Qtum, Status and IOTA can break out of multi-year downtrend
Important advances have allowed Qtum, Status and IOTA to break free from longer-term bottoms, giving them plenty of room to move higher.
Shortly after carmaker Tesla announced that customers will be able to pay for its own products with Bitcoin (BTC) in the future, a new job ad from retail giant Amazon suggests that the company is already working on Bitcoin Profit crypto payments, at least in Mexico.
So if Amazon now also jumps on the bandwagon, this would be another big step towards mass viability for the crypto industry.
Market visualisation by Coin360
The bitcoin price was boosted by another piece of positive news yesterday, as the New York bank BNY Mellon announced that it will hold and transfer bitcoin on behalf of its clients from now on. It also plans to develop a platform through which traditional assets such as shares can be held and transacted in digital form alongside digital currencies.
So while Bitcoin is increasingly able to establish itself as a recognised store of value and investment product, many altcoins are also increasingly getting tailwind, which is not only due to the market leader’s traction, but also to technical improvements and higher practical benefits of the individual projects.
Because the so-called „airdrops“ are literally free money, they are extremely popular among crypto investors. This could possibly also be the reason why the altcoin Qtum (QTUM) is currently on the rise, because all owners of the cryptocurrency receive currency units of the cryptocurrency Qi as a gift, which in turn belongs to the decentralised trading platform QiSwap. Since the platform is based on the Qtum blockchain, the gift is distributed to Qtum investors, which is probably why some crypto users are now investing in QTUM to profit from the gift.
The blockchain project is currently focusing on the area of decentralised financial services and therefore wants to attract DeFi projects. Accordingly, a so-called hardfork is planned for the Qtum blockchain, which should reduce the waiting time for block production from 128 to 32 seconds to enable faster transactions, which are essential for DeFi.
Qtum is also working on the Neutron interface, which is intended to enable the operation of virtual machines on its own and other blockchain networks. The goal is to make its own blockchain cost-effective and user-friendly, with a focus on DeFi. With this strategy, Qtum makes itself attractive to both crypto investors and developers.
After hitting an interim low of US$3.18 on 1 February, QTUM’s share price stands at US$8.82 at press time, a whopping 177% gain in the last two weeks. The jump above the 5.90 US dollar mark broke out of a long-term bottom formation and a new upward trend was initiated.
A bottom established over a longer period of time provides a good basis for an upswing, because the longer the bottom formation, the stronger the subsequent upward trend.
However, the breakout of the bottom is usually followed by a retracement to the breakout point, and the long wick on the daily candle confirms that the first profits are indeed booked out in the higher areas. The relative strength index (RSI) is also well into oversold territory and points to a downturn soon.
The price could therefore initially run back to US$5.90, but if the bulls can turn this previous resistance into support that provides a renewed upswing, then the chances of the uptrend also improve to the same extent.