Bitcoin Price Slightly Drops to $42k After Move Above $45k Fails Again

Bitcoin had a slightly bearish day today as the price recovered to around $42k at press time. The largest cryptocurrency by market cap is looking to break through the key $45k resistance, but is proving to be a tough nut to crack. Altcoins also posted slight pullbacks as BTC moved south.

In other news, the role of crypto and decentralization in the Russian-Ukrainian war is back in the spotlight. Contrary to some media claims, in many cases cryptocurrencies help Ukraine and not Russia. More on that later.

The British financial watchdog Financial Conduct Authority (FCA) has launched an investigation into 50 unregistered crypto companies operating in the country. The move is seen as a larger effort to crack down on unregulated crypto firms in an effort to get the sector on the government’s books.

The small Swiss city of Lugano has allowed its citizens to pay taxes in crypto with a partnership with USD Tether. The ultimate goal of the city manager is to accept all services and goods through crypto if the residents so desire.

The NFT market has been somewhat delayed† The total number of monthly buyers has dropped to just 796,000 during this period. This is a significant drop from the previous record monthly activity.

A group of ConsenSys employees filed a lawsuit for an audit of the company. The project is now worth billions and was started by Ethereum co-founder Joseph Lubin. It is the main company behind the Ethereum-based wallet service provider MetaMask.

The New York state government is once again moving to increase blockchain regulation and has ordered exchanges and other businesses to impose sanctions on Russian individuals and organizations that are currently restricted by the US government.

A new study from Dragonfly claims that Ethereum could become the MS-DOS of blockchains if it doesn’t improve significantly in the near future. The study shows that the Solana blockchain was the most promising as it was able to process far more transactions than the legacy Ethereum network. However, despite these limitations, Ethereum is still the network of choice for most smart contracts and even NFTs.

The US SEC is once again investigating the NFT market for possible violations of securities regulations. NFT markets are expected to be the latest target in the next wave of digital token regulation due to the sheer volume of investments being made in them.

Bitcoin Price Drops to $42k

Bitcoin saw a slight drop in price as the bulls again failed to break above the key $45k resistance.

The last 24 hours started with the BTC rate around $43.8k. It traded sideways for a while before moving above $44k in bullish anticipation. However, the price did not convince. While some of the exchanges reported higher gains, as high as $45k, the bulls eventually had to pull back due to lack of demand. Bitcoin fell in the second half of the day, hovering around $42k at the time of writing.

The bulls again failed to make a significant move and immediately the bears sprang into action, forcing some losses. The Bitcoin situation remains the same; it needs to break above $45k and do so in the next few days or else the bears will rally in the last 20 days of the month, neutralizing previous gains.

The total market capitalization of Bitcoin was approximately $800 billion and its share of the crypto market was 43.89%.

Bitcoin price chart

Altcoins post some losses

Other cryptocurrencies also saw some price declines over the course of the day. Ethereum (ETH, -4%), Solana (SOL, -6%), Avalanche (AVAX, -6%), Polygon (MATIC, -4%), and Cronos (CRO, -4%) posted larger losses than Bitcoin.

Solana Price Chart

In other news….

Role of cryptocurrencies in Russian aggression against Ukraine intensifies

The role of cryptocurrencies and decentralization has only increased during the last days of the ongoing Russian invasion of Ukraine.

A Ukrainian DAO has raised more than $6 million in aid for Ukrainian citizens. Russian citizens campaigning against the war have stepped up their aid efforts to help Ukrainians in surprising ways despite the overwhelming state crackdown on them, and the Dogecoin community has raised a significant $53,000 to help the country. In crisis.

So, despite some negative media coverage, the crypto industry is actually helping Ukraine through direct aid.

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