Bitcoin to be expected
After becoming popular with a wider audience over Christmas and making new highs, Bitcoin could soon come into conflict with governments, sources warn.
With a new all-time high of $ 28,400 and a monthly gain of 55 percent, Bitcoin is now on regulators‘ radar as its appeal to the masses increases. The next year could be a challenging time even for its proponents.
After the still-Treasury Secretary Steven Mnuchin tried to enforce new laws for non-custodial wallets , his successor Janet Yellen is unlikely to get any better, they say.
„In general, I think we had challenges with the Democrats. They prefer more regulation, more supervision“, so the Chefstrategin the digital asset manager CoinShares Meltem Demirors told Bloomberg on Sunday.
„I’m a little concerned about which way things are going.“
As usual in the US, the different political loyalties mean that attacks by crypto-friendly people can be softened elsewhere. The new chairman of the US securities regulator, Elad Roisman, is considered a fan.
Analyst: Bitcoin decline at $ 28,400 „very healthy“
Focusing on the recent Bitcoin spot market development, Monday can become an important test for the bulls given the weekend momentum.
After Bitcoin hit an all-time high of $ 28,400 on Sunday, it saw a decline that many had already expected.
„#Bitcoin makes a very healthy correction, he went quite vertical. Could a preliminary peak be“ summarized Cointelegraph Markets analyst Michaël van de Poppe together .
„What’s next? Consolidation, sideways movement, less volatility. That gives the rest of the markets room to keep up. $ BTC pairs are doing fine.“