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Cryptocurrencies Suddenly Brace for ‘Very Major’ Chinese Reversal After Bitcoin, Ethereum, XRP Price Swings
Bitcoin, along with other major cryptocurrencies, ethereum and XRP,have fluctuated wildly as “extreme fear” threatens to further collapse the market.
The price of bitcoin has lost nearly 20% in the last month, tumbles from its recent highs of over $70,000 for bitcoin as Federal Reserve Chairman Jerome Powell issues a ‘critical’ warning.
Now, after a tech billionaire sparked wild speculation that he could follow Elon Musk’s MicroStrategy and Tesla into the bitcoin spaceCryptocurrency entrepreneur Justin Sun said China is ready to turn the page on bitcoin and cryptocurrencies, calling his recent legal victory in China “very important.”
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In recent years, Chinese President Xi Jinping has overseen a broad crackdown on cryptocurrencies, which is… [+] has affected the price of bitcoin, ethereum, XRP and other cryptocurrencies.
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“I think the victory of the legal battle in mainland China is very important because many of the rumors spread are about misunderstanding the interpretation of mainland China’s legal policy,” said Sun, founder of blockchain and cryptocurrency company Tron. said The block.
Sun, who is also the owner of the Poloniex crypto exchange and an influential adviser to the HTX exchange, won a lawsuit in China against Chongqing Business Media Group last month. The court found that the allegations, mostly laid out in a March 2022 report, piece The Verge’s claim that Sun was under investigation by the FBI and suspected of insider trading is “completely unfounded.”
Last week, Sun took a paid advertisement on the cryptocurrency industry magazine Blockworks to spread the news of his legal victory.
“This is a big win not only for me, but also for the entire industry, because cryptocurrencies have long been considered a gray area in China,” Sun said, adding that the Chinese court has given cryptocurrencies some legitimacy.
China’s 2021 bitcoin ban, which made trading and mining cryptocurrencies including ethereum and XRP illegal, triggered a sudden crash in the price of bitcoin.
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The price of bitcoin has skyrocketed over the past year, but has recently dropped, dragging down the price… [+] of Ethereum, XRP and the broader cryptocurrency market.
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Last month, bitcoin and cryptocurrency investor Brock Pierce predicted that it is only a matter of time before China reopens its digital doors to cryptocurrencies.
“China will open [to crypto]? … I would say it’s inevitable,” Pierce, a former child actor who co-founded the dollar-pegged stablecoin issuer USDT Tether in Hong Kong a decade ago, said the South China Morning Post. “The question is not so much if as when.”
In May, attendees at a Hong Kong bitcoin conference has sparked speculation that Hong Kong’s much-hyped spot bitcoin exchange-traded funds (ETFs) could eventually be opened up to mainland Chinese investors.