Summary:

• Bittrex will allow corporate clients to trade cryptocurrencies against US dollars

• Ripple (RIPPLE on xStation5) may be looking to test $0.62 handle once again

• IMF official suggest that fiat currencies may become less competitive than digital assets

Digital assets continue to recover after most of the major coins tested their 2018 lows in the recent days. The capitalization of the whole market inched to $335 billion while the Bloomberg Galaxy Crypto Index bounced from 720 pts to 755 pts. The improved sentiment may be to some extent accounted to the news coming from the US where one of the biggest cryptocurrency exchanges is said to allow its corporate clients to trade coins with US dollars. Apart from that, we will mention story from India as well as remarks from one of the IMF officials.

Bittrex, one of the biggest US cryptocurrency exchanges, announced on Thursday that it has partnered with Signature Bank. As a result the exchange will allow some customers to trade cryptocurrencies against US dollar. This is the major breakthrough as the company previously only allowed to trade cryptocurrencies against each other. Moreover, as Bittrex has roughly 200 coins in its offer such feature may greatly boost volumes in the less popular coins. However, one should keep in mind that only corporate clients and not from all states will be allowed to trade cryptocurrencies with US dollars. Rest of the customers will have to stick to “crypto-to-crypto” transaction. However, the development paints a bright picture for the future of crypto trading as making this market more friendly to institutional investors may be a key to its sustainability.

After finding bottom at 78.6% retracement level ($7110) of the latest surge BITCOIN may be eyeing a test of the 21-session moving average (yellow line) that is localized around $7840. Today’s candlestick has already painted a bullish pin bar on the 78.6% Fibo level but the day is far from over therefore investors should wait before utilizing this pattern. Source: xStation5

The Venezuelan and Iranian economies have had a hard time as of late as they have been targeted by the US sanctions. Both countries seek to maintain its trade relations with India as it is an important oil trading partner to both. However, as sanctions limit the scope for trade both countries seek different means to maintain its current relations. Venezuela has launched its oil-backed cryptocurrency, the petro and is now seeking investors that would be interested in it. The Venezuelan authorities tried to incentivize India with a 30% discount on petro yet the Indian government has rejected this offer. Indian foreign minister Sushma Swaraj said that India cannot enter such deal as trading in cryptocurrencies has been banned by the Reserve Bank of India recently. Nevertheless, the politician expressed that it will seek other medium for trade with Venezuela.

After failing to break above the $0.62 handle recently RIPPLE may be eyeing a repeated test of this hurdle now. Keep in mind that the coin has found support at the 33-period moving average (green line, H4 interval) thus the scope for potential declines may be limited. Source: xStation5

Dong He, a deputy director for the International Monetary Fund’s Monetary and Capital Markets Department made some interesting remarks concerning digital currencies in his latest article published on Thursday. Mr He stated that central banks may need to offer better fiat currencies to counter competition arising from the cryptocurrencies. He expressed that in case digital assets will embrace wider adoption monetary authorities may lose some of its potential to influence economy. He said that in case no changes are made to fiat currencies the rise of cryptos may limit the impact of the interest rate changes on the markets and economy. He suggested that a tight regulation of digital assets sphere may be needed as cryptocurrencies being subject to lighter restrictions than fiat money may soon become more competitive.