Last week, South Korean regulators announced that the government was preparing a legislation to shut down cryptocurrency exchanges.
On Thursday, Russian President Vladimir Putin stated that more regulation on the cryptocurrency market is necessary. According to him, the country’s Central Bank has prerogative and sufficient authority so far to regulate the cryptocurrency market. “However, in broad terms, legislative regulation will be definitely required in the future.”
Another contributor to the recent bitcoin crash is China. Investors are concerned that the Chinese government will intensify its crack down on the cryptocurrency market. Last year, the Chinese government shut down bitcoin exchanges and prohibited initial coin offerings (ICO).
Makoto Sakuma, analyst at NLI Research Institute in Tokyo, believes that bitcoin’s rally is over.
“I would say the strong rally in bitcoin and other cryptocurrencies we saw last year is over. But while the rally phase is over, I don’t think it is right to say bitcoin is finished,” said Sakuma as quoted by The Guardian.
