🚨Winklevoss Twins Make History🚨
Volatility is seen as the largest reason behind why consumers are deterred from using cryptocurrencies as a formal, everyday currency. Various stablecoins have hit the market in an attempt to upend just this, but most, if not all, have not found the support needed for mass-market adoption. Today, however, this may be a thing of the past, because two major players in the business world with immense global popularity have released a stablecoin of their own.
The Gemini Trust Company, owned by the Winklevoss twins, received groundbreaking news from the New York Department of Financial Services: Gemini Trust Company has been approved to issue its first cryptocurrency – the Gemini Dollar.
The Gemini Dollar, which launches later today, is backed by the US dollar and uses the Ethereum Blockchain, making the coin stable while having the many decentralized benefits of a cryptocurrency. Ultimately, the Gemini Dollar will be a true, everyday currency, making it an actual usable tender and not something a consumer would like to store, which is unlike Bitcoin and Ethereum as they are both seen as store of value similar to gold.
Financial juggernaut State Street will secure the US dollars necessary for the Gemini Dollar to operate in an FDIC-backed account. Various other third-party audits will occur before and after the launch. The significance of this is simple, stablecoins, unlike traditional cryptocurrencies, are not mined; instead, they are created whenever a new dollar is allocated to the cause. Therefore, it is crucial for a stablecoin entity to have reputable industry leaders to secure their fiat currency. It is equally important for diligent audits to occur, as this will provide transparency and, thus, eliminate any chances of fraud and manipulation.
Welcome to another week in crypto!
The price of Bitcoin is currently $6294, with 24 hour volume leveling around 3.6 billion USD.
Once again, $BTC has found its way back into the $6000’s. 2018 major support is being tested again. Historically, the more occasions support or resistance is tested, the higher the likelihood of the price barrier breaking down in the direction of whatever price region it is protecting.
The weekly candle for $BTC closed as bearish engulfing, which signals extreme weakness until proven otherwise.
Our consensus is that more downside will ensue for $BTC in the coming days. Like we mentioned last week, our team has entered net short positions since around the $6500 region. We plan on maintaining these positions as our belief is that $BTC will break 2018 lows of $5700 before this bear market comes to a close.
We will look to buy plenty of spot $BTC via dollar cost averaging from below $5700 all the way to $4800. We will make our buying schedule more public if this situation plays out.
If $BTC, however, can close this week with some strength pushing the price back towards $6800, we will reconsider our bearish bias.
As always, we will continue to update as the week continues.