Crypto Market Takes a Breather After Justice Department Action

• Shiba Inu’s price appears to have taken a breather after a consistent push by bulls for slightly over two weeks.
• The United States Justice Department has released an international cryptocurrency enforcement action which has caused some investors to hold back the aggressive action seen since the New Year.
• The Justice Department has arrested the founder of Bitzlato Ltd. and charged the firm with money-laundering, with the founder Anatoly Legkodymov extradited to the US and the firm ordered to shut down operations.

The crypto market has taken a breather in the past 24 hours, with Shiba Inu being no exception. After a consistent push by bulls for slightly over two weeks, the price of SHIB appears to have taken a breather and is currently down 11% at $0.00001118. This pressure is shared by other major cryptos, with Bitcoin price being down 2.2% to trade at $20,796, while Ethereum price is exchanging hands at $1,527 after sliding 3.3%. The most popular meme coin, DOGE is also in the red and trading at $0.081 after a 5.5% correction in 24 hours.

The recent respite in the crypto market appears to be due to an announcement from the United States Justice Department regarding an international cryptocurrency enforcement action. During a press conference held on Wednesday afternoon, Deputy Attorney General Lisa Monaco alongside other speakers discussed the arrest of the founder of Bitzlato Ltd. and the charging of the firm with money-laundering. The founder, Anatoly Legkodymov, was extradited to the US and the firm was ordered to shut down operations with immediate effect.

The coordinated enforcement action between French and US authorities, which included the FBI, was aimed at disrupting the criminal ecosystem. Bitzlato had been on the radar of the Treasury’s Financial Crimes Enforcement Network (FinCEN) and had been labeled as a “primary transnational criminal organization” for its involvement in a “complex money-laundering scheme”. The move appears to have caused some investors to hold back the aggressive action witnessed since the New Year, leading to the recent dip in the crypto market.

It remains to be seen if the dip is just a brief respite or a sign of a deeper correction. For now, investors should keep a keen eye on the markets and look for any signs of a potential recovery.

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