This Week's Crypto Market Cycle: Bitcoin and Ethereum Prices Rise After PayPal Launches Stablecoin, But SEC Complaints Caused by Ripple Causes Turmoil"

Bitcoin and Ethereum prices rose slightly after PayPal launched a new stablecoin, while the SEC played a lot of games for this time. However, a new note on stablecoins by the Federal Reserve hints at a softening in the crypto in Washington.

PayPal recently launched a new stablecoin to facilitate cryptocurrency trading on their platform. According to the official announcement from PayPal, their stablecoin is called Paxos Standard (PAX) and will be linked to the US dollar. In parallel with the launch of this stablecoin, the prices of Bitcoin and Ethereum increased slightly.

However, later that evening, another major regulator, the SEC, also made significant moves. The SEC filed a lawsuit against Ripple, the company behind the XRP cryptocurrency. The SEC claims that XRP is a security and therefore must register the sale of the asset with regulators. This demand immediately triggered a significant drop in the price of XRP and touched market sentiment towards cryptocurrencies in general.

Despite some turmoil due to the SEC's actions, new notes from the Federal Reserve suggest they may be thinking about softening their stance on cryptocurrencies. The note notes that stablecoins and cryptocurrencies are becoming increasingly popular and are routinely mentioned in discussing policy potential.

While the regulator's steps may temporarily cause market turmoil, acknowledging the potential of cryptocurrencies in Federal Reserve policy will help provide clarity and strengthen the technological aspect in the long term. Therefore, cryptocurrency investors and traders must remain patient and visible in the face of market turmoil.

Source
https://decrypt.co/152271/this-week-in-coins-bitcoin-and-ethereum-prices-inch-upwards-after-paypal-pitches-stablecoin