Crypto News Weekly 07.09.18: Goldman Sachs short crypto market, Ethereum to zero

Goldman Sachs shorts the crypto market, Ethereum to zero? 

The markets took an unexpected rapid dive this week upon the breaking news that Goldman Sachs shelved any current plans to open a crypto trading desk due to uncertainties over regulation. Within hours, there was a big dip for the whole market taking $39 billion off the market cap. In some quarters, there were calls that the market was being manipulated, maybe even shorted by Goldman Sachs or other insiders to sell short and then buy the dip.

On September 2, a 10,000 bitcoin short order to sell for approximately $74 million was placed to sell just ahead of the massive dip, and rumors are rife as to who was behind a very profitable move, but whoever it was does seem to have had knowledge of what was coming.

In the same period, one Bitcoin analyst has declared that he believes Ethereum could even go to zero and the system still continue to work.

British artists sells whole collection for crypto

British artist Lincoln Townley, a man dubbed by Michael Caine as the next “Andy Warhol” has sold his latest collection, Behind the Mask, which will be showing at the Venice Biennale next spring over the weekend via Whats App for cryptocurrencies.

The self-taught artist whose work has been bought by the likes of Al Pacino has built up a network of digital art buyers negating the traditional art market and galleries, completely cutting out the middleman and has been a fierce proponent for artists finding new innovative ways to work outside the traditional frameworks. Mr. Townley is also a firm believer in Bitcoin, stating that in the long term he believes the value can only rise.

Russian police snatch Bitcoin ATMs

Russian police have seized 22 Bitcoin ATMs owned by the company BBFpro from their public locations across nine different Russian cities in a move they claim may take up to six months to return said machines while they work out how the systems work.

The machines only sold Bitcoin, and the company had implemented a pilot Know Your Customer scheme beyond legal requirements. The company, one of a few operators in Russia, is now filing legal papers for financial losses and the return of the machines. In the same week, ResearchandMarkets published a report predicting that the global crypto ATM market would grow from $16.3 million in 2018 to $144.5 million in 2023.

Bitcoin rises to $24,000, but only in Iran

This week, local news sources in Iran announced that the government, through its own High Council of Cyberspace (HCC), had legitimized cryptocurrency mining as an industry. Also, Iran is still busy developing its own national cryptocurrency to beat international sanctions and has banned Bitcoin and other cryptos as illegitimate currencies, trying to block exchanges. As the news of the move hit the Iranian market, Bitcoin prices on local exchanges such as Exir peaked up to $24,000. 

As a backdrop, the national currency, the rial, has been collapsing, losing half its value in the last year since Donald Trump exited the Joint Comprehensive Plan of Action (JCPOA) in May and imposed sanctions.