How is the digital coin trading despite the negative impact on it? Find out with the 11 January Ethereum Price Fundamental Forecast from OctaFX.
11 January, OctaFX – The price of Ethereum – and other cryptocurrencies – fell today, as news emerged that South Korea was readying a bill for cryptocurrencies trading.
The news adds problems to cryptocurrencies, which have been receiving negative headlines in the last few days. On Wednesday, Warren Buffett warned that cryptocurrencies would not end well. It was also reported that South Korean officials had invaded several exchanges on suspicion of money laundering.
Yesterday, WSJ reported that China had silently ordered the closing of Bitcoin mining operations. It was also reported that a major bitcoin event stopped accepting payments in bitcoins.
If the bill passes, it could be a major issue for bitcoin and other cryptocurrencies. This is because South Korea has some of the best-known exchanges in the world. 10% of all Ethereum and 5% of all bitcoins are traded against the South Korean won respectively.
As you recall, in 2017, China banned all cryptocurrencies exchanges leading to a massive sell-off. However, trading continued in the over-the-counter (OTC) exchanges.
The latest news, while significant, could create a ‘buy the dip’ scenario. Remember, many countries like Russia have been open to the idea of Blockchain. Therefore, like China showed us, if countries ban the exchanges, companies will move to other low-cost countries.
11 January Ethereum Price Fundamental Forecast
As of this writing, the ETH/USD pair was down 10% and testing the week’s low of $1117.09.
In case of a reversal, traders should watch the $1216.35 and the $1239 levels as shown below.
This article about 11 January Ethereum Price Fundamental Forecast was provided by OctaFX. It should substitute for professional marketing consulting. Forex margin trading involves substantial risks. Forex margin trading exposes participants to risks including, but not limited to, changes in political conditions, economic factors, and other factors. All of which may substantially affect the price or availability of one or more foreign currencies.
Also, speculative trading is a challenging prospect, even to those with market experience and an understanding of the risks involved.