Bitcoin plunges as social media cracks down on cryptocurrency ads

Volatile bitcoin took another punch to the gut.Bitcoin briefly fell below $8,000 because of concerns that top ...

Posted: Mar 27, 2018 10:34 PM
Updated: Mar 27, 2018 10:34 PM

Volatile bitcoin took another punch to the gut.

Bitcoin briefly fell below $8,000 because of concerns that top social media companies are no longer running ads tied to cryptocurrencies. Twitter is the latest to take action against crypto ads.

The company confirmed in a statement to CNNMoney Tuesday that it has banned ads for initial coin offerings and token sales.

Initial coin offerings, or ICOs, allow companies to raise money, often by crowdfunding, through the sale of their own cryptocurrencies or digital tokens.

Google said earlier this month that it will begin restricting some crypto ads in June.

And Facebook announced in January that it was prohibiting the sale of ads that "promote financial products and services that are frequently associated with misleading or deceptive promotional practices" -- which included ICOs and bitcoin.

Related: Google to ban crytpocurrency ads

The moves come as regulators around the world, including the Securities and Exchange Commission, warn that some ICOs are scams and have begun to crack down on alleged ICO fraud.

Some publicly traded companies have decided to cash in on the crypto craze. A small beverage company formerly known as Long Island Iced Tea Co. changed its name to Long Blockchain, and Kodak launched its own Kodakcoin crytpocurrency.

To that end, the Twitter spokesperson said the company would prohibit the ICO and token ads around the world to ensure "the safety of the Twitter community."

The ban on crypto ads are clearly taking a toll on bitcoin as well as other popular cryptocurrenies such as ethereum, litecoin and ripple.

But is the selling overdone? There is a difference between bitcoin and sketchy ICOs from tiny companies.

"There is no doubt that we are way oversold," said Naeem Aslam, chief market analyst at Think Markets, in a report Tuesday. He was referring to bitcoin and other major cryptocurrencies as well. And he thinks bitcoin may soon hit a bottom.

"Most of the investors that we are talking to, they only want to buy at [the} current price," Aslam said.

Bitcoin has plunged more than 40% this year. Prices were near $20,000 in December.

New York Coronavirus Cases

County data is updated nightly.

Cases: 2511182

Reported Deaths: 56008
CountyCasesDeaths
Kings33248910839
Queens31448010282
Suffolk2384943593
Nassau2137303286
Bronx2071526748
New York1675934633
Westchester1434342338
Erie1056611940
Richmond886031932
Monroe837081182
Orange57270909
Rockland52918779
Onondaga51624757
Dutchess35451497
Albany30581388
Oneida28418582
Broome24183403
Niagara23854397
Saratoga20080198
Ulster17205278
Schenectady16584227
Rensselaer14669167
Putnam1243996
Chautauqua12308173
Oswego11505112
Chemung10772153
St. Lawrence10392126
Steuben10019173
Ontario9278110
Jefferson870974
Cayuga8600107
Sullivan842083
Wayne807484
Cattaraugus7613113
Genesee6933132
Herkimer6694126
Clinton665438
Tompkins646559
Fulton6244102
Madison6124102
Montgomery5878138
Livingston566871
Warren538682
Cortland529479
Tioga502571
Columbia4977111
Chenango464986
Allegany456296
Washington454667
Otsego453554
Greene435186
Wyoming434458
Orleans428587
Franklin421820
Lewis355638
Delaware352147
Seneca271963
Schoharie227621
Essex226331
Yates160528
Schuyler151817
Hamilton4343
Unassigned14826
Out of NY0310
Utica
Clear
49° wxIcon
Hi: 65° Lo: 38°
Feels Like: 47°
Oneonta
Clear
51° wxIcon
Hi: 60° Lo: 39°
Feels Like: 51°
Herkimer
Clear
49° wxIcon
Hi: 62° Lo: 41°
Feels Like: 47°
Old Forge
Partly Cloudy
49° wxIcon
Hi: 64° Lo: 36°
Feels Like: 47°
WKTV Radar
WKTV Temperatures
WKTV Severe Weather
Game Day Deals - New Deals Each Week
Chapter Aesthetic October Giveaway
Cool To Be Kind 2021
Looking for work or looking to hire? Check out the WKTV Job Fair!
Saluting Those Who Are Proud 2 Serve