Investing.com – Bitcoin moved off lows Thursday despite the growing threat of regulation following reports the Justice Department has opened a criminal investigation into possible bitcoin price manipulation.
Bitcoin fell 1.10% to $7,540.8 on the Bitfinex exchange but remained above its session low of $7,260.
The Justice Department has opened a criminal investigation into whether traders are manipulating the price of Bitcoin and other digital currencies, Bloomberg reported Thursday, citing sources familiar with the matter.
The Department of Justice investigation arrives just days after the North American Securities Administrators Association (NASSA) unveiled Monday “Operation Cryptosweep,” to crackdown on fraudulent cryptocurrency activity.
Fears of regulatory pressure kept a lid on bitcoin’s recovery after it rose to session high of $7,729.8. But the recent plunge in bitcoin to a nearly two-month low appeared to be attracting bargain hunters as the total crypto market cap steadied.
The total market cap of cryptocurrencies rose to about $337 billion, at the time of writing, up from about $333 billion on Wednesday, underpinning a recovery in other large-cap cryptos.
Ripple XRP rose 3.03% to $0.62720 on the Poloniex exchange, while Ethereum rose 0.40% to $590.72.
Bitcoin Cash rose 1.65% to $1,051.90, while Litecoin rose 2.14% to $123.36.