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Bitcoin Set for Second Consecutive Week of Gains

July 5, 2018 at 14:13 by Matt Jackson

For the first time since the end of April, cryptocurrency Bitcoin looks likely to achieve a second week of gains. Although the level of volatility in the market means this is no sure thing, Bitcoin prices started the week at $6,360 and are currently sat at $6,620.

The gains come amid news that social network Facebook will allow some cryptocurrency advertising on its site again, although companies must complete an application to be included. Bitcoin is completely decentralized so they would not benefit from the lifting of the ban, but exchanges like Coinbase and Binance would be able to advertise and draw in a greater number of investors and more money. Facebook initially placed a blanket ban on all cryptocurrency advertising in January, although they did say at the time that they would continue to look into their policy and change it as they gathered more evidence. Rumours have circulated that the social network has taken the move because they are considering buying crypto exchange Coinbase, although these rumours remain unconfirmed.

Coinbase has also been in the news this week as they launched their Custody service. Coinbase Custody offers institutional investors the opportunity to place $10 million or more of Bitcoin and cryptocurrencies in cold storage. This is one of a number of applications and services being offered by one of the world’s biggest exchanges, and the company hopes to attract $10 billion more of institutional money into the sector; a move which they have said would not only help themselves but would also serve to help the cryptocurrency market as a whole.

Meanwhile, a body of world tax authorities, including those from the UK, US, the Netherlands, Australia, and Canada, has been formed in order to tackle cross-border financial crimes. They will pay particular attention to Bitcoin and cryptocurrencies because of the potential for money laundering, and the fact that they believe a lot of people do not accurately report their Bitcoin holdings for tax purposes. Additional regulation is seen as being inevitable, and while many current investors believe it goes against the decentralized nature of cryptocurrency, there are those that believe it will help settle the market, reduce volatility, and attract more money from institutional investors.

If you have any questions and comments on Bitcoin today, use the form below to reply.

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