After a solid rally, bitcoin cash price topped around the $1,576 level against the US Dollar. A and the price moved below the $1,500 level. The price also declined below the 23.6% Fib retracement level of the last upside leg from the $1,030 low to $1,576 high. It opened the doors for a larger correction and the price even broke the $1,300 support level.
However, the decline was protected by the $1,240-50 zone. Moreover, the 61.8% Fib retracement level of the last upside leg from the $1,030 low to $1,576 high also acted as a support. The downside move found support around $1,240. A base was formed and the price resumed its uptrend. It is now back above the $1,400 resistance and is . There is also a major bullish trend line forming with support near $1,320 on the 4-hours chart of the BCH/USD pair. The pair remains well supported on the downside around the $1,320-40 levels.
Looking at the , it seems like the price may continue to move higher and it could soon break $1,500. A successful break above $1,500 may perhaps clear the path for a new high above $1,575 in the near term.
Looking at the technical indicators:
4-hours MACD – The MACD for BCH/USD is slowly moving back in the bullish zone.
4-hours RSI (Relative Strength Index) – The RSI for BTC/USD is now above the 55 level.
, a new bitcoin exchange co-founded by former bitcoin Foundation Executive DirectorJon Matonis, is announcing that its parent Globitex Holding (Latvia) group company NexPay UAB has been granted an Electronic Money Institution (EMI) license by the Bank of Lithuania, a regulatory authority in the European Union, to carry out payment services and e-money issuance in the EU.
The acquisition of the EMI license will allow Globitex to integrate with the (SEPA) euro payment system directly through the central bank of Lithuania. This will enable NexPay to clear euro payments directly, without the involvement of commercial banks, and to issue IBAN accounts to Globitex clients just as banks issue accounts to their clients, which is could be an important step forward in terms of accessibility.
According to the company, this regulatory development opens the way for the institutional- grade bitcoin exchange to deal with EUR fiat payments globally and sets a new level of legitimacy for the cryptocurrency industry overall. It also represents a significant step toward widespread adoption of bitcoin as a unit of account suitable for global trade, with no geographic, political or monetary restrictions.
Eventually, Globitex wants to allow producers to purchase exchange-listed products for bitcoin, and trading firms, and speculators to hedge their risks in bitcoin with derivatives trading.
“Globitex is looking to set new cryptocurrency trading standards not only technologically, or by commodities linked product offering, but especially in Globitex’s legal setup, ensuring safe passage to the digital age,” said Liza Aizupiete, Managing Director of Globitex, who in a panel discussion on the future of blockchain technology and cryptocurrencies at in Riga, Latvia.
While bitcoin offers enormous advantages for international settlement due to its speed and low cost compared to legacy money transfer services, order-book depth and liquidity cannot yet support very large trades; therefore, bitcoin cannot yet serve as a currency of international trade settlement across the world’s financial markets.
Globitex wants to tackle this challenge by dramatically increasing bitcoin trading volumes and facilitating bitcoin’s use across the spectrum of money and commodity markets, thereby allowing financial instruments and commodities like crude oil, gold and coffee to be priced directly in bitcoin.
Physical-Settlement Futures Contracts as Important Enabling Factors
“I look forward to this evolution of digital currency trading platforms that ensure futures contracts with a physical delivery component,” Matonis told bitcoin Magazine. “Strong connection to the spot markets, including contract limits and physical delivery that is linked to provisioned commodities, will serve as the market standard for price integrity.”
Matonis outlined some risks associated with cash-settled bitcoin futures contracts. He pointed out that the price index is too easily gamed, for example, and that there is no physical commodity (private keys) for integrity of short positions, maintenance margins could potentially approach 100 percent so there is no real leverage during volatility, and there is a risk of limit-up, limit-down insolvency for certain smaller members.
According to Matonis, the cash-settled bitcoin futures contract is a precursor to an exchange offering a proper physical-settlement futures contract like Globitex. In fact, decentralized crypto and physical-settlement bitcoin markets will be more robust, Matonis explained to bitcoin Magazine, since warehousing, open-contract limits and maintenance-margin calculations all behave differently under a digital assets class with physical settlement.
Globitex , to be issued on the Ethereum blockchain, for its GBX utility token to fund the scaling of its existing exchange infrastructure into a commodities spot and derivatives exchange for bitcoin.
A short explainer outlines a future where bitcoin is the preferred medium of exchange for everything and permits cheaply settling international trades; swapping precious metals and commodities in seconds; and opening new trading options for farmers, manufacturing companies, metal miners, oil refineries and more.
bitcoin – Transaction records The basic mechanics of a bitcoin transaction between two parties and what is included within a given bitcoin transaction record. More free lessons at: http://www.khanacademy.org/video?v=9-9_v1wSPBQ Video by Zulfikar Ramzan. Zulfikar Ramzan […]
Nike Files Patent to Launch ‘Cryptokicks’ Cryptocurrency Nike has filed a trademark and service mark application with the United States Patent and Trademark Office for protection over the brand ‘Cryptokicks.’ The document reveals the company’s […]
