Cryptocurrency Trading News: Market Falls Abruptly after FXBTC Announces Shutdown

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Cryptocurrency Trading News

ForexMinute.com – The impact of the recent PBOC ruling is finally beginning to make a grave mark on the face of the Chinese Bitcoin industry. By the time we thought that the market is finally recovering from the economic duds it made last week, another major announcement from China inflicted more bumps for Bitcoin and altcoins likewise. This time it was one of the largest Chinese exchanges FXBTC that reinitiated the [provisional] fall of cryptocurrencies.

The Bitcoin exchange announced on Friday that it will be shutting itself down entirely after facing severe pressure from the central bank. As per the announcement, FXBTC would be shutting down its website this year on October 5th, and has also asked its users to withdraw all their funds before the final date.

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A translated version from their recent notice says:

“Due to the recent central bank’s policy, we were unprecedented pressure, including the inability to recharge withdrawals, preventing normal operation, issues and other aspects of the decision-making difficulties. Our site, for more than a year, has won the support of the majority of users. It although is experiencing a lot of problems, while facing the central bank’s long-term blockade. Now we can do nothing after facing these long-term losses, and have finally decided stop operating FXBTC. In order to facilitate the user to get back their cash, we will open the site until May 10, 2014. You are requested to take out your before the aforementioned deadline, after which we will close the site. FXBTC team thank customers for long-term support again! FXBTC Team 2014-05-02.”

As a result of the announcement, Bitcoin and altcoin prices fell sharply during the late Friday hours, the course that remained even on Saturday. In those hours, only Blackcoin managed to see a substantial rise in double figures. One would find it amusing how Blackcoin has managed to remain in the top when the market was falling. Though, we can’t conclude this theory without rooting further.

Meanwhile, here is the market report of the last 24 hours.

BTC/USD
If we recall the last 24 hours of Bitcoin, we can see how the BTC/USD reacted to the FXBTC announcement, and fell strongly from the peak of $449 to the pits of $431 within a mere 24 hour gap. The embarrassing downtrend although was saved by some positive sentiment as well established businesses continued investing in the Bitcoin.

As of today, the pair has once reached to $440 but later fell once again to an acceptable $438. It is now trading at the same price at this time of writing.

Litecoin, Dogecoin Mirrors Bitcoin
The Litecoin and Dogecoin prices have also reacted to the PBOC-inflicted mishap. While the LTC/USD pair has fallen from the Friday’s peak of $11.029 to as low as $10.103, the DOGE/USD too has fallen from $0.00050431 to the lower value of $0.00045857.

To contact the reporter of the story: Yashu Gola at yashu@forexminute.com

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