The cryptocurrency market has seen an abrupt drop in Bitcoin’s price which sent it down to $25,900. The cause for this fall was the withdrawal of Binance from Canada. This is just one of the many setbacks that the crypto sector is currently facing as it struggles against the significant control of the US regulators, low liquidity and wide spread macroeconomic problems.

Liquidity has been a persistent problem with the majority of the crypto banking such as Signature Bank and Silvergate closing their doors. But the situation may take an even worse turn considering Bloomberg's news that the great traders Jump Crypto and Jane Street are taking a step back from the US.

Moreover, the US government is limiting the crypto industry with omnipresent investigations and accusations to induce clear regulations. All these limitations come on top of the Bitcoin network being overwhelmed with transactions, leading to an increase in BTC fees as well as Binance having to temporarily halt BTC withdrawals, as the original network was not made to handle high-volume transactions.

Evidently, the crypto sector is dealing with a long list of issues and their resolution will depend on the future regulatory framework imposed by the US government. Although Bitcoin has gone up by 59% this year, trading remains highly volatile, but global acceptance of cryptocurrencies is still increasing.



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