Home / Trend News /Biggest Movers: SOL Rebounds From 2-Month Low To Start The Weekend

Biggest Movers: SOL Rebounds From 2-Month Low To Start The Weekend

11 Mar 2023

On Saturday, March 11, 2023, crypto advocates are concerned as a few stablecoin assets have depegged from their $1 parity. The second-largest stablecoin USDC, issued by Circle Financial, fell below $0.90, reaching a low of $0.877 per coin. Additionally, around five other stablecoins have dropped below the U.S. dollar parity during the early morning (ET) trading sessions on Saturday.

On March 11, 2023, stablecoin assets are having a rough day after Circle Financial announced that $3.3 billion of the cash backing usd coin (USDC) was held at Silicon Valley Bank (SVB). This news has caused USDC to depeg from the U.S. dollar, dropping to a low of $0.877 per coin on Saturday. As of 7:45 a.m. ET, USDC is currently trading at $0.91 per unit, up 3% from the low of $0.87.

We are temporarily pausing purchases using USDC on Ethereum and Polygon. We have also paused loads to the BitPay Card in the app. Further updates will follow here.

— BitPay (@BitPay) March 11, 2023

Following the depegging of USDC, several major crypto exchanges, including Binance and Coinbase, have suspended USDC trades. “Binance has temporarily suspended auto-conversion of USDC to BUSD due to current market conditions, specifically related to high inflows & the increasing burden to support the conversion,” Binance tweeted. “This is a normal risk-management procedural step to take while we monitor the situation.”

Coinbase stated: “We are temporarily pausing USDC:USD conversions over the weekend while banks are closed. During periods of heightened activity, conversions rely on USD transfers from the banks that clear during normal banking hours. When banks open on Monday, we plan to re-commence conversions.” The crypto payment processor Bitpay has also paused USDC payments and debit card loads.

The Singapore-based crypto exchange Crypto.com also suspended USDC deposits on March 11. “Out of an abundance of caution, we have temporarily suspended USDC to USD conversion, USDC deposit, and USDC pair trading due to current market conditions. USDC withdrawal remains available,” the company said on Saturday. “We will continue to evaluate the situation and plan to resume USDC trading as soon as possible.”

The depegging of USDC has caused a ripple effect of depegging issues for five different stablecoin projects, including GUSD, DAI, FRAX, USDP, and USDD. FRAX is currently trading for $0.91, USDD is swapping for $0.94, USDP is trading for $0.95, DAI is changing hands for $0.92, and GUSD is trading for $0.97 per unit. The largest stablecoin by market capitalization, tether (USDT), has remained within the $0.99 to $1 range since the SVB issues began.

What are your thoughts on the challenges facing stablecoins today? Share your views on this topic in the comments section below.

Jamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today.

Image Credits: Shutterstock, Pixabay, Wiki Commons

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

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On Saturday, March 11, 2023, crypto advocates are concerned as a few stablecoin assets have depegged from their $1 parity. The second-largest stablecoin USDC, issued by Circle Financial, fell below $0.90, reaching a low of $0.877 per coin. Additionally, around five other stablecoins have dropped below the U.S. dollar parity during the early morning (ET) trading sessions on Saturday.

On March 11, 2023, stablecoin assets are having a rough day after Circle Financial announced that $3.3 billion of the cash backing usd coin (USDC) was held at Silicon Valley Bank (SVB). This news has caused USDC to depeg from the U.S. dollar, dropping to a low of $0.877 per coin on Saturday. As of 7:45 a.m. ET, USDC is currently trading at $0.91 per unit, up 3% from the low of $0.87.

We are temporarily pausing purchases using USDC on Ethereum and Polygon. We have also paused loads to the BitPay Card in the app. Further updates will follow here.

— BitPay (@BitPay) March 11, 2023

Following the depegging of USDC, several major crypto exchanges, including Binance and Coinbase, have suspended USDC trades. “Binance has temporarily suspended auto-conversion of USDC to BUSD due to current market conditions, specifically related to high inflows & the increasing burden to support the conversion,” Binance tweeted. “This is a normal risk-management procedural step to take while we monitor the situation.”

Coinbase stated: “We are temporarily pausing USDC:USD conversions over the weekend while banks are closed. During periods of heightened activity, conversions rely on USD transfers from the banks that clear during normal banking hours. When banks open on Monday, we plan to re-commence conversions.” The crypto payment processor Bitpay has also paused USDC payments and debit card loads.

The Singapore-based crypto exchange Crypto.com also suspended USDC deposits on March 11. “Out of an abundance of caution, we have temporarily suspended USDC to USD conversion, USDC deposit, and USDC pair trading due to current market conditions. USDC withdrawal remains available,” the company said on Saturday. “We will continue to evaluate the situation and plan to resume USDC trading as soon as possible.”

The depegging of USDC has caused a ripple effect of depegging issues for five different stablecoin projects, including GUSD, DAI, FRAX, USDP, and USDD. FRAX is currently trading for $0.91, USDD is swapping for $0.94, USDP is trading for $0.95, DAI is changing hands for $0.92, and GUSD is trading for $0.97 per unit. The largest stablecoin by market capitalization, tether (USDT), has remained within the $0.99 to $1 range since the SVB issues began.

What are your thoughts on the challenges facing stablecoins today? Share your views on this topic in the comments section below.

Jamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today.

Image Credits: Shutterstock, Pixabay, Wiki Commons

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

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Solana rebounded from a two-month low to start the weekend, as bulls reentered the market to buy the recent dip. Overall, the global crypto market cap is currently trading 1.8% higher, following a nearly 10% drop on Friday. Polygon was another notable mover, as price rose by nearly 7% on Saturday.

Solana was back in the green to start the weekend, as bulls reappeared following Friday’s red wave.

Following a low of $16.19 in yesterday’s session, SOL/USD moved to an intraday peak of $18.85 on Saturday.

The move sees solana climb above a recent floor at $17.30, moving away from its weakest point since January 13 in the process.

Looking at the chart, this was helped by the relative strength index (RSI), which found a point of support at the 30.00 level.

As of writing, the index is now tracking at 32.85, which despite the rebound, remains deep in bearish territory.

The momentum of the 10-day (red) moving average continues to trend downwards, which could be a sign that there could be more turbulence ahead.

In addition to solana, polygon (MATIC) also rebounded from a multi-month low during Saturday’s session.

MATIC/USD jumped by nearly 7% earlier in the day, hitting a high of $1.09, after dropping to $0.9545 on Friday.

This was the lowest point for the token since the last week of January, and led to price strength moving deep into bear territory.

The RSI for MATIC is now tracking at 35.00, following a move to 32.00 during yesterday’s session.

Overall, polygon is down nearly 12% in the last week, however it appears that it could be on course to finding a floor.

Should this be the case, there could be some long-term bulls rushing in to buy the current dip.

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Tags in this story
Analysis, matic, Polygon, SOL, Solana

Do you expect a reversal in prices in the coming days? Let us know your thoughts in the comments.

Eliman was previously a director of a London-based brokerage, whilst also an online trading educator. Currently, he commentates on various asset classes, including Crypto, Stocks and FX, whilst also a startup founder.

Image Credits: Shutterstock, Pixabay, Wiki Commons, sdx15 / Shutterstock.com

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

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