After hitting $20,000 in mid-December, bitcoin prices keep drifting lower.
Looking at the news, it’s clear to me why this is happening.
On Monday, the Financial Industry Regulatory Authority (FINRA), the organization that regulates brokers, advisers and financial institutions in the United States, announced that it was going to focus on cryptocurrencies.
FINRA is a big deal if you manage money or if you are a financial adviser … you have to follow its rules and subject yourself to its examinations.
Merrill Lynch, one of the biggest financial broker and advisory companies in the U.S., banned any cryptocurrency investments in its accounts.
The Chinese government this week announced a plan for an orderly end to bitcoin mining.
That’s right after Visa Europe canceled cards that allowed users to access bitcoin.
This comes right after the South Korean government started requiring real names for all cryptocurrency transactions. The government also banned banks from opening accounts for virtual currencies.
The Indian government is waging war on bitcoin and cryptocurrencies by choking the flow of cash to anyone who’s trading these assets.
If you’ve been in markets long enough, you can see a familiar pattern here…