Bitcoin collapsed after Biden’s decree on the control of cryptocurrencies and digital assets

On March 10, the Bitcoin exchange rate approached $39,000 per 1 coin. Now 11 March – 39.180$.

Many experts believe that the cryptocurrency market is similar to the Wild West. What is the mining fever, which has led to a huge demand for semiconductor products, which has become one of the reasons for the outbreak of a shortage of high-performance chips around the world. Well, every gamer knows the sharp rise in prices for video cards. But even without all this, real chaos reigns here. Tens of thousands of traders buy and sell billions of dollars worth of crypto every day, and the Whales perform shock therapy, pumping money into the market or withdrawing thousands of Bitcoins from it in a matter of hours.

All this causes concern among politicians around the world, since it is impossible to consider such an asset reliable, and few decide to ban it overnight. Yesterday (maybe the night before yesterday), the US President signed a decree in which he asked the financial departments to assess the risks of using cryptocurrencies inside and outside the country. First of all, the issue of evaluation should be addressed by representatives of the Ministry of Finance and the Ministry of Commerce, who were asked to evaluate the benefits and risks of cryptocurrencies.

It is proposed to consider certain advantages of the emergence of the national digital currency “digital dollar”. To study what risks the creation of a digital dollar may pose for the stability of the national cash currency both in the short term and as a global payment currency. Propose a plan to protect ordinary cryptocurrency holders in the United States in order to ensure financial stability, as well as curb illegal activities and fraudulent transactions. At the same time, it is proposed to take measures to prevent the use of digital assets in money laundering and avoiding sanctions. In this case, this is a stone in the garden for residents of the Russian Federation who are trying to save their savings with the help of cryptocurrencies.

Against this background, on March 9, Bitcoin soared up, but already on the 10th it collapsed, dropping below $40,000 per coin. Today, experts are not ready to predict further developments, but so far the most unfavorable scenario has been confirmed. The thing is that in addition to the recommendations voiced above, the US government plans to take cryptocurrencies under tight control. This means that it will become more difficult to avoid tax liability, and government departments will have access to information about all transactions, not only for residents of the United States, but also for all those who use major exchanges around the world.

Ideas like this cause fair concern in the community, so investors do not want to expose their money to risky investments. A similar situation is observed with Ether, which you can see in the image above.