Technical Analysis and Market Entry: DASH/USDT Bulls are Back in Full Force as Adoption Grows

Dash
  • DASH/USDT is enjoying a run to the upside, having gained some 45% over the last four sessions.
  • DASH adoption is rapidly growing in Venezuela, as it is announced all 40 Burger King locations in the country are now accepting the crypto.

DASH/USDT: Recent Price Action

DASH/USDT has regained decent momentum to the upside, which commenced on 4 January. It comes as a rival for the price after taking a large beating through the second half of 2019. The price had dropped a chunky. Last year had initially looked promising, having kick-started a recovery in February, on the back of hitting bottom in December 2018. Market bulls managed to push the price up to heights of $188 in June, hitting the highest level since October 2018. It made a chunky gain of 185%, before the bulls lost complete control.

Between the noted highs in June up to the start of this year, 3 January, DASH/USDT had been falling. It lost a whopping 80%, plummeting to all-time lows down at $38. Buyers, however, as detailed, managed to stage a rebound and commence this current bull run that has been observed. The price has gained some 45% since bottoming out at the noted low area but faces a big barrier ahead.

The bulls are now going to have to breakdown a large level of resistance, which was the bottom of 2018, $57.00. It has already proven its case as a potential problem for further upside pressure. A rejection was seen between 29-30 November, sending the price back down to the south.

DASH/USDT daily chart.

Growing DASH Adoption: 40 Burger King Locations

According to a recent blog post on the DASH website, it indicated that all 40 Burger King locations throughout Venezuela are expected to accept coins in 2020. DASH already has a strong existing presence in the country, due to the country suffering from hyperinflation, since at least 2014. It has seen the Bolívar (VEF) rapidly depreciating in value. As a result, Dash has been providing struggling Venezuelans with stores of value and mediums of exchange they could rely upon

Dash Core Group CEO Ryan Taylor commented on this update:

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.

Trade Recommendation

Given the pace of current momentum, further moves to the north are still eyed; however, the bulls do have the challenge to tackle. In terms of entry for a long position, eyes are on two potential scenarios. The first entry point would be waiting for a breakout and retest of the noted barrier at $57.00 via the daily. The second would be upon a potential retest of 4-hour support down at $48.00. Targets to the upside; $70.00, $80.00 and $85.00. Stops to be placed at $55 for the first noted possible entry and then $45 for the second.

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.

Author:
Ken has over 8 years exposure to the financial markets. During a large part of his career, he worked as an analyst, covering a variety of asset classes; forex, fixed income, commodities, equities and cryptocurrencies. Ken has gone on to become a regular contributor across several large news and analysis outlets.