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According to court documents, former Bitcoin trader and cryptocurrency operator from Arizona in the United States was sentenced to 41 months in prison. The federal judges issued a conviction on Wednesday after the jury condemned Thomas Mario Costanzo for five charges of money laundering. The verdict will take into account the time spent in detention since April 2017.
The federal agents carried out a man's detention last year on suspicion of illegal possession of ammunition and money laundering through the Bitcoin stock exchange he ran.
The evidence presented later in the court showed that Costanzo had washed out USD 16,400 in two years through Bitcoin transactions - money received from a federal agent operating undercover who told him that the funds came from heroin and cocaine traffickers.
"When the undercover federal agents turned to Costanzo and told him they were drug dealers, Costanzo provided them with Bitcoins and told them it was a great way to limit their contact with law enforcement agencies " - we read in the publication.
Costanzo was also found guilty of buying drugs using Bitcoins and using the stock market to help other people buy drugs without enforcing the authentication procedures of their clients. As part of the ruling issued on Wednesday, the court also ruled that 80 Bitcoins, which Costanzo had provided to secret agents, would be forfeited.
Let's now take a look at the BTC/USD technical picture at the H4 time frame. The Bullish Engulfing candlestick pattern did not last for long as the bears took the control over the market once again and the price broke out below the level of 38% Fibo at $7,405. So far the intraday low was made at the level of $7,246, but it looks like the bears want to test the technical support at the level of $7,176 as well. Please notice the 50% Fibo level is very close to this support and pice might spike down to hit this level. The market conditions remain slightly oversold, so a corrective bounce higher might occur anytime now.
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