Monat: März 2023

• Voyager Digital token jumped to February highs. 

• The bankruptcy judge accepted that the company could be acquired by Binance.

• These gains could be temporary since there are other hurdles to the deal.

The Voyager Digital (VGX) price was the best-performing cryptocurrency on Wednesday after a legal victory by Binance, the biggest exchange in the world. VGX price soared to a high of $0.6150, the highest level since February 16. It has jumped by more than 86% from the lowest point this year.

Voyager Digital can be acquired

The main reason why the VGX token is soaring is the decision by a US court to allow the acquisition of the company by Binance US. The judge who is overseeing the bankruptcy proceedings said that Binance can go ahead with the $1 billion buyout. He overruled objections by the Securities and Exchange Commission (SEC). 

However, there is still a long way to go before the deal is completed since it will need to go other regulatory hurdles. The judge noted that most creditors were in favor of the deal. Voyager was in line to be acquired by FTX, a company that went bankrupt in November last year.

Still, there are many hurdles, including the fact that the SEC is still investigating Binance. In a report by the WSJ, Binance came up with a plan to mask its US operations. Binance US, worked in close collaboration with the main Binance. In a statement, Binance conceded that the two companies worked closely in their early days of the company.

Binance is not regulated in the US and has no headquarters. On the other hand, Binance US is regulated by the country and has thousands of American regulators.

The other hurdle for the Voyager acquisition deal is that FTX is claiming $445 million in a loan it made to Voyager Digital. This loan was made as the company attempted to emerge from bankruptcy. Another hurdle is that the SEC could accuse Voyager of offering VGX as a security without following due process.

VGX price prediction

VGX chart by TradingView

The VGX crypto price continued rising as investors focused on Voyager Digital’s acquisition. As it rose, the token rose above the key resistance level at $0.5592, the highest level on February 22. It has jumped above all moving averages while the MACD has moved above the neutral point. 

Therefore, Voyager will likely pull back in sync with other cryptocurrencies as the focus remains the Federal Reserve. Investors will also focus on the hindrance to the deal. If this happens, Voyager will likely retest the key support at $0.50.

How to buy Voyager Digital

Binance

Binance is one of the largest cryptocurrency exchanges in the world. It is better suited to more experienced investors and it offers a large number of cryptocurrencies to choose from, at over 600. Binance is also known for having low trading fees and a multiple of trading options that its users can benefit from, such as; peer-to-peer trading, margin trading and spot trading.

Buy VGX with Binance today

Swapzone

Swapzone is a crypto exchange aggregator that operates as a gateway between the cryptocurrency community and exchange services. Swapzone aims to provide a convenient interface, safe user flow, and crystal-clear data for users to find the best exchange rates among the whole cryptocurrency market.

Buy VGX with Swapzone today

The post Is it safe to buy the Voyager Digital token (VGX) rally? appeared first on CoinJournal.

• Bitcoin price crashed last Friday as Silvergate Capital delayed filling a 10-K report 
• No bounce followed 
• For bulls to have a case, Bitcoin needs to hold support and break two resistance levels

Last Friday, Bitcoin price lost $1,400 on news that it delayed filling a 10-K report. The stock crashed over 30% and triggered massive selling in the cryptocurrency market.

Inevitably, Bitcoin price was hit, as doubts over Silvergate’s future scared investors in the cryptocurrency market. Investors, however, are used to Bitcoin’s volatility. For example, the price is down -47.5% in the last 12 months and up 32.74% YTD.

It means that the reaction to Silvergate’s announcement might be just part of the coin’s volatility. But the worrying fact is that the price did not bounce back as bulls would have wanted.

Curiously, Bitcoin led the stock market losses. It used to be the other way around – Bitcoin following the S&P 500 index’s price action, but now the roles changed.

While Bitcoin price dropped last Friday, the stock market continued its recent rally. The two diverged.

Only yesterday, stocks crashed too, as the Federal Reserve’s Chair, Jerome Powell, testified in front of the Senate on the monetary policy. He said that recent data favors a higher terminal rate; thus, more rate hikes are in the pipeline. As a result, stocks crashed, and the US dollar rallied.

When should bulls start buying Bitcoin?

Bitcoin may have rallied in 2023, but the recent price action is bearish. The market dropped after a contracting triangle acted as a reversal pattern in late February.

Next, a consolidation started, which resembles a bearish flag pattern. Silvergate’s stock price crash completed the pattern, as Bitcoin price reacted.

Will the neckline of an inverse head and shoulders pattern offer support?

BTCUSD chart by TradingView

If it does, then Bitcoin is still not out of the woods, as momentarily, bears are in control. For a bullish setup, Bitcoin price needs to do two things.

First, to break above the bearish trendline. But only that is not enough.

Second, it must climb above the previous lower high in the $24k area. Can it do that?

The only way to do so is for risk sentiment in financial markets to turn on. If that is the case, all eyes should be on the stock market as a bounce there would support Bitcoin’s rally.

On the flip side, a drop below the head of the inversed head and shoulders pattern would open the gates for further losses.

The post Is it safe to buy Bitcoin after Silvergate Capital’s stock price crash? appeared first on CoinJournal.