Other negative news may have hit the bitcoin price more severely this week, but they have not done it.
On Monday, the North American Securities Administrators Association announced that a crackdown on the "Cryptosweep" operation on cryptocurrency fraud has resulted in about 70 national investigations and investigations since the beginning of this month. Thirty-five application actions are pending or completed.
"These actions signal that" adult supervision "is coming to the crypt and adding that supervision increases incrementally the structural integrity and legitimacy of the investor of the crypto-currency," said Tom Lee of Fundstrat in a Thursday report. Lee maintained his average price target of $ 20,000 on bitcoins and a year-end forecast of $ 25,000.
That said, it may take more time for the cryptocurrency market to recover from regulatory uncertainty that contributed to more than 50 percent bitcoin at the start of this year.
Lee predicted that the bitcoin would get a boost last week from Consensus and other cryptocurrency conferences during New York's "Blockchain Week".
But the excess of regulation persisted. On Friday, during the week of conferences, the bitcoin has dropped to the lowest level since April 20, a minimum of three weeks, after the prosecution broke into the largest exchange of cryptocurrencies in South Korea.
"The cryptography market is still in its infancy – we are relatively in the age of the stones – and very sensitive to news and manipulation," said Matthew Roszak, co-founder of the blockchain company Bloq and president of the Digital Chamber of Commerce.
"As the market matures with better infrastructure (exchanges, futures, etc.) And greater participation by global institutional investors", he said, "the market will overcome these growing pains."