Bitcoin resumes falling on weak demand

Bitcoin fell in spot trading today to resume its losses, which were temporarily halted yesterday, to fall below $12,000 and approach dropping below $11,000, on weak demand, while prices need new positive momentum to recover.

At Bitstamp, Bitcoin fell by 2.1% or $243 to $11,284, from the opening of $11,527 with a high of $11,551.

On Sunday, Bitcoin gained 2.3%, its first gain in the last three days, in attempts to rebound from a one-week low of $11,080.

Bitcoin, gained 4.9% over the past week, the second consecutive weekly gain, on safe-haven demand, due to US-China trade war escalation.

The total market cap of cryptocurrencies fell on Monday by about $3 billion to a total of $296 billion, with most of cryptocurrencies in the market falling.

On Saturday, the market fell from the $300 billion barrier, as US-China trade war concerns eased.

Bitcoin is on its way to abandon $11,000 barrier, on weak demand,  while prices need new positive momentum to recover.

Meanwhile, 15 countries, including the G7 countries, have agreed to set up a new system to share crypto users' personal data, in order to monitor money laundering and other illegal activities.

The Financial Action Task Force (FATF), an initiative of the G7, is likely going to design the system by 2020.

Vice Governor of the People's Bank of China, Zhou Xiaochuan, said that the bank's cryptocurrency can now be called ready, as a prototype based on the blockchain structure has been successfully developed after five years of research, according to the Shanghai News website

Xiaochuan added that the release of a currency using blockchain technology would be difficult to achieve in a country the size of China because retailers need to perform high synchronization.

The Chinese cryptocurrency will adopt an operating system to meet two levels, the country's large economy with a large population and the country's commercial banks, which will ultimately improve accessibility and promote public adoption and innovation.

The People's Bank of China is likely to move ahead with its plan, in response to a Facebook's currency, Libra, which is scheduled to be released in the first half of 2020.