Home » Cryptocurrency News » Cryptocurrency News » Robinhood Restricts Crypto Trading Due To ‘Extraordinary Market Conditions’ Robinhood Restricts Crypto Trading Due To ‘Extraordinary Market Conditions’ January 29, 2021
The US financial services company Robinhood continued with restricting its users from accessing its most popular products.After yesterday’s halt of GME stocks, the platform has suspended instant cryptocurrency buying, citing “extraordinary market conditions.” Robinhood’s Restrictions Reach Crypto
Following the GameStop sage, in which the company’s stocks went parabolic driven by retail interest, Robinhood barred traders from buying its shares.The firm argued that it was looking out for its clients’ interests.
However, most people refuted the reasoning, which led to a class-action lawsuit against the company filed by a customer.He blamed the trading platform for “purposefully and knowingly” trying to manipulate the market “for the benefit of people and financial institutions who were not Robinhood’s customers.”
It seems that this controversy was not enough for the San Francisco-based firm as it halted instant deposits for cryptocurrency purchases earlier today.
“Due to extraordinary market conditions, we’ve temporarily turned off Instant buying power for crypto.Customers can still use settled funds to buy crypto.
We’ll keep monitoring market conditions and communicating with our customers.” – commented Robinhood spokesperson cited by CNBC.
The so-called “extraordinary market conditions” came in the past 24 hours as the WallStreetBets craze reached the crypto markets, and especially the popular meme coin – Dogecoin.Following social media posts, DOGE skyrocketed by about 1,000% in a day, decreased heavily, and surged once more.
Additionally, bitcoin saw “just” double-digit percentage gains today by adding $6,000 of value in hours after Tesla’s Elon Musk put Bitcoin as the only word in his Twitter bio.Crypto Community Is Not Happy
Robinhood faced severe backlash after its decision to suspend users from purchasing the GME stocks yesterday.
Although the company said it would resume limited buys today, the situation worsened following the crypto restrictions.
Somewhat expectedly, the ever-loud community quickly caught Robinhood’s controversial decision and didn’t hold anything back.
The comments ranged from urging investors to avert using the Robinhood platform to blunt threats and profanity against the company.Some questioned the firm’s motives, saying that it didn’t halt any trading when the market was plummeting a few weeks ago or during the liquidity crisis in mid-March.
Popular Bitcoin proponent Anthony “Pomp” Pompliano believes that the solution lies with decentralized products and services, as their centralized alternatives could have too much power.
Robinhood is now restricting crypto trading.
We must decentralize these products and services.
If you’re building a piece of the new decentralized financial system, I want to talk to you and potentially invest.
— Pomp 🌪 (@APompliano) January 29, 2021
Another similar example of centralized power came from Google and Apple.Reports asserted that the two US-based giants had removed hundreds of thousands of negative reviews against Robinhood.Share this: Opinion: The Global Market Meltdown Reestablishes The Case for Cryptocurrency as Global Macro Hedge Global markets crashed and burned Monday as risks from coronavirus, and other uncertainties fueled panic.The Dow Jones Industrial Average cratered over a 1,000 points for a 3.56% loss.
The S&P 500 Index closed 111 points down, losing 3.35%.The NASDAQ Composite fared worst, with a 355 point decline, or 3.71% of its market capitalization… Bitcoin Price Analysis: Bitcoin Steady Above $6,000, But Is It The Calm Before The Storm? Over the past three days, we saw Bitcoin breaking above the $6,000 milestone, and even succeeding in breaking the next significant resistance at $6400 for a few hours, including toping above $7K on some exchanges.However, Bitcoin got quickly rejected and retraced back to the $6K range, yes, the same price range from the second… Wall Street Reports Week: Apple (AAPL) Gains 6% Following Earnings Report – Better Than Feared Returns in Services Unit TL: DR Apple beats analysts prediction by 3% on Service business gross margin Service business growth occurs as device sales continue to stagnate Focus on software business brings in new profits, but also attracts new competition Reports week tends to bring a lot of excitement and volatility to the stock market.Much like the Crypto… After The Storm: Bitcoin Holds $13K Despite Wall Street Monday’s Plunge Despite a brief price slump to $12,800, Bitcoin has perhaps indicated signs of decoupling from the stock markets.
Wall Street bled out rather viciously yesterday, while BTC has risen above $13,000 again.Bitcoin Decouples From Stocks? During the past several weeks, Bitcoin’s price performance has resembled that of the US stock markets.For example, when… XRP Bulls Step in With a 5% Daily Increase, Is $0.30 Next? (Ripple Price Analysis) XRP/USD – Buyers Finally Break Above Symmetrical Triangle Key Support Levels: $0.26, $0.251, $0.245.Key Resistance Levels: $0.261, $0.271, $0.279.XRP went through a rollercoaster of price action yesterday as it reached as high as $0.271 (bearish .618 Fib) and as low as $0.228 (.618 Fib) during the 24 hours.The cryptocurrency had been trading… 5th Birthday: Ethereum Miners Rejoice Over High Network Fees Ethereum has not only surged to its highest price for over a year, it has tapped milestone highs in other on-chain metrics as well.
Today is the network’s 5th anniversary.Hash Rates at 20-Month High ETH 1.0 is still proof of work, which means there are still miners seeking profits by producing more blocks.Mining… Cryptocurrency Operators In China To Team Up As Regulations Tighten, Binance’s CZ Says China has always been in the spotlight when it comes to cryptocurrencies, despite the country’s controversial legislation on the matter.Last year, President Xi Jinping urged for further investments in blockchain-based technology, causing Bitcoin to mark an increase upwards of 40% in less than 24 hours.
Now, however, regulations seem to be tightening up, and… Chainlink Price Analysis: LINK Seeks Support After Losing 27% Weekly Chainlink has now dropped by a total of 27% over the past week as it crashes beneath $9.00 today.The coin is trading at support at the July high-day closing price as the bulls attempt to stall the downtrend.Against Bitcoin, LINK has fallen into the support at the .618 Fib Retracement at 0.000826 BTC.… Cryptos Are Back in Favor in Google Ads Now (Partly True) All is well for cryptocurrency on the world’s most popular search engine, Google.Today, in a sudden volte-face, browser giant Google has proposed that cryptocurrency advertisements will once again make an appearance on the search engine’s results pages.
The advertisements will not start immediately but are likely to reappear by October of this year.However,… Leave a Reply You must be logged in to post a comment.Search.