Bitcoin

Ripple To Launch XRP Powered On-Demand Liquidity Solution In Lithuania

Ripple, an American FinTech firm, and FINCI, a Lithuanian FinTech firm, have partnered up to make retail remittances and B2B payments faster and more affordable. This is done through RippleNet’s On-Demand Liquidity (ODL), which uses XRP for cross-border payments that are crypto-enabled. This partnership will allow customers and businesses to make real-time payments while sparing […]

Bitcoin Crypto News

How The Tether Peg Could Predict Raging Bitcoin Volatility

The whole UST debacle has seen traders emboldened in the market against stablecoins. The result of this had been more investors going after the pegs of other stablecoins such as USDT and trying to see if they can destabilize the coin. Most prominent of this had been Tether USD, whose peg saw the most opposition as its peg to the U.S. dollar was heavily challenged. This challenge suggests that there could be more volatility coming. Tether Challenge Ramps Up One thing to note is that periods of challenges like these are mostly arising from periods of extreme market stress and liquidations. Such were the market conditions for the last week after the UST de-pegging. This ultimately leads to large deviations in the price of stablecoins such as USDT and USDC when it comes to the $1 peg. Although in this case, the majority of the deviations were recorded in USDT alone as USDC held up better in the market. Related Reading | Bitcoin Marks Seven Consecutive Red Candles, Paints Gruesome Picture For Market Tether (USDT) which has always operated under high scrutiny from some in the market had begun trading below its $1 peg after the UST news broke. This gap would grow a bit wider with time although the stablecoin would regain its peg once more. However, the scrutiny that accompanies the stablecoin explains why it was the obvious target of the market.  USDT loses dollar peg following UST crash | Source: USDT/USD on TradingView.com This had inadvertently created an opportunity for funds that had access to Tether redemptions. These funds had been able to take advantage of this slight de-pegging and presumably profited off it until the digital asset could return to its 1:1 peg. More Volatility Coming? On Thursday, the market saw one of the highest yearly volatility trends in a one-day period. This volatility had been brought on by the massive sell-offs that rocked the market, although this volatility has since declined since then. Related Reading | Ethereum Hashrate Breaks All-Time High, Will Price Follow? However, with the USDT peg being continuously challenged in the market, there may be more volatility yet to come. If a stablecoin such as USDT, which is currently the largest stablecoin in the market, were to lose its peg, it would no doubt have an even worse impact on the market than UST did. Basically, a de-pegging such as this could see the market dive deeper given that more than 50% of all open interest in the derivatives market are USDT collateral-based. The asset also shares the most trading pairs of any other stablecoin. So a de-pegging could lead to historical level short squeezes which would essentially cripple the market. Also, an event like this would set mainstream acceptance back years as more people would become fearful of the market.  Loss of USDT peg could lead to extreme volatility | Source: Arcane Research Featured image from CoinGeek, charts from Arcane Research and TradingView.com

Altcoins Bitcoin

Crypto Analyst Says One Deeply Oversold Decentralized Finance (DeFi) Altcoin ‘Can Move Fast’

A popular crypto analyst is naming one decentralized finance (DeFi) protocol he believes can surge in value after being sold off at a rapid rate over the last few weeks. In a new video update, the anonymous host of InvestAnswers tells his 438,000 YouTube subscribers the governance token of DeFi lending protocol Aave (AAVE) has […]

The post Crypto Analyst Says One Deeply Oversold Decentralized Finance (DeFi) Altcoin ‘Can Move Fast’ appeared first on The Daily Hodl.

Altcoins

Ethereum Founder Vitalik Buterin Supports TerraUSD (UST) Recovery Plan That Prioritizes Small Holders

Ethereum founder Vitalik Buterin says he supports a suggestion on how to reimburse holders of TerraUSD (UST) following the massive collapse of the Terra ecosystem last week. Originally put forth by a Twitter account named PersianCapital, the suggestion involves prioritizing the smallest holders in order to make them 100% whole after losing their funds to […]

The post Ethereum Founder Vitalik Buterin Supports TerraUSD (UST) Recovery Plan That Prioritizes Small Holders appeared first on The Daily Hodl.

Analysis Crypto News Ethereum

Ethereum (ETH) could reclaim $2500 as momentum indicators remain positive

ethereum-(eth)-could-reclaim-$2500-as-momentum-indicators-remain-positive

Ethereum (ETH) has been recovering over the last few days after tanking to its lowest level in months. The coin is however poised for a bigger bounce based on momentum indicators. But it still faces major upward resistance and downside risk. Here are some important facts: ETH reclaimed $2000 after facing a major sell-off this… More

The post Ethereum (ETH) could reclaim $2500 as momentum indicators remain positive appeared first on BTC Ethereum Crypto Currency Blog.

Crypto News

Polkadot Displayed Bearish Engulfing Candlestick; Suggests Further Downtrend

Polkadot has been on a sharp decline over the last week as the broader market extended losses at press time. Bitcoin nosedived to $28,000 and presented a loss of 7% over the last 24 hours. All major altcoins have followed the same path registering losses on the daily chart. Polkadot was trading in a descending trendline, although, DOT tried to recover on charts. The recovery can be stalled if buyers don’t return to the market. The price of the altcoin was trading close to its immediate support of $8.04. DOT was last seen trading around this price last in July 2021. In the last four months, Polkadot displayed rangebound rallies. The price of DOT was sandwiched between $24 and $16 over the last 17 weeks. Although Polkadot staged a revival, it is too early to conclude if the coin will continue to move northbound. Polkadot Price Analysis: One Day Chart Polkadot was trading at $10.64 at the time of writing. In the last 24 hours, DOT lost over 12% and in the past week, the coin lost close to 30% of its market value. Descending trendline depicts bearishness, even though the coin was attempting to rise above the immediate resistance line of $10.80. Moving above the $10.80 price level, the coin could target $13.22. To invalidate the bearish thesis the coin has to trade above the $14 price level. The coin displayed a series of bearish engulfing candlesticks (green arrow) on the one day chart. The bearish engulfing candlesticks mark the onset of bearish price action and the continuation of the same. In case of a price reversal, if the coin manages to stay above the $13.22 price level, then the other two resistance for DOT stands at $16.06 and $17.46, respectively. The trading volume of the coin was seen in the green. This meant that the coin was displaying a change in price direction. Technical Analysis Polkadot was oversold over the past few days, however, the coin started to register an increase in buying strength. The Relative Strength Index noted an uptick on the one day chart. The RSI moved above the oversold zone as buyers started to enter the market. Buying pressure remained low in the market as the coin’s price was still driven by sellers in the market, despite the uptick. The Directional Movement Index depicts the price momentum in the market. DMI was negative on the chart as the -DI was above the +DI line which signified bearish price action. Related Reading | XRP Flashed A Sign Of Revival; Where’s It Headed Next? Polkadot was trying to recover on its chart because the indicators have reflected that price action. Chaikin Money Flow portrays the capital outflows and inflows. On the one day chart, Chaikin Money Flow was seen registering an uptick that points towards increase in capital inflows over outflows. Awesome Oscillator signifies price momentum of the market. The AO continued to flash red histograms underneath the half line which meant that Polkadot was still on a negative price direction. Related Reading | Bitcoin Recovers Above $30,000, Has The Bottom Been Marked?