Financial market participants and followers associated with Cryptocurrencies, are requesting regulations in order to protect their interests but most importantly to add further transparency to the market.

In Australia and New York State actions have already been taken and now Canada is also getting ready to follow up as the blossoming industry becomes increasingly mainstream.

During mid-May, the European Union set an agreement in place for cryptocurrency exchanges to identify users in order to boost bitcoin’s legitimacy and to prevent criminals from taking advantage by moving money around the world.

Though, the problem is not resolved as all the continents must synchronize the regulation activities in order to create a global regulation system on Crypto’s.

Abusers can choose to use the most appropriate country with low barriers of regulation and carry out criminal or foul activities effortlessly.

Legislation targeting virtual-currency exchanges was introduced back in 2014, though those rules have yet to come into effect.

Currently, the issue remains and exchanges that belong to the “money services business” are left unregulated and the people investing money in these industries are seemingly unprotected from many scams and fake websites that are surging the Internet.

Furthermore, the digital coin market could be sensitive to negative comments coming from various acclaimed figures within the global financial community as these could be harmful to the perception of the world regarding the credibility of the digital coin industry.

All these established figures do create volatility speaking in public. In our opinion, investors should be able to create their own views on decisions.

May has been a volatile month for cryptocurrencies, but most notable is the overall downward trend in prices though can also be viewed positively as it creates opportunities.

Investors are seen to believe in the power of block chain, the technology behind Bitcoin and other digital assets.

In our opinion, investments could increase as numbers confirm that daily volatility on Crypto’s has increased in 2018 and is forecasted to rise even further.

Blockchain allows people to communicate their transactions more efficiently and more countries are now utilizing it.

As a conclusion, we believe Crypto Currencies are undergoing a difficult period with a lot of criticism against them and subsequently entering a sell off.

On the other hand, presently, we are seeing many countries opening crypto currency exchanges indicating that people could be interested in the digital market.

However, whether cryptocurrencies and the technology that powers them will reshape the financial system remains to be seen, but control from regulatory bodies could help stabilize the crypto currencies aggressive movements and negative outlook.

Technical Analysis on Bitcoin

Bitcoin is currently trading at approximately 7455 USD.

In the past weeks, the digital currency has broken all our previous support levels which have now turned to resistances.

If the bulls take the driver’s seat we could see it reaching the 7,615 (R1) Resistance level and breach it, aiming for the 7,890 (R2) Resistance hurdle.

If the bears take the upper hand we could see the digital currency moving towards the 7,315 (S1) Support level and even breach it, aiming for the 7000 (S2) psychological number.

It must be noted, that further news of regulations for the cryptocurrencies market could create volatility.