- DBS, one of the largest bank in Asia, sees Bitcoin as a bit of a pyramid scheme
- UK real estate gains adoption among young inhabitants
- Ethereum (ETHUSD) breaks a key resistance line and opens up room for further gains
Bitcoin is gaining momentum in early trading after a plunge seen at the beginning of the week, however we’ve got another bunch of equivocal reports pertaining to the cryptocurrency of late. Let’s begin with the news which came from Asia as the DBS, one of the largest bank there, said that it sees Bitcoin as a bit of a pyramid scheme. What’s more David Gledhill being chief information officer and head of technology and operations at DBS said that Bitcoin transactions are incredibly expensive and all the fees are hidden through the crypto-mechanisms, hence therefore he doesn’t think DBS being in that game right now it’s going to create a competitive advantage for the bank. Let us add that DBS is Southeast Asia’s largest lender and a big believer in emerging technologies which earlier this year launched a cloud-based e-learning management system powered on artificial intelligence for its employees.
Bitcoin (BTCUSD) is climbing higher in the morning trading and could continue increasing once the price closes above a 23.6% retracement. Notice that this level has been tested twice but there has been not enough resolve to stay above as of yet. Should this level is finally broken, it could lead to a continuation of the ongoing increase and the past highs might be at stake. Source: xStation5
In order to offset a little adverse effect on Bitcoin coming from Asia, it’s worth looking at the UK where the real estate is attracting more and more offers in Bitcoin. According to Lev Loginov, co-founder of property firm London Wall, the UK housing market is attracting interest from an unusually young demographic because it is being sold in Bitcoin. Other houses in England have been offered for sale in the cryptocurrency before, but not on this scale, and not exclusively in Bitcoin. He added that a lot of young people got involved in cryptocurrencies at an early stage and most of them made money from mining cryptocurrencies, and basically they’re looking to acquire assets.
A potentially curious trade opportunity may be found in Ethereum as the price managed to close above its resistance line which could bode well for further rises. If this breakout is confirmed, it could give a rise to a continued increase toward $390. At the same time the broken trend line should be seen as the nearest support area for buyers.