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Bitcoin Dropping After China Warning

January 6, 2017

According to CoinDesk -- The People's Bank of China (PBoC) released two statements this morning, outlining that it had met this week with representatives from BTCC, as well as Huobi and OKCoin - exchanges which host the majority of global bitcoin trading today - and warned them about remaining in compliance with state laws and regulations. After this meeting  Bitcoin plunged by as much as 12 percent on Friday. China's central bank urged investors to take a rational and cautious approach to investing in the digital currency, which is on track for its heaviest two-day drop in two years. According to Reuters the web based digital currency, which has shown an intriguing inverse correlation to the Chinese yuan in recent months, plunged as the yuan soared on Thursday, falling as much as 20 percent at one point. Bitcoin fell as low as $871, down almost a quarter from its peak on Wednesday, before recovering to about $900 by 1455 GMT (9:55 a.m. ET). That still left it down 10 percent on the day and on track for its worst two-day performance since January 2015. To get more information on the Bitcoin slide after China warning click the pictures below to read the articles.

 

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