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  • Bitcoin gained 1.25% on a daily basis despite the altcoins stellar rise.
  • BTC/USD is well supported by $6,300 for the time being.

Bitcoin has been snoozing in a tight range during Asian hours, capped by $6,400 on the upside and $6,370 on the downside. The market may awaken soon as European players are starting to join the game and come to grips with what’s going on in the crypto universe.

Apart from sobering news about another hacked cryptocurrency exchange in the Land of the rising sun and speculations about someone’s shopping spree with 5M XBTUSD contracts purchased via BitMEX at $6,469, there is a fresh batch of regulatory and governmental comments to consider.  

The opinions of the authorities, as always, were mostly negative. Thus, the United Kingdom’s Treasury Committee published a cryptocurrency report with certain conclusions and recommendations for investors.
According to the report, although cryptocurrency assets such as Bitcoin [BTC] and other altcoins have been embedded in certain groups of societies and industries in the United Kingdom, the committee is not convinced that ‘it’s here to stay.’
Specifically, the Committee emphasized that digital assets have no inherent value, while their prices are too volatile, driven by emotions and speculative forces as opposed to the market fundamentals. The unstable nature makes these assets highly risky and ill-suited for retail investors, which is aligned with the position of FCA.  

Meanwhile, the British government and regulatory authorities adopt a passive approach towards crypt-currency related risks and let the situation run its course.
“The Committee is aware of the establishment of self-regulating bodies in the crypto-asset industry such as Crypto UK, which set out codes of conduct and best practice for the industry. However, as these standards are wholly voluntary, there are inevitably firms ignoring them,” the report states.

Earlier we reported that the Treasury Committee published a new report, stating that “wild west world of cryptocurrencies should be regulated.”

Bitcoin’s technical picture

From the mid-term point of view, BTC/USD is trading in a range, limited by $6,500 on the upside and $6,000 on the downside. A sustainable breakthrough in either direction is needed to create a directional movement. Once above $6,500 the upside may be extended towards the next hurdle at $6,620, produced by 38.2% Fibo retracement for the downside from $9,500 to the recent low at $6,116 and SMA200 (4-hour chart).

BTC/USD, 4-hour chart