S. Korea is cracking down on cryptocurrency exchanges as well as many financial institutions with ties to crypto assets or exchanges.
The government just wants its taxes. This crackdown has been coming since December when S. Korea announced such plans and warned against activity such as tax evasion and money laundering.
But, the language by Justice minister Park Sang-Ki does sound very aggressive: "There are great concerns regarding virtual currencies and the justice ministry is basically preparing a bill to ban cryptocurrency trading through exchanges,” Park told a news conference, according to the ministry’s press office." (Reuters)
The fear is set and the market is in no mood play in the crypto space today. Bitcoin fell, but it has been falling recently. Even Ethereum, which has been steadily frothing to 14K, stalled and is now back near 11K.
We should pay attention to the overall market capitalization because I think it will not bleed out below $600B.
Total Market Capitalization:
- After breaching $800B market cap, the crypto space started to bleed.
- We are now under $700B market cap, and approaching $600B.
- I think the market cap will find support around $600B.
- I don't think it will go under $550B.