CRYPTO NEWS : Fact or FUD? Upbit, Korea, Mt. Gox 11 04 2018

Fact or FUD? Upbit, Korea, Mt. Gox

Upbit: Early this morning (U.S. Time) The Chosun Ilbo, one of the major newspapers in South Korea, shared news of Upbit being investigated by Korean authorities which has sent the market into a frenzy of tumultuousness, forcing many community members to panic sell.

In case you have not heard, Upbit, South Korea’s largest cryptocurrency exchange, is alledgedly under investigation for fraud. The market, as one would expect, has reacted poorly to this news. A source we have in Korea close to the matter told us that as a part of an active investigation, Upbit had some records seized. That’s all we know at this time.

It’s important to note, however, that having records seized doesn’t mean Upbit has done anything wrong, it doesn’t mean funds are at risk, and it doesn’t mean that Korea is banning crypto

Mt. Gox: Over the last 24 hours, we’ve seen many claims that Bitcoin’s negative price action is the result of another sell off from the Mt Gox wallet. What’s true, is that the wallet has sent over 8,000 bitcoins over the last day.

What we don’t know, is whether or not those Bitcoin have been sold. However, when one seeks to sell that many Bitcoin, they don’t just log onto GDAX and hit “Market Sell”. There are programs in place (look up Dark Pools) along with OTC buyers that would likely help faciliate the buying of the Bitcoin, likely over an extended period of time.

At this time, its more likely that simply moving the coins has caused more of a market reaction than actually selling them would. Try not to get too caught up in the recurring “Mt Gox FUD.”

Like all accounts of fear, uncertainty, and doubt, we suggest taking a calm approach to what has unfolded, in that news such as this typically blows over in a day or two. The Bitcoin Bravado team feels this is a perfect time to pull from its reserves to cost average into several projects.

Below is a simple look at Bitcoin price action currently. We fully expect a bounce in this area, however with the lower volume typically brough on by the weekends, and the bearish sentiment that has set in after a +45% month, we see many analysts (including ours) eyeing a long target of $7800 USD if current levels falls through.