Barring the dollar-pegged USD Coin, all other top digital tokens were trading with higher in early trade on Wednesday. Avalanche rose 11 per cent each, followed by a 4 per cent rise in Ethereum and BNB each.
The global crypto market cap dropped as much as 6 per cent to the $1.84 trillion mark. Meanwhile, the total crypto market volume rose nearly 14 per cent to $81.86 billion.
What’s Cooking in India
Tough talk by senior Reserve Bank of India (RBI) officials on cryptocurrencies is making the Indian crypto community nervous. RBI deputy governor T Rabi Sankar called for an outright ban on cryptocurrencies.
Previously, RBI governor Shaktikanta Das had said in a monetary policy press conference that private cryptocurrencies were a threat to the macroeconomic and financial stability of the country, and investors should keep risks in mind.
Expert Take
As tensions ease over the Russia and Ukraine conflict, the crypto market traded stronger, indicating traders’ renewed risk appetite, said CoinDCX Research Team.
Early into 2022, the global crypto industry has already faced multiple regulatory hurdles and pushbacks from traditionalists but has stood its ground.
After years of arguing against the use of cryptocurrency, over many concerns like money laundering scams and other illegal activities, Russia has finally taken a stance on the regulation of digital assets, said WazirX Trade Desk.
“Russia intends to treat cryptocurrency as ‘an analogue of currencies’ rather than a financial asset. Simply put, it will regard crypto as a foreign currency,” it added. “Before February 18, they will prepare a draft law on the circulation of digital currencies in the Russian Federation.”
Global updates
- JPMorgan, the largest bank in the US, said it has become the first lender to arrive in the metaverse, having opened a lounge in Decentraland, a virtual world based on blockchain technology.
- New rules are needed urgently to give banks certainty in handling crypto assets on behalf of big customers who want to enter the rapidly evolving market, a senior executive from US bank JPMorgan Chase.
- Fidelity International is listing its first bitcoin exchange-traded product (ETP) on the Deutsche Börse in Frankfurt and SIX Swiss Exchange in Zurich.
- Deutsche Bank’s ‘The Future of Cryptocurrencies’ report found fewer than half of crypto traders and investors surveyed would reduce investments or leave the market entirely even if prices fell 80 per cent.
- Binance Smart Chain (BSC), the layer 1, or base, the blockchain of crypto exchange Binance, announced a major rebranding and a push towards expansion, reported CoinDesk.
Tech view
from BuyUcoin
Solana’s price hopped by 6.53 per cent at the time of writing. While continuing to trade inside the descending channel, it is gradually correcting towards the strong support at $85, and the RSI is in between 30 and 50 levels. This indicates that bears have control, however, bulls are trying to push the price up and they have taken it up by 15 per cent.
The bulls must be more powerful to push the SOL price higher. A breakout and close above the 20-day EMA ($105) will be the first indicator of strength, followed by $120 as the next potential stopping mark (resistance level). Another positive recovery and close above $120 could mean the current downtrend is coming to an end.
(Views and recommendations given in this section are the analysts’ own and do not represent those of ETMarkets.com. Please consult your financial adviser before taking any position in the asset/s mentioned.)
