The bitter truth: Bitcoin is heavily dependent on the actions of officials and banks

News about the adoption of laws that relate to cryptocurrency, continues to strongly influence the rate of Bitcoin. This is stated in the study, Bank for international settlements (BIS), which leads CCN.

The financial report of the organization notes that the first cryptocurrency is still highly dependent on government actions, although its developers and members of the crypto community who claim otherwise.

What determines Bitcoin exchange rate? Answer analysts

It is considered that the efficiency of cryptocurrency does not depend on the actions of governments of different countries. In fact, the price of the coins, the volume of transactions and the number of users falling or rising when making specific decisions by regulators.

As an example, analysts cite the situation with the refusal of the Commission on securities and exchange Commission (SEC) to adopt ETF, offered by exchange, the Winklevoss brothers Gemini. Then the rate of the first cryptocurrency in a short time fell by 16 per cent, but recovered swiftly from the shock.

This happened despite the fact that the twins had little chance for approval of a new product before they applied for its registration with the SEC. “The stock market is too much confusion. I’d like to clarify something. One of the main reasons for the recent growth of Bitcoin is the pending decision by the SEC about cryptocurrency ETF. Exchange traded Fund Winklevosses and not had to get the approval of the SEC. At the moment everyone is waiting for the verdict of the regulator about the ETF, which is sponsoring the CBOE”, — said the analyst, Mati Greenspan eToro.

Similar consequences resulted in the failure of the Japanese Agency for financial services authority (FSA), which began checking local exchanges on suspicion of money laundering. Analysts have published graphs which show how behaved the first cryptocurrency after both events.

From this situation, you can only conclude — cryptocurrencies depend on many institutions, and are not fully Autonomous asset. It affects the actions of governments and banks.

With the verdict of the Bank is difficult to argue. And still hope that cryptocurrency is free from the influence of external factors, and its rate will affect only the internal events in the market.

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