Ethereum has been hit hard recently with the official ban on ICO’s being enforced in China. Being one of the biggest markets for the coin, prices did dip significantly following the announcement, however having recovered, another blow was deal recently as South Korea too announced their intentions to ban ICO operations using any form of cryptocoin.
“Raising funds through ICOs seem to be on the rise globally, and our assessment is that ICOs are increasing in South Korea as well,” South Koreas Financial regulator
Currently it is unclear what sort of ban may be imposed as reviews are under way to decide on the punishments which may be enforced on the now illegal funding of business with cryptocurrencies. However the crackdown on cryptocoin ICO’s will include a prison sentences as the regulator has already arrested a number of individuals associated with launching fake and fraudulent cryptocurrencies. The crackdown will also affect the wider crypto community as the regulator also aims to make on site inspections of many corporations involved in dealing digital currencies.
To conclude, the price of ether is just remaining stable with many analysts predicting a fall to occur if exchanges too follow suit and pause trading of crypto which happened in other countries. South Korean exchanges do contribute a significant trading volume particularly to Ethereum markets such as the Korbit exchange, which we have previously discussed. Bithumb has also become a key player in the crypto trading realm accounting for over $427 million in trades. Currently many traders advise on waiting 72 hours to see the full impact on the currently news coming out of the country. If prices do dip below the $200, $165 has been pointed as a significant buy level with prices unlikely to dip lower.