Cryptocurrencies Downward Trend Could Be Growing in Force, Iran Plans to Launch its own Cryptocurrency

Iran has stepped up its conversation about launching a cryptocurrency of its own after Venezuela’s launch last week.

Iran Amps up Cryptocurrency Conversation, Turkey Considering a Coin

After Venezuela’s launch of the Petro last week, Iran has stepped up its rhetoric about launching a cryptocurrency of its own. And now there are whispers that Turkey may be looking into the potential of a government-backed digital coin. Skeptical investors cannot be blamed for raising their eyebrows upon the notion of Iran participating in cryptocurrencies. The combination of Venezuela and Iran into the digital currency sphere will provide ammunition for cynics who will point to the two countries as potentially bad actors.

Ripple Facing Headwinds Past Week, Important Support Levels in Play

Ripple has come off its short-term highs made early last week and is under pressure as bearish momentum has arisen again in cryptocurrencies. XRP is near the 0.90 U.S cents level. Important support is near 0.80 U.S cents, but should that juncture fail the next key ratio would be 0.70 U.S cents which were seen February the 7^th. After the rebound higher the past two weeks, it appears speculators may be cashing out of profitable positions. However, sentiment moving forward this week will be watched nervously because many of the major cryptocurrencies have now produced a full week of declines.

Ripple 4H Chart

Alarm Bells Growing for Traders as Tax Season Approaches

As the U.S tax season steadily approaches alarm bells are being sounded by tax experts and financial planners regarding the filing of proper forms via cryptocurrency traders for the Internal Revenue Service. Experts point out that cryptocurrencies are viewed by the U.S government as property and not as currency. Thus gains and losses need to be accounted for in a way that is similar to equities and mutual funds if held by a trader in the States. And to make matters trickier in the next couple of months per the accounting is the fact that substantial gains were made in late December in cryptocurrencies which will have to be reported, while the steep losses experienced in January will have to wait until next year to be quantified in most cases.

Yaron Mazor is a senior analyst at SuperTraderTV.

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This article was originally posted on FX Empire

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