The global cryptocurrency market began the month of February 2018 very badly, with a whopping $100 Billion in losses within just 24 hours from Thursday February 1st, overnight to Friday February 2nd.
After the dust had settled from one of the biggest slumps in the history of the cryptocurrency market, Bitcoin reported $40 billion in losses representing a 21% fall, ripple suffered a 30% hit amounting to $15 Billion, ethereum loss was at $13 Billion representing a 13% drop in its value while litecoin suffered a 26% slump equalling $3 Billion.
All eyes are now on a major event happening this week for a rebound. The United States Senate Committee on Banking, Housing, and Urban Affairs known mostly as the Senate Banking Committee meets tomorrow Tuesday February 6th to discuss regulatory issues relating to cryptocurrencies. The Committee whose mandate covers banks, banking and monetary policies is expected to issue regulatory clarity regarding cryptocurrencies in its much anticipated Tuesday meeting.
The cryptocurrency market is hoping that the Senate Banking Committee meeting will issue pronouncements that will serve as a green light for institutional investors to be certain what areas of digital currency investments they can take part in and areas that they can’t venture in.
The cryptocurrency market is hoping that the Senate Banking Committee will also tackle the seemingly conflicting roles of the Securities and Exchange Commission (SEC), the U.S Government body that regulates the stock markets and the The U.S. Commodity Futures Trading Commission (CFTC), the independent body of the U.S government to regulate futures and options.
Cryptocurrency enthusiasts are hoping that the Senate Banking Committee will announce a single over reaching regulatory framework that will cover the industry as opposed to having multiple and conflicting oversight.
The cryptocurrency market is hoping that any good news from the Senate Banking Committee will boost investor confidence in the sector, thus helping to recoup the huge losses made going into last weekend.