Wednesday, May 29, 2024

Following China’s crypto crackdown, Bitcoin traders are wary, yet DeFi outperforms.

According to news reports, the Bitcoin traders are continuing to remain cautious as Bitcoin’s trading value fell down following the Chinese crackdown on crypto. Before the announcement of the crypto ban, Bitcoin was trading at around $43,000, however, over the past 24 hours, the trading value has fallen flat. Many crypto analysts have been monitoring the data on the blockchain for any signs of buyer accumulation. However, the analysts believe that it is too early to determine whether the sellers have yielded.

Presently, the trends are suggesting that many buyers have shifted their attention from Bitcoin to other decentralized finance (DeFi) tokens. This comes as China’s financial regulators issued a circular on 24 September, highlighting the framework in which they would execute the ban on crypto trading and mining activities. According to the data provided by Messari, the value of the PERP token has spiked by almost 55% to reach $17 on 26 September. Thereafter, it settled down at around $15. The PERP token is used for incentivizing and facilitating the centralized governance of the Perpetual Protocol.

Many analysts are of the opinion that the crypto industry in China will cease to exist after the official announcement of the recent ban. The founder and CEO of Ballet wallet, Bobby Lee, believes that many OTC platforms which have been operated by big exchanges will close down. This is quite true, as the Ethereum mining pool, SparkPool, informed on 26 September that it would suspend the services for its users by the end of the month.

Cryptured Team
Cryptured Team
The writers team at Cryptured.com is composed of passionate and experienced journalists who cover the latest developments in the crypto and blockchain space. They aim to provide accurate, unbiased and easy-to-understand news and information for their readers, as well as insights and analysis from industry experts. The writers team is always on the lookout for new and exciting stories that can help the general public learn more about the potential and challenges of these technologies.
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