Bank Servicing Bitcoin ETH and Other Cryptocurrency EntitySeptember 14, 2019
The battle of dominance is forever existent between Ethereum and Bitcoin. By market capitalization, Bitcoin is the most dominant, but ETH has a special place in the cryptocurrency market under its functionalities and features.
Bitcoin has survived several storms, and it continues to be the market leader. ETH was considered to be the biggest rival to Bitcoin. The significant difference between the Bitcoin and the Ethereum is related to their concepts.
Bitcoin is focused on becoming a global cryptocurrency. ETH is focused on providing for peer-to-peer contracts through Ether, the proprietary currency of Ethereum. And, now several novices are entering the cryptocurrency market and are looking for diversification of their assets.
Ethereum has been trending on the horizontal direction over the past seven days. The price of the ETH/USD has gone down from $181.57 through $181 during the early trading hours of Saturday. During the past seven days, the price has been oscillating between $181.65 and $178.50. The price fell to $178.25 and later spiked to as high as $181.60 in just 3 hours. The price eventually met with the resistance level at $181.
The ETH price has been trending by the 200-day simple moving average (SMA 200) and the 50-day SMA 50 curves. The ETH/USD enjoys support at the SMA 20 curve. The MACD curve is showing a bullish momentum in a sustained manner.
For Bitcoin, the current price trends are unique. Bitcoin volatility levels are currently very erratic, and they are coupled with unstable trading volumes. Bitcoin is expected to trade in the $10,400 – $10,200 range. This will continue for as long as the technical indicators continue to be the same.
Those who are looking to enter the cryptocurrency space safely should consider that a regulatory maze is woven around the cryptocurrency market. There are obstacles for individuals and organizations alike when it comes to entering the cryptocurrency space.
Banking is a significant bottleneck in the cryptocurrency space despite cryptocurrencies bringing in newer opportunities, and this is one reason why even major institutional investors are reluctant when it comes to entering the cryptocurrency space.
Silvergate Bank, which is headquartered in San Diego, is serving more than 500 entities dealing with cryptocurrencies. The bank has recently announced their intentions to provide loans which are collateralized with the cryptocurrency.
We believe there may be attractive opportunities to provide digital currency borrowing facilities to deepen our high-quality customer relationships and further enhance our interest income.