However, we shall not forget that the US-government and the Bulgarian government own seized Bitcoins worth more than 3 billion US-Dollars and they want to sell them. We have to expect many major setbacks of the price of the Bitcoin at any time and this will make trading the Bitcoin much more volatile and risky in the future.
We shall not forget that minor triangle patterns did not behave as expected during the last few weeks. As I already mentioned in my analysis from January 10, 2018, we cannot expect that chart signals will always work the traditional way for the months to come.
I could confirm the Chinese rumors on Bitcoin . The Chinese government is now having its eyes on local bitcoin miners present in the country. A huge number of miners has set their operations at some places in China, where electricity is available at low cost. With the Chinese government getting involved in control over these activities, it could possibly have a massive impact on the price of Bitcoin . According to some Twitter messages, the Chinese government is planning for an “orderly exit” for Bitcoin mining operations because the miners have consumed “huge amounts of resources.” - https://www.coinspeaker.com/2018/01/10/c...
We expect official news about this matter today. Depending on the conditions of this "orderly exit", the price of the Bitcoin could fall into nowhere. If Bitcoin mining becomes much more expensive, it could also have the opposite effect and skyrocket the price of the Bitcoin . I stay on the sideline, ready to act on the news.
Bitcoin is trying to breakout on the upper side of the triangle.
What does it mean for cryptocurrencies when China switches off all minters suddenly? Will there be a high level of disruption? Will the cryptocurrency verification still be possible? How big will the impact be on Bitcoin? Are there investor who will lose their Bitcoins?
Many questions that are answered in the newest Wall Street Journal article:
This is the today's headline of the Financial Times.
“There are great concerns regarding virtual currencies and the justice ministry is basically preparing a bill to ban cryptocurrency trading through exchanges,” said Park Sang-ki, South Korea’s justice minster.
Personally, I will react to governments that take measures against cryptocurrencies. I will no more buy goods from their countries.