Bank for International Settlements: Cryptocurrency prices are affected by news of regulation

The Bank for International Settlements (BIS) released a report analyzing cryptocurrency price reactions to regulation. The report concludes with four main findings:
- The market responds most strongly to news events regarding the legal status of cryptocurrencies.
- Regulatory news regarding anti-money laundering measures and limits on the interoperability of cryptocurrencies with the regulated financial system adversely impacts cryptocurrency markets.
- Authorities' unspecific warnings have no effect on prices
- Large price differences sometimes prevail across different jurisdictions which suggests some market segmentation.
(Source: BIS)