It’s a bloodbath in cryptocurrency markets this morning…
Having bounced overnight to over $10,600, Bitcoin prices are tumbling once again as we approach the US equity market open…
Ethereum is down over 20%…
While there is no immediate catalyst, CoinDesk notes that ECB Vice President Vitor Constancio- ever eager to talk citizens away from decentralized ‘anything’ – warned about the risks of investing in bitcoin at current valuations.
Speaking to CNBC, Vitor Constancio said developments in bitcoin’s price make it “a speculative asset by definition,” continuing: “Investors are taking that risk of buying at such high prices.”
Even so, Constancio told CNBC that the ECB is not in a position to regulate the cryptocurrency, saying, “We don’t have responsibility or even instruments that point to particular prices of particular assets, that is certainly not the role of central banks.”
His comments echo those of ECB president Mario Draghi, who in September indicated that the central bank does not have the authority to regulate cryptocurrencies.
“It would actually not be in our powers to prohibit and regulate” bitcoin and other digital currencies, he said at the time.
However, on the more optimistic side, CoinTelegraph reports that Ronnie Moas has upped his End 2017 target for Bitcoin to $20,000.
Moas looks at Bitcoin as a whole, incorporating all the chain splits in his split-adjusted price is and considering the price of the forked Bitcoin chains alongside the original was $12,740 when Moas made his new prediction, $14,000 looked undervalued again.
$20,000 is a month away
Moas now puts the line in the sand at $20,000 for the split-adjusted price when the new year hits. Looking at how things have gone so far for Moas, a month is a long time, and perhaps $20,000 will be broken before that time.
