Bitcoin (BTC) price and the broader crypto market corrected as news of a coordinated “international cryptocurrency enforcement action” sparked uncertainty among traders.
Given the number of black swan events and the proliferation of cryptocurrency-oriented scams in 2022, most investors expect US and global regulators to finally lay down a heavy hit on centralized exchanges and other cryptocurrency-related businesses. cryptocurrencies.
At the time of writing, the BTC price had fallen to an intraday low of $20,400, and Ether (ETH) gave back its daily gains to trade as low as $1,500.
As shown in the charts below, the revelation that Bitzlato had been shut down and its founder arrested was a smaller hit than expected by the market and the daily candlesticks reflect a bit of indecision as traders decide whether to re-enter the market.
Additional pressure on crypto assets could also come from a gloomy outlook for the US and global economy in 2023 issued by banks attending Davos and the growing trend of big tech companies laying off staff.
Recent headlines from Cointelegraph and CNBC detail that Microsoft, Amazon, and fintech companies have laid off more than 60,000 employees in the past year, and on January 18, Microsoft announced another wave of layoffs to the tune of 10,000 employees.
