The Peso gets a stable coin, Crypto markets get some relief ; plus our weekly BTC and ETH analysis
- Tether Launches Stablecoin Pegged To Mexican Peso
- Bitcoin/USD – BTC Range Breakout
- Ethereum/USD – ETH Bounce From Range Low
Tether Launches Stablecoin Pegged To Mexican Peso
Tether announced last Thursday it would launch a new digital stablecoin that would be pegged to the Mexican Peso on the ETH, TRX, and MATIC networks. Tether has identified a growing demand for crypto and stablecoin products in Mexico, and to meet that demand it has decided to launch the Peso-pegged stablecoin. Tether mentioned the token will have the ticker symbol MXNT & would join Tether’s other fiat-pegged stablecoins including the dollar (USDT), the euro (EURT), & the Chinese yuan (CNHT).
According to Paolo Ardoino, Tether’s CTO, the rise in crypto adoption in Latin America led to the decision to expand and provide more onramps to the USDT stablecoin and provide a way for those in Mexico to store value. Ardoino described USDT as a bridge to Bitcoin and said he believes the dollar-pegged stablecoin would be successful in onboarding the next 2 billion crypto users, however, tether would first have to work with local banks by offering “different flavors of Tether.” Tether also noted a report from Triple A stating that 40% of Mexican companies are interested in adopting blockchain and crypto in some way.
Bitcoin/USD – BTC Range Breakout
BTC Daily Chart
BTC Weekly Chart
At the time of writing, Bitcoin is priced at about $31.7k after finally managing to break out of the smaller range that it stayed in for 17 days before breaking out. Although BTC has broken out of its range, there are still some trouble areas just ahead of this breakout located at about $32k which is the weekly resistance level and more importantly $34k which is a monthly resistance level. A break through these levels on a HTF (high time frame) closing basis would lead me to believe that bulls have the upper hand.
Bitcoin Bull Scenario
Bitcoin reclaims the $30k – $32k level on a weekly closing basis and a move up to $34k is in the cards.
Bitcoin Bear Scenario
Bitcoin deviates back into the range, closes under $30k, and I would expect more downside.
Ethereum/USD – ETH Bounce From Range Low
ETH Daily Chart
ETH Weekly Chart
At the time of writing, Ethereum is priced at 1.9k and has given a small bounce from the range lows. The range breakout from BTC was enough to pull ETH up with it as well and give a bounce off the lows. If bitcoin can continue to grind up or at least consolidate in the area where it is, I think ETH is capable of reaching the $2.3k area as the next area of interest.
Ethereum Bull Scenario
BTC grinds up or at least consolidates in its current area while ETH pushes towards its $2.3k resistance.
Ethereum Bear Scenario
BTC deviates back below the range and pulls ETH back down along with it. I would expect the $1.4k level to act as support in this scenario.