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DASH is a privacy coin that lets users switch and make related transactions fully anonymous. The token is one of the best performers since the start of the week. In the last 24 hours alone, the coin has added over 45% breaking into the billion-dollar market capitalization club. Since the start of the year, the token’s uptrend has been evident and it has been surging up the ranks.
Currently, Dash is positioned 12th and it is threatening to break into the top 10 list. In the past 24 hours, more than 9.2 million Dash coins with trading volumes of $2.2 billion have exchanged hands. Thus, investors’ confidence is quite high and the increased demand may thrust the token to new all-time highs.
The markets appear to have some great news linked to Dash which is Venezuela’s preferred crypto. Since January 4, the Dash price has soared from $45 to $77 which represented a 67% gain in market value. Since the start of the week, the token has exploded again clearing the $100 resistance and now hovering around $120.
During the same time, Bitcoin rose from $7,330 to $8,490 and now it has smashed the $8,600 resistance levels. Analysts believe that it is just a matter of time before BTC price regains the $9,000 handle.
Burger King Effect
In the case of Dash, many believe that its rising price is due to adoption within Venezuela. Recent reports revealed that Burger King confirmed its plans to accept Dash in 40 of the country’s restaurants. Although the news may have insignificant effects outside Venezuela, it appears that the high-profile declaration encouraged speculative investment globally.
It is believed that at least 2,800 businesses in Venezuela accepted DASH in 2018. Its CEO claims that this coin is a dominant coin surpassing Bitcoin in Venezuela. But, the recent news that DASH and five other tokens including Bitcoin will be accepted by Burger King in a pilot scheme that will start in Sambil Caracas could have resurrected the token.
By partnering with a Point of Sale (PoS) platform, Cryptobuyer, for the purchase and selling of crypto in Latin America, Burger King will accept Dash in all of their outlets.
Leaders Comment
While commenting on the Burger King news, Dash Core Group CEO, Ryan Taylor, stated:
“Dash usage continues growing at a rapid rate in Venezuela, as it provides an alternative that is a more reliable payment method and store of value. We are happy to collaborate with Cryptobuyer to keep growing the Dash ecosystem and serve Burger King and its customers.”
On his part, Jorge Farias who is the Cryptobuyer Chief Executive Officer added:
“The growth of Cryptobuyer in South America, especially in Venezuela, is another example of how this region is ahead of the curve in adopting cryptocurrency as a real method of payment. Venezuela portraits a mix of situations that make it a perfect ground to deploy real-world cryptocurrency solutions, such as hyperinflation, cash shortages, deteriorated banking and communication infrastructure.”
Internet Shutdown Could Have Played A Hand
The rising trade volumes in Venezuela coincide with a nationwide internet outage. According to January 5 reports, ABA CANTV, Venezuela’s state internet provider, put a limit on social media during a government leadership vote. Although this provider shortly restored access, another major shutdown started on January 13 as discovered by Netblocks censorship watchdog.
Confirmed: Total internet outage with #Venezuela's state-run operator ABA CANTV affecting Bolívar, Monagas and parts of Anzoátegui from 8:00 a.m. local time; incident ongoing 📉 pic.twitter.com/ZJ9Fc1npg0
— NetBlocks.org (@netblocks) January 13, 2020
It might be true that this month’s internet shutdown has increased Bitcoin investment. The Venezuelan citizens are now convinced that crypto is a haven against political corruption and hyperinflation that has affected the country in recent years. On the other hand, irregular and interrupted internet access may just have made users concentrate their trading activity on certain days.
Even though there are many limitations from the government on Petro which is an oil-backed issued stablecoin, the use of alternative and public crypto assets has increased.
Shifting Sentiment
The shifting sentiment surrounding cryptos may have acted as another trigger for DASH to soar rapidly. While Bitcoin is galloping, altcoins are following suit with some of them like DASH outrunning it. Most of the aggressive traders prefer to deal with altcoins since they present high volatilities. Hence, all timely entries are rewarded with high returns, a case that is quite clear now.
Dash absolutely dominates the competition! I don’t understand how you could invest into any of those coins below if you truely understood what Dash was doing/has done.
2020 is the year that people realise how far Dash is ahead! https://t.co/U9IyI58qr7
— Matt Meek (@mattmeek_) January 12, 2020
A BTC adds 2%, DASH is up over 40% within the same time frame. From the charts, it is evident that DASH smashed the 20-week Moving Average for the first time in 7 months. That happened supported by increasing trading volumes. DASH/USD broke past $100 barrier for the first time since September 2019. It spiked from $89 to $122 in the early hours of January 15 trading.
The six consecutive bullish days have enabled to token to dash past the $100 psychological level. Two of the indicators currently show that the token is overpriced. DSH/USD is hovering above the 20-day Bollinger Band while the Relative Strength Index (RSI) trending around 90. That indicated that the token is deep within the overbought zone.
A correction may be underway but the token, for now, appears poised to move higher.