The US Department of Justice has opened the criminal investigation into the manipulation of cryptocurrencies.
The legacy media latched on this news and created a FUD among the newbies which has led them to sell the assets quickly and brought the crypto market cap a bit down.
Cryptocurrencies prices are inversely proportional to the news about the government regulation. This is not to say that regulations are all bad.
It just means that they are not a very good news as far as the wild west of the crypto market is concerned. But not everyone is unhappy.
According to Fundstrat Global, there is a need for adult supervision as far as crypto markets are concerned. So they are welcoming this news.
Fundstrat Global is considered to have a Svengali stature among Wall Street crypto watcher.
Thomas Lee, the head of the Fundstrat Global argued that these stories about the regulations and crypto investigations have already pressurized the crypto market.
The headlines have reduced the chance of risk among the users and have acted as a deterrent for the short-term investment inflows from new customers.
But he favored these action as they point to the incoming adult supervision that is coming to the crypto market.
He said that he was supporting these actions because these actions create an oversight. This oversight is very beneficial in the long run.
They create structural integrity and legitimacy for the crypto investors according to Mr. Lee’s statement.
This also points that in order to involve themselves, the institutions must have a regular grasp on the happenings of the crypto market.
The announcement or more precisely his prediction regarding the prices of Bitcoin core during Consensus conference doesn’t come to fruition.
He was very accepting of that fault. But Fundstrat Global seems hell-bent on its bullish stance on the Bitcoin Core for the time being.
Disclaimer: Koinalert’s content is only for information purpose in nature and should not be considered as investment advice. Do your own market research before investing in any cryptocurrencies. The author or publication does not hold any responsibility for your personal financial loss.