BITCOIN STALLS AS BINANCE FACES MORE REGULATORY QUESTIONS
Not a great week for bitcoin as it’s squeezing into a tight consolidation range in the low-$30,000s. The cryptocurrency, promoted as a hedge against inflation but still seen as a risky asset, took a dip on Tuesday, following a Labor Department report of an accelerating inflation. “Overall, the risk of downside below $30,000 on bitcoin is much higher now than what it was in the months of May and June,” writes Pankaj Balani, CEO of crypto derivatives platform Delta Exchange, in a note shared with Forbes. As of Friday morning, bitcoin is changing hands at a price below $32,000.
The breakdown one direction or another may come as the Grayscale Bitcoin Trust (GBTC) will release a swath of its shares worth 16,240 BTC on July 17, one of the largest such unlocks to date. Analysts have been debating what impact the coming unlocks will have on bitcoin’s price.
Meanwhile, the largest crypto exchange in the world, Binance,stopped selling tokens linked to shares of publicly listed companies a.k.a tokenized stocks in the face of the latest regulatory probe. On July 16, Hong Kong’s Securities and Futures Commission (SFC) said Binance was not licensed to sell “stock tokens” in the city.