Bitcoin Maintains $9,200 Level Ahead of Facebook’s GlobalCoin Reveal

Bitcoin’s price maintained elevated levels on Monday, as excitement surrounding Facebook’s ‘GlobalCoin’ project continued to build. According to previous reports, the social media network will debut the new cryptocurrency on Tuesday, with testing and implementation planned in the next six-to-nine months.

BTC/USD Update

Bitcoin’s price peaked at $9,386.25 on Monday, just shy of its Sunday high when it briefly surpassed $9,390 on Bitstamp. The leading digital currency was last seen trading at $9,275, having gained 3.4% during the session.

Bitcoin Price
Bitcoin (BTC/USD) continues to trade near $9,300 following weekend breakout. | Source: TradingView.

From a technical perspective, bitcoin’s short-term outlook remains extremely bullish. The daily relative strength index (RSI) is quickly returning to the 70 level, which typically conveys overbought conditions. Bitcoin has a tendency to hold above that level for extended periods during bullish breakouts. If played out to the textbook, BTC/USD could be poised for a minor retracement once 70 RSI is breached.

The 30-day exponential moving average (EMA) continues to reassure the bulls that upward traction is well supported. Bitcoin briefly dipped below the 30-day EMA last week but recovered quickly.

At current values, bitcoin’s market capitalization stands at $164.8 billion. Its dominance rate is back up to 57.2%.

Cryptocurrencies as a whole are maintaining elevated levels, with the market cap fast approaching the $290 billion mark. As Hacked reported last month, the $300 billion market cap level will likely become a reality very soon.

Facebook to Debut Cryptocurrency Project

In roughly 24 hours, Facebook will debut its so-called ‘GlobalCoin’ cryptocurrency, a move that many say could propel digital payment adoption forward leaps and bounds from current levels. And while GlobalCoin will be highly centralized, market participants believe it will be a net positive for a crypto ecosystem that has struggled with legitimacy for much of its history.

According to Barry Silbert, the founder and CEO of Digital Currency Group, Facebook’s cryptocurrency “will be remembered just as important – and transformative – as the launch of the Netscape browser.

Netscape was the dominant web browser of the 1990s.

Read about Facebook’s new cryptocurrency project here

Facebook has onboarded major industry partners for its new cryptocurrency project. As The Wall Street Journal recently reported, the social media giant has already signed up more than a dozen companies for GlobalCoin, including Visa inc., Mastercard Inc., Paypal Holdings Inc. and Uber Technologies Inc. These companies have each invested roughly $10 million in the new consortium.

Facebook’s whitepaper will likely reveal important details about the new cryptocurrency’s technical specifications. Based on previous reports, GlobalCoin will be pegged to a basket of government-issued currencies in order to weed out day-to-day volatility.

Disclaimer: The author owns Bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock. Chart via TradingView.

Author:
Chief Editor to Hacked.com and Contributor to CCN.com, Sam Bourgi has spent the past nine years focused on economics, markets and cryptocurrencies. His work has been featured in and cited by some of the world's leading newscasts, including Barron's, CBOE and Forbes. Avid crypto watchers and those with a libertarian persuasion can follow him on twitter at @hsbourgi