[Bitcoin Now] Hesitation Ahead of 40 Million Won

Ethereum on the Rise... Maintaining the 1.5 Million Won Level

[Asia Economy Reporter Gong Byung-sun] Bitcoin is showing a slight decline, failing to surpass the 40 million KRW barrier.

According to the domestic cryptocurrency exchange Upbit, as of 4:27 PM on the 20th, the price of Bitcoin recorded 39.29 million KRW, down 0.75% compared to 24 hours earlier. After falling below 40 million KRW the previous day, it seems unable to recover.

There is an interpretation that the decline began due to concerns that Bitcoin's price is inflated. On the 18th, Bloomberg reported that Nicholas Panigirtzoglou, JP Morgan's investment strategist, predicted in an investment memo, "If Bitcoin fails to break through $40,000, trend-following investors may exit en masse, leading to a price correction."

Additionally, UBS Global Asset Management expressed concern on the 14th that "if central banks around the world introduce better forms of digital currency or if regulatory changes alter investment sentiment, cryptocurrency prices could fall to zero."

There were also criticisms that Bitcoin is difficult to trust as it can be used by criminal groups for illegal funding. Janet Yellen, the nominee for U.S. Treasury Secretary, stated at the Senate Finance Committee confirmation hearing on the 19th (local time), "Currently, cryptocurrencies face issues related to money laundering and terrorist financing." She also pointed out at her last press conference as Federal Reserve Chair in 2017 that "Bitcoin accounts for a very small portion of payment systems, making it difficult to consider it a store of value."

Meanwhile, Ethereum recorded 1,512,500 KRW, up 0.23% compared to 24 hours earlier. After surging from the 1.3 million KRW range to the 1.5 million KRW range the previous day, it has maintained the 1.5 million KRW level. The 'Ethereum 2.0' upgrade conducted last year appears to have acted as a positive factor. In December of last year, the launch of the new blockchain 'Beacon Chain' was evaluated as having stabilized the financial system. Nicholas Pliaknos, head of trading at cryptocurrency-related company NEM, explained in an interview with U.S. economic media CNBC, "Ethereum has achieved technological advancements and speculative trading has sharply decreased."

This content was produced with the assistance of AI translation services.