The cryptocurrency markets suffered a considerable blow yesterday as the first phase of the Libra Senate Hearing concluded on 17th July. Devid Marcus, the representative of the Libra Association and Facebook, was grilled by all parties on privacy and security concerns.
Moreover, due to the limited time, most senators were unsatisfied with the response at the moment. However, David also reiterated that the announcement was made a year tentatively before the launch to address regulatory and market concerns. The Association is committed to complying with all national and international laws.
BTC/USD 1-Day Chart on Bitstamp (TradingView)
Libra announcement also had a substantial effect on the crypto-markets as Bitcoin seemed to become mainstream. Nouriel Roubini, who has actively engaged with the crypto-community in recent times due to the debate between himself and BitMEX exchange CEO, Arthur Hayes, noted about the fall,
Bitcoin down 14% in last day to below 9.5K! Ouch! It must hurt to get so rekt so fast! Calling bitcoin a currency – let alone 1000s of other shitcoins – is a joke: they are not a unit of account, they are not a means of payments (5tps) and no stable store of value (-14% in a day)
The altcoins dropped even lower as they broke below support levels. Ethereum and Litecoin are currently testing $200 and $80 respectively, with EOS and Ripple in a bearish trend below $4 and $0.3 as well.
Nevertheless, as the drop in Bitcoin was also a probability through technical analysis, the optimism in the market is still intact.
Metlem Demirors, the Chief Strategy Officer at Coinshares,