• US President Donald Trump signed an executive order banning American citizens from using Venezuelan digital currency
  • A major risk identified for Ethereum. Will crypto whales cause a crash?
  • Israeli watchdog announces cryptocurrency companies will not be included in stock exchange indices

US President Donald Trump is always among the most influential people in the world regardless of what the field of the global economy we are talking about. He has sparked recently some concerns regarding a possible trade war imposing tariffs on imported steel and aluminium igniting retaliatory steps taken by the European Commission. Moreover, the newest revelations coming from the Washington Post suggest that Trump is likely to unveil more details on his tariff plan targeted directly at Chinese products worth up to $60 billion annually. Now Trump is going to take on virtual currencies via signing an executive order banning America citizens from using Venezuelan cryptocurrency dubbed “petro”. Let us remind that the Venezuelan digital currency has been recently launched so as to evade economic sanctions imposed by the US. There is no doubt that the latest step taken by the Trump’s administration has been aimed at cutting off Maduro’s funding being the first time the US President linked to cryptocurrencies.

link do file download linkBitcoin has already neared the closest supply zone which could halt bulls’ intentions at least for a while. On the flip side, if the price moves through this level it could pave the way for an extended swing to the upside. Source: xStation5

Why could Ethereum witness a crash going forward?

Crypto whales are wealthy traders with the ability to move markets via a single order, however, in terms of cryptocurrencies those traders are not the only game in town as ICOs seem to play yet more important role. According to some calculations over 3% of the total Ethereum supply might be in the hands of ICOs, hence one may suspect if those projects cash out, as it happens from time to time, it could fuel a full-blown crisis of Ethereum. Furthermore, when we take into consideration that cryptocurrency markets are much less liquid than traditional financial markets we’re getting a receipt for a painful scenario when it comes to the second largest digital currency.

link do file download linkEthereum is possibly coming to an end of its downtrend if a demand zone at $480 halts the ongoing decline. Source: xStation5

Israeli regulator takes efforts in a bid to reduce systemic risk

The Israeli Securities Authority (ISA) announced that it would not include cryptocurrency-related companies in the country’s stock exchange indices officially in order to reduce systemic risk. In a statement the ISA wrote that steps were taken in response to “the exceptional trading in securities of companies on the Tel Aviv Stock Exchange who announced in recent months that they intend to operate in the cryptographic currency sector.”