- Bitcoin fell below $18,000
- DBS launches a digital currency exchange
- E-commerce companies join the latest digital RMB test
Bitcoin fell below $18,000
Bitcoin continued to fall after unsuccessful attempts to break through $20,000 and has now fallen below $18,000 again. In the recently, the volume of transactions throughout the market has been decreasing. This may also be a potential reason of falling prices.
The average daily spot trading volume on major exchanges fell $600 million from $1.7 billion last week to $1.1 billion, according to CoinDesk 20.
Constantin Kogan, a partner at wave Financial, a cryptocurrency investment firm, put $17,900 at a “support level” and “the trend is weakening,” Mr Kogan said. “If we dip further then I will consider that as a start of a downtrend.”
Chris Thomas, head of digital assets at Swissquote Bank, thinks that while the market has been calm this week, it can be viewed as an opportunity to buy long-term positions. “I’m not scared by this,” he says. “It’s just providing a better entry point for those who want to invest mid-long term.”
According to data collected by CoinDesk Research, the 30-day volatility of Ether is mostly higher than Bitcoin’s over the 2020.
Vishal Shah, cryptocurrency options trader and founder of alpha5, a derivatives trading venue, says Ethereum’s ambitious “2.0” upgrade to ETH offers a completely different rationale than BTC. “ETH should have a higher volatility given that it’s a less established protocol than bitcoin; it is materially smaller in market cap and has more uncertainties on the immediate horizon,” Shah said. “The largest uncertainty would be the settling of [the Beacon Chain] and the transition to 2.0, it’s all a bit uncharted.”
DBS launches a digital currency exchange
DBS, Singapore’s largest bank, is expected to launch a digital trading exchange next week that will first support four cryptocurrencies: Bitcoin, Ether, XRP and Bitcoin Cash. It will allow cryptocurrencies to trade with four fiat currencies: Singapore dollar, US dollar, Hong Kong dollar and Japanese yen, from 9am to 4pm Monday to Friday.
PIyush Gupta, head of BANK, said on Thursday that the bank’s digital trading platform would be the world’s first cryptocurrency trading platform supported by traditional banks. The platform is open to institutional investors and elite investors.
E-commerce companies join the latest digital RMB test
As the People’s Bank of China collaborates with banks and commercial entities to conduct public trials to evaluate user experience, China is accelerating its adoption of digital currencies. According to CLS reports, Didi, Meituan and Bilibili are participating in the latest test of the central bank’s digital currency program. The United States Financial News Agency reported that successful applicants for the trial in Suzhou can spend their digital renminbi bonuses online through Meituan’s bicycle sharing platform, Didi’s taxi service and Bilibili’s video sharing website. According to CoinDesk, JD.com also participated in the test, allowing successful applicants to spend digital RMB in online shopping malls.
