Bitcoin is still languishing below $35k at the time of writing. The largest cryptocurrency by market capitalization is stuck below the make-or-break level as it battles bears seeking further losses for the cryptocurrency. Altcoins, on the other hand, were largely flat, with only a few exceptions. More on that later.
In other news, major search engine and data analytics company Google has announced a new Web 3.0 team. The Google Cloud unit will be the main division of the new unit and will help build the new immersive web 3.0 solutions involving industries based on metaverse and blockchain technology. More on that later.
The US government and federal agencies are finally turning their attention to the stablecoin sector and want to regulate it extensively in the near future. While the larger crypto sector is already a big part of the web 3.0 revolution, many companies tend to ignore it, focusing instead on the flashy but much less useful case of the metaverse itself. Let’s see how Google responds to current market forces with its new division.
Crypto exchange Binance has closed its crypto derivatives business in Spain. The world’s second largest digital currency exchange is facing challenges from around the world as it seeks to improve its position around the world, however it continues to face regulatory challenges. It has suspended its derivatives business as it now needs a license from the local commodities regulator, the CNMV. Binance CEO Changpeng Zhao has shown his willingness to work with the government to improve the exchange’s reputation and dispel any mistrust between governments and the platform. However, there is still a long way to go here.
The war in Ukraine is yet another reminder to governments around the world how we need a consistent system of crypto regulation. As the war rages on, many Ukrainians on the battlefield are profiting from crypto through donations and fundraising. However, the Western bloc also blames the sector for providing an alternative payment method to the Russians, while the latter wants to tighten control over the sector itself.
A crypto mixer has been sanctioned by the US Treasury Department for its alleged role in the recent Axie Infinity attack. The anonymity-enhancing company processed a whopping $20.5 million in crypto from the big hack (less than 2% of the total heist). For that he is punished by the government. The Axie Infinity hack was the largest amount of crypto ever stolen in recent years and cast doubt on the ability of new crypto projects to maintain critical security.
A new survey by the Bank for International Settlements (BIS) states that up to 90% of the total number of central banks in the world are examining Central Bank Digital Currencies (CBDCs). The move comes after the stablecoin industry hits new highs and governments are wary of its successes. They are now willing to investigate and provide a similar government-backed alternative to maintain control of the currency used.
Bitcoin stable just below $36k
Bitcoin had a slow day overall as it largely remained below the $36k level. The cryptocurrency is aiming to break below the key $36k level but stalls just below it.
Bitcoin started around $35.9k in the last 24 hours. It traded sideways all day yesterday and only made a slightly significant move. The cryptocurrency remained entrenched in a tight range of $35.7k-$36.2k for the rest of the day. This shows an overall volatility of less than 2% of the Bitcoin price.
Going forward, bearish clouds still hang over Bitcoin for now, despite the recent stabilization in reported losses. Cryptocurrency in general is under tremendous pressure as new multi-month lows have already been hit. The next obvious resistance is at $33k and it remains to be seen when the bears will make a move. The bulls can make another semi-convincing move on their own and reach $40k. But that will be short-lived as the bulls are under too much pressure to affect the trend that strongly with this rally. For that to happen, a move to $45,000 would be needed, which seems unlikely with the kind of bearish sentiment we have today.
The total market capitalization of Bitcoin was approximately $688 billion and its share of the crypto market was 41.7%.
Altcoins remain stable
Other cryptocurrencies were largely flat for most of yesterday, as was BTC. Algorand (ALGO, 7.5%), Tron (TRX, 4.5%) and Dogecoin (DOGE, 2%) all saw some gains, but the overall effect was rather slow and not much change was seen.
In other news…..
Google forms Web 3.0 team
Major tech company Google has announced a new Web 3.0 team within the confines of its largest cloud division. This development comes as pressure mounts on the business to get involved in the web 3.0 revolution.
Google has perfected web 1.0 in many ways through its search engine and also played a major role in developing and promoting web 2.0. Google introduced us to technology that has helped us make our lives online as seamless and connected as possible. But it remains to be seen whether the company is serious about Web 3.0.