South Korean authorities are reportedly looking into blocking crypto exchange platforms that may have operated without adhering to the requirements set by the country’s financial regulator. 

On March 21, local media Hankyung reported that the Financial Intelligence Unit (FIU) of the Financial Services Commission is considering sanctions against crypto exchanges for allegedly operating in the country without reporting as an operator to the appropriate regulators. 

South Korean financial authorities require crypto exchanges to report to regulators as virtual asset service providers (VASPs) under the country’s Specified Financial Information Act. 

The FIU is investigating a list of exchanges and is conducting consultations with related agencies. The regulator is also considering sanctions, such as blocking access to the exchanges, as they begin to prepare countermeasures. 

Exchanges operated without VASP reports

The list of exchanges that have allegedly provided services to South Koreans without the appropriate VASP reports includes BitMEX, KuCoin, CoinW, Bitunix and KCEX. The exchanges reportedly provided marketing and customer support to Korean investors without going through the country’s compliance process. 

Under the country’s laws, operators of crypto sales, storage, brokerage and management are required to report to the FIU. If exchanges don’t comply, their business will be considered illegal and subject to criminal penalties and administrative sanctions. 

An FIU official said in the report that measures to block access to the exchanges included in the list are being reviewed. The official said the financial regulator is currently consulting with the Korea Communications Standards Commission, the regulator in charge of the internet, on how they can block access to the exchanges. 

Related: Wemix denies cover-up amid delayed $6.2M bridge hack announcement

South Korean exchanges face scrutiny 

Apart from foreign exchanges, South Korean crypto exchanges are also facing scrutiny over suspicions and rumors of financial misconduct. 

On March 20, prosecutors raided Bithumb following suspicions that its former CEO, Kim Dae-sik, embezzled company funds to purchase an apartment. The authorities suspect that the exchange and its executive may have violated some financial laws during the apartment purchase. However, Bithumb responded that Kim had already taken a loan to repay the funds. 

In addition, rumors of intermediaries getting paid to list projects on Bithumb and Upbit surfaced. Citing anonymous sources, Wu Blockchain said projects claimed to have paid intermediaries millions to get listed on the exchanges. 

Upbit responded, demanding the media outlet to disclose the list of digital asset projects that paid brokerage fees. 

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XRP (XRP) price has recovered by almost 30% in the last two weeks, led by a crypto market rebound, and Ripple’s long-running legal battle against the US Securities and Exchange Commission (SEC) comes to an end.

XRP/USD daily price chart. Source: TradingView

The cryptocurrency’s rebound is also occurring inside the confines of a classic bullish continuation pattern, promising further gains in the coming weeks.

XRP symmetrical triangle puts 75% rally in play

XRP’s bullish technicals appear as it forms what appears to be a symmetrical triangle pattern.

A symmetrical triangle is considered a classic bullish continuation setup that forms after the price consolidates inside a range formed by converging trendlines after a strong uptrend.

As a rule of technical analysis, the setup resolves when the price breaks above the upper trendline, potentially rising as high as the length of the maximum distance between the upper and lower trendlines.

XRP/USD weekly price chart. Source: TradingView

As of March 21, XRP bounced after testing the triangle’s lower trendline, eyeing a rise toward the upper trendline— around the apex point at the $2.35 level—by April. The ultimate target for this possible breakout is $4.35 by June, up 75% from the current price levels.

Conversely, a drop below the lower trendline could invalidate the bullish setup, setting XRP on the path toward $1.28. The bearish target is obtained by subtracting the triangle’s maximum height from the potential breakdown point at $2.35.

Source: Amonyx

XRP fundamentals boost upside outlook

The bullish technical setup is developing in line with a recent flurry of positive events around Ripple and XRP.

Notably, the cryptocurrency climbed by as much as 7.85% to reach $2.41 on March 21, two days after the SEC dropped its appeal against Ripple.

The rally gained momentum after crypto exchange Bitnomial voluntarily dismissed its lawsuit against the SEC before launching the first CFTC-regulated XRP futures in the US.

Source: Alva

Futures contracts allow traders to speculate on XRP’s price without directly holding the asset, increasing overall market activity. This deepens liquidity, reducing slippage and making it easier to execute large trades.

However, according to crypto lawyer John Deaton, Ripple still faces a legal hurdle in the form of an injunction issued by Judge Analisa Torres, which restricts the company from selling XRP to institutional investors.

Related: XRP’s role in US Digital Asset Stockpile raises questions on token utility — Does it belong?

He told Cointelegraph that the ruling can potentially limit Ripple’s ability to distribute XRP directly to institutional investors, namely banks and financial institutions, adding:

“If Ripple obviously wants to be able to issue XRP to banks in America directly, I think the hang-up is that injunction. How do you get past that injunction?”

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

Bitcoin (BTC) is being capped at $87,500 thanks to manipulation by one or more whales, new analysis says.

The latest market coverage by trading resource Material Indicators on March 20 reveals why BTC/USD is stuck in its current range.

“Spoofy the whale” gets blame for BTC price range

Bitcoin has managed to sustain $80,000 as support for more than a week while hitting two-week highs of $87,500 on March 20. 

Despite following broad volatility across risk assets, BTC/USD may have gone even higher were it not for maneuvers of large-volume trading entities on exchange order books.

Looking at global trading platform Binance, Material Indicators argued that shifting blocks of ask liquidity above price were keeping it pinned in a specific area — a classic manipulatory device known as “spoofing,” which has often been used by whales in the past.

“If you are wondering why Bitcoin price hasn’t been able to rally past $87.5k yet, the reason is price suppression from Spoofy the Whale,” it summarized in a post on X.

BTC/USDT order book liquidity data. Source: Material Indicators/X

An accompanying chart shows that the liquidity in question currently sits at $89,000. It also tracks investor order classes, showing all but the largest “whale” transactions distributing.

Discussing the data, Material Indicators hinted that support at the recent multimonth lows of $76,000 was insufficient as a firm market floor.

Bitcoin bulls keep up battle for key trend lines

Meanwhile, popular trader Daan Crypto Trades said that the current low-timeframe area of interest at $84,000 was essential for bulls going forward.

Related: Bitcoin futures ‘deleveraging’ wipes $10B open interest in 2 weeks

“The bulls would want to hold on to the $84K-$85K region to keep the momentum. Otherwise you’re at risk of visiting those lower liquidity clusters which then can end up in a full retrace as price is still choppy,” part of his own X post explained.

“Local market structure is trying to shift to a small uptrend but the bulls need to step in and keep it that way or it will just be a quick deviation/short stop hunt.”

BTC/USDT liquidation heatmap. Source: Daan Crypto Trades/X

Daan Crypto Trades paid additional attention to the 200-day simple moving average (SMA) and exponential moving average (EMA), key bull market trendlines that bulls are currently in the process of trying to flip to support at around $85,000.

BTC/USD 1-day chart. Source: Daan Crypto Trades/X

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.