Bitcoin has fallen back below $32,000 after more bad news. MicroStrategy now owns more than 100,000 bitcoins after the company’s latest cryptocurrency purchase and it looks like they are losing money in the short run. ETH also fell well below $2000. Other illicit assets also fell.
China’s crackdown on cryptocurrency mining has extended to the southwestern province of Sichuan, according to reports. The People’s Bank of China said Monday it had urged Alipay and some major banks to crack down on crypto trading. Essentially the goal is to block payments outright.
Bitmain has suspended sales of mining machines after sales fell 75%. Speculation that some machines will be liquidated may flood the market with prices lower.
Bitcoin isn’t as anonymous as people think it is, according to Eswar Prasad, a professor at Cornell University. Other issues include the fact that bitcoin mining is extremely bad for the environment, and it doesn’t work well as a currency, he said.
U.S. stocks climbed on Monday as the market recouped some of the steep losses caused by the Federal Reserve’s policy shift. The broader market is still trying to digest the high inflation number and speculating over the upcoming fed meeting. At present, a lot of cash is pouring into the economy and fed watchers are looking at inflation and the possibility that the fed might act.