Social media giant Facebook plans to leverage its massive user base of more than 2.7 billion for the success of its crypto project that aims to integrate Instagram, Facebook Messenger and WhatsApp under one canopy.
According to the New York Times’ sources, the cryptocurrency will be a stablecoin that will be pegged to the fiat currencies of three nations. This project will introduce a digital currency to a massive audience and might get the users interested in this niche space, which will be positive for the other cryptocurrencies.
While retail investors are skeptical about entering the crypto space due to the prolonged bear market, the institutional players are using the current low valuations across the board to invest.
Bloomberg reported that Singapore’s Government Investment Corporation (GIC), with more than $100 billion in assets, was one of the investors in the Series E equity financing round of crypto exchange Coinbase. The entry of such large investors is good news for the future of the crypto space.
Any new technology takes time to gain widespread acceptance. As the spectrum of use cases for the blockchain technology increases, they will evolve into something larger, said Christine Moy, executive director and head of the blockchain center of excellence at JPMorgan Chase.
BTC/USD
Bitcoin (BTC) again took support at the downtrend line on Feb. 27, which is a positive sign. As long as the price remains above both of the moving averages, the probability of a gradual rise to $4,255 will be high.
Currently, the 50-day SMA is flat, but the 20-day EMA has started to trend up, and the RSI is also in the positive territory, which suggests that the bulls have the upper hand in the short term.
A break out of $4,255 will complete a double bottom pattern and is likely to attract short covering. The minimum target objective of this setup is $5,273.91. Therefore, we suggest traders buy the remaining position on a close (UTC time frame) above $4,255.
For now, the traders can retain the stops on their long positions just below the current yearly low of $3236.09.
However, if the bulls fail to push the BTC/USD pair above $3,900, it can slump to the 50-day SMA, and below it to $3,355. The downtrend will resume if the price dives below the support zone of $3,236.09–$3,355.
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.
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