Tron and Cardano Down by More Than 5% After eToro Delisting

US users on eToro will no longer be able to trade Cardano (ADA) and Tron (TRX) starting next month.

eToro Delists ADA and TRX

eToro, one of the leading brokerage firms in the world, announced yesterday that its users in the United States would no longer be able to buy and sell ADA and TRX on its platforms starting next month. This latest development comes due to regulatory concerns regarding the cryptocurrencies.

In its blog post yesterday, eToro said, “US users will not be able to open new ADA or TRX positions starting on December 26, 2021. Additionally, staking for those assets will end on December 31, 2021. These changes are due to business-related considerations in the evolving regulatory environment.”

The brokerage platform assured its US users that they could hold existing ADA and TRX positions and close them at any time. When the positions are closed, eToro will fund a user’s account in USD. eToro said it wouldn’t force users to sell their positions at the moment, and it doesn’t plan to implement force selling in the coming months.

ADA and TRX Dip Following eToro’s Announcement

eToro cited regulatory concerns as the reason why it is delisting ADA and TRX from its platform for US users. The broker, like several crypto exchanges and brokerage platforms in the United States, delisted XRP late last year after the Ripple vs. SEC case began.

The Cardano Foundation, on its part, is working to ensure that the ADA token complies with the necessary financial regulations. In August, the Cardano Foundation partnered integrated Coinfirm’s AML analytics for its ADA coin for compliance with Financial Action Task Force (FATF) guidelines.

ADA/USD chart. Source: FXEMPIRE

ADA and TRX are both down by more than 5% over the past 24 hours since eToro announced their delisting on the platform. At press time, ADA is trading at $1.6 per coin, down by 6.52% over the past 24 hours. ADA’s MACD is below the neutral zone, while its RSI currently stands at 30. The indicators show that ADA is currently oversold and could record further losses over the coming hours.

Story continuesTRX/USD chart. Source: FXEMPIRE

TRX is also bearish at the moment after losing more than 5% of its value over the past 24 hours to currently trade at $0.0974 per coin. Its MACD line just slipped below the neutral zone while its RSI stands at 43. This, indicating that TRX is bearish at the moment, but its losses are not as much compared to ADA.

XRP has recovered from the massive dip experienced last year after multiple delistings. ADA and TRX could recover from the recent dip over the coming days and weeks.

This article was originally posted on FX Empire