News Updates April 05, 2022

1. Bitcoin Key Indicators Suggest Strengthening Case For Fresh Surge:

Bitcoin is slowly gaining pace above $46,500 against the US Dollar. BTC must clear $47,000 to move into a positive territory in the short term.

* Bitcoin is slowly moving higher above the $46,500 resistance zone.

* The price is trading above $46,200 and the 100 hourly simple moving average.

* There is a major bearish trend line forming with resistance near $46,700 on the hourly chart of the BTC/USD pair (data feed from Kraken).

* The pair could start a strong increase if there is a clear move above the $47,000 resistance.

Bitcoin Price Eyes Upside Break:

Bitcoin price extended decline and tested the $45,150 zone. BTC formed a base above $45,150 and started a fresh increase. There was a break above the $45,500 and $45,800 levels.

The price was able to climb above the 50% Fib retracement level of the recent decline from the $47,444 swing low to $45,153 low. It is now trading above $46,200 and the 100 hourly simple moving average. On the upside, an immediate resistance is near the $46,700 level.

2. Bitcoin and Ethereum Move Higher, MKR and CELO Outperform:

* Bitcoin price is nearing UD 47,000.

* Ethereum is back above USD 3,500, XRP might revisit the USD 0.805 support.

* MKR and CELO are up 6% and 18%, respectively.

Bitcoin price:
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After a spike below USD 45,500, bitcoin price found support, started a recovery wave, and is now up almost 2% in a day. It cleared the USD 46,000 and USD 46,500 resistance levels. On the upside, the price is facing resistance near the USD 47,000 level. The next key resistance is near the USD 47,500 level, above which the price could gain bullish momentum.

Ethereum price:
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Ethereum price remained in a positive zone above the USD 3,400 level. ETH recovered losses and was able to climb above the USD 3,500 level, increasing its daily gains to almost 1%. On the upside, the price might struggle near USD 3,550. The next key resistance might be near the USD 3,580 level, above which the price may perhaps rise to USD 3,650.

3. Can India’s Controversial New Tax Law Be Challenged in Court? Yes, Say Crypto Lawyers:

While the overall bill may not be suitable for a lawsuit, lawyers believe a 1% tax deducted at source may be.

India’s top legal experts say the crypto community would have a “fair chance” if they made a legal challenge to a 1% tax deducted at source enshrined in a new crypto tax law.
On Wednesday, the Indian government’s crypto tax legislation received the assent of the President of India, the final formality before becoming law.

The crypto tax law enforces a 30% tax on profits from crypto transactions, effective April 1. Traders will not be able to set off losses from other crypto transactions. Crypto gifts within a family would be exempt, but gifts above Rs. 50,000 ($660) outside the family would be taxable once in the hands of recipients.

Legal precedent:
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Two law firms – Nishith Desai Associates and Ikigai Law – challenged a previous move by a government-adjacent institution.
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The Reserve Bank of India (RBI), the nation’s central bank, issued a circular that effectively prevented banks from providing services to crypto exchanges in 2018. The nation's Supreme Court struck down the RBI circular in March 2020, in a clear victory for the crypto community.

Other legal opinions:
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Rashmi Deshpande, an independent lawyer with a history of crypto related cases believes the legal strategy to approach the Supreme Court is critical.

“If you strictly talk about legal precedence and principles, this (challenging all crypto taxes as a whole) is not a good case to be challenged in the Supreme Court. Right now, crypto businesses should keep dialogue open with the government. Only dialogue can soften the government’s strict stand,” Deshpande said.

4. Six Months After Adopting Bitcoin, Over 50% of El Salvadorans Still Can’t Use BTC Because of No Internet Access

The lack of internet access and crypto education stops El Salvadorans from accepting Bitcoin payments.

5. Bitcoin 2022 Kicks Off in Miami This Week

The world's largest Bitcoin festival commences in Miami Beach this week.
Bitcoin 2022, or Bitcoin Miami, is often the site of major announcements.
The conference's locale—the State of Florida—is rapidly positioning itself as a crypto hub of the U.S.

6. UK Unveils Comprehensive Plan to Become Global Crypto Hub With Dynamic Regulation

The U.K. government has unveiled a detailed plan to make the country a global crypto hub and “a hospitable place for crypto.” The plan includes establishing a dynamic regulatory framework for crypto, regulating stablecoins, and working with the Royal Mint to create a non-fungible token (NFT) to be issued by the Summer.

7. Brazil and Indonesia Global Leaders in Crypto Adoption: Gemini Survey

The US-based crypto platform Gemini questioned nearly 30,000 people across 20 countries to find out what chunk of the population has jumped into the digital asset universe. Per the results, Brazil and Indonesia are the undisputed leaders as 41% of the surveyed people from those nations admitted holding bitcoin or altcoins.

Gemini determined that nations which have experienced a significant economic crisis in recent months are much more inclined to purchase digital currencies as a hedge against inflation. 64% of the questioned Indonesians, for example, believe in that concept. Reports also suggested that  United States and the United Kingdom are far behind with respectively 20% and 18%.

8. Georgia Reveals Plans to Regulate its Crypto Market

Georgia is currently planning to set up regulatory frameworks that will guide the use of cryptocurrencies in the country. The framework will include licensing, compliance testing, and Anti Money Laundering (AML) requirements for crypto exchanges.

The Governor of the National Bank of Georgia (NBG), Koba Gvenetadze, disclosed the move during an interview with The Financial.

9. Private Equity Fund Reportedly Plans to Buy Majority Stake in Japan Major Crypto Exchange

A Japanese, Singapore-based private equity fund is allegedly set to buy a controlling stake in bitFlyer, Japan’s major crypto exchange.

Per Nikkei and CoinPost, the move has been made by the ACA Group, which has agreed on a deal with a coalition of shareholders of the firm bitFlyer Holdings. The latter owns the lion’s portion of the platform’s shares.

The deal will reportedly cost ACA some USD 370 million, and Nikkei added that ACA plans to “eventually sell bitFlyer” after boosting its corporate value.

10. Is the Russian-Ukranian conflict a long-term threat to cryptocurrency?

The armed conflict between Ukraine and Russia is likely to have consequences that stretch beyond the military level, with its effects already being felt throughout the crypto space.

While the armed war between Ukraine and Russia may appear to be confined to a military level, it is likely to have far-reaching consequences for much of the world.

Economic analysts expect it to trigger a dramatic rise in inflation partly because Russia is the world’s biggest exporter of natural gas and second-largest seller of oil.

Russia’s potential escape from sanctions by using crypto may result in increased regulation of the business in the West, but the conflict may benefit the market.