The final vote on Brexit in the European Parliament ended in mixed emotions. There are people singing for joy, but not many people hugging and crying. With 621 votes in favor and 49 votes against, the European Parliament (EP) approved the Brexit deal in the early morning vote of January 30.
Accordingly, 23h on January 31 (London time) is a special moment for the people of this country and maybe for the European Union, the landmark that British is official no longer a member of the EU.
After many years, love or hate, Brexit will eventually happen. This event is expected to cause a major change in the global economy and will have unpredictable consequences. So, does this affect Bitcoin and the cryptocurrency market?
The reaction of crypto traders
After a referendum on June 23, 2016, an unexpected result revealed the aspiration of the majority of the British people at that time to leave the common roof of Europe. An unprecedented event in an EU country. The breakup was not easy, with three years of persistent negotiations, underwent 3 British Prime Ministers, two early elections, and several cabinet changes.
These developments reflect the last near four year deep divisions within England. The UK is about to launch a new Brexit coin to commemorate the event, despite many objections.
So, besides a new coin coming soon, what are the changes that Brexit has? First of all, the position of all UK members in the EU will be no more. British passports will change from the standard burgundy color to blue and yellow.
In addition to the changes, there are still some things that remain the same during the transition, at least until December 31, 2020. British citizens can still live and work in other EU countries and will have a planned 11-month transition period for officials to implement a comprehensive free trade agreement between the UK and the EU. All of Brexit’s fundamental and uncertain changes make Bitcoin traders wonder whether it’s time to accumulate/withdraw from the cryptocurrency market.
Big Cheds, a popular trader, noted that the daily charts of BTC, LTC, and BCH all show signs of depreciation.
$BTC $LTC and $BCH all have OBV bear divergence on daily
— Big Cheds (@BigCheds) January 30, 2020
And Crypto Dog also noticed a bearish candlestick pattern on the BTC chart. Bitcoin is an emerging safe-haven asset, but it has caused the market to collapse due to the uncertainty surrounding the transition.
Is Bitcoin about to do something nasty?
— The Crypto Dog? (@TheCryptoDog) January 30, 2020
At the time of writing, the Bitcoin price is falling to the low area of $ 9300 after reaching a daily high, which is also the highest level in 2020 of $ 9570 last night.
Source: Trading View
In general, the cryptocurrency market has rallied in the first month of 2020, so Brexit could be the catalyst causing the reversal. Earlier this week, the cryptocurrency market surpassed $ 250 billion, remaining at $ 257 billion, ending the 7-month downtrend.
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