Bitcoin’s recent price movement has taken a dive to the $27,000 level, raising concerns among traders and investors.
As there has been a change in market sentiment, all eyes are now on the crucial $26,600 support.
The ability of the cryptocurrency to hold this support level will determine its next move and could potentially set the tone for near-term price action.
In this bitcoin price prediction, we delve into the factors affecting the market and analyze the importance of the $26,600 support level.
EU officials enact MICA framework into law
The European Union (EU) has officially signed A bill known as the Markets in Crypto-Assets (MiCA) framework in law. Introduced in 2020, the bill aims to establish a stronger regulatory framework for crypto assets within the European Union region.
After receiving approval from finance ministers, the bill was signed on 31 May by Sweden’s Minister of Rural Affairs Peter Kullgren and European Parliament President Roberta Metsola.
Over the course of three years, the MICA Framework underwent intense discussions and deliberations among EU parliamentarians before its final approval.
The framework aims to create a unified regulatory environment for crypto assets across EU member states.
The law will take effect in 2024, marking the start of regulation for crypto firms operating within the EU region.
Crypto Anti-Money Laundering Guidance To Take Effect In UAE In June
On 31 May, the UAE Central Bank announced the launch of new guidance related to anti-money laundering (AML) measures for virtual assets, cryptocurrencies and NFTs.
The focus of this guidance is to ensure that financial institutions operating in the UAE comply with AML and CTF (anti-terrorist financing) measures.
The Central Bank of UAE acknowledges the potential risks of virtual assets and their service providers.
The bank stresses the importance of implementing due diligence procedures for regulated financial service providers when dealing with customers involved in cryptocurrencies and NFTs.
The new rules will take effect in June. They will apply to various institutions including banks, payment service providers, exchange houses, finance companies, insurance companies, brokers, hawala providers and agents.
The primary objective is to implement measures that prevent illegal activities such as terrorist financing and money laundering.
The new guidance is in line with the standards set by the Financial Action Task Force, FATF, and incorporates them into the UAE’s regulatory framework.
Justin Sun’s Comments Helped Bitcoin Stabilize Amid Fall
justin sunThe Tron founder expressed his approval over the recent decision to allow retail investors in Hong Kong to engage in virtual currency trading starting today.
He saw this as an important milestone for China’s crypto industry, which is known for its restrictive stance towards digital assets.
Sun’s comments were in reference to a recent announcement by Hong Kong that will allow retail traders to buy and sell cryptocurrencies as the country repositions itself as a digital asset hub.
However, companies wishing to join this new initiative will have to obtain a license under the new rules.
According to Sun, a notable aspect of Hong Kong’s policy is that Chinese residents can also participate in retail crypto trading on Hong Kong exchanges, thereby expanding the crypto market in mainland China.
These comments from Sun Yuchen provided some support for bitcoin on Thursday and helped limit further losses in its price.
bitcoin price prediction
Bitcoin It is currently priced at $26,858 as of June 1, showing a decrease of about 1%% over the past 24 hours.
The leading cryptocurrency continued its decline for the fourth consecutive session, reflecting a bearish trend.
This comes as the broader cryptocurrency market is experiencing mixed feelings.
Bitcoin price is showing a slight bearish trendline, which is hovering near the 26,850 level.
Analysis on the four-hour time frame shows that bitcoin has already reached the 78.6% Fibonacci retracement level before declining further towards the next support at $26,650.
The importance of this support level was discussed in our previous update, as a breach of it could lead to a bullish reversal in bitcoin price.
The appearance of a bearish engulfing candlestick formation below the 50-day exponential moving average suggests that the bears are currently dominating the market sentiment.
Nevertheless, a trend reversal is likely as long as the price holds its position above the 26,600 level.
This could lead to a potential upside move, targeting resistance levels at 27,300, 27,500, or 28,000.
On the downside, if bitcoin breaks below the $26,600 support, the next target for sellers could be near $26,000.
Top 15 Cryptocurrencies to Watch in 2023
Prepare yourself for a fascinating selection of cryptocurrencies carefully selected for their potential in 2023 by CryptoNews and Industry Talk.
Get ready to dive into the realm of exciting possibilities and tempting opportunities these digital assets offer.
Disclaimer: The Industry Talks section features insights by crypto industry players and is not part of the editorial content of 0x0news.com.
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