31.08.202113:31 Forex Analysis & Reviews: Nigeria to launch its own digital currency "eNaira"

The Bitcoin exchange rate confidently marks time in one place around the 200-day moving average, thereby playing on investors' nerves. However, allowing them to count on a further bull market, the central bank of Nigeria said that it is preparing to issue its digital currency by the end of the year.

For this purpose, Bitt Inc was chosen as the operator and technical partner. A financial technology company registered in Barbados will help the regulatory authority launch a new currency called eNaira. Such a message was published yesterday on the website of the Central Bank. According to the bank's head, Godwin Emefiele, the company mentioned above was chosen for its "technological competence, efficiency, platform security, interoperability, and work experience." It is expected that the new digital currency, which will complement the banknotes in circulation, will stimulate international trade and financial accessibility, making transactions more efficient and improving the country's monetary policy.

Let me remind you that four months ago, the authorities of Africa's largest economy announced the introduction of a ban on transactions with cryptocurrency, as they pose a threat to the financial system. Given that the demand for digital currencies was quite serious, most likely, the decision was made by the Central Bank of Nigeria to launch its digital currency this year.

Solana surprises

Before we talk about the technical picture of bitcoin and ether, I would like to highlight the next leader of growth in the cryptocurrency market. The Solana token crossed the $ 100 mark yesterday during trading, reaching a three-digit number for the first time. Currently, the cryptocurrency occupies an eighth place by market capitalization, ahead of Polkadot and the USDC stablecoin, and is trading for $ 121. The value of SOL has more than doubled in the last two weeks, mainly due to the boom in decentralized finance (DeFi) and non-interchangeable tokens (NFT). According to data provided by Defi Llama, the total amount of blocked funds in Solana-based DeFi applications has reached a record level and exceeded $ 3 billion, which means an increase of 400% over the past 30 days.

And since we hooked Polkadot, we can not say that Parallel Finance raised $22 million in the Series A round as financing for Polkadot, which is now estimated at $150 million. Parallel noted that it expects Polkadot to actively grow as an alternative to DeFi Ethereum, the market leader, despite the low processing speed and high commissions. And although Polkadot is only gaining momentum in this direction, many predict a relatively large future for it in the world of DeFi.

As for the technical picture of bitcoin, it has not changed much over the weekend. Its return to the area of $ 45,900 will have a key role in the further short-term direction of the trading instrument. There is a 200-day moving average, which has a great impact on institutional investors. A break in this range will push BTC to a minimum of $ 42,500, and then it will be close to $ 37,300. It will be possible to talk about a new upward wave of bitcoin after a real exit beyond the resistance of $ 50,400, followed by an update of $ 54,400 and $ 58,000.

As for the technical picture of the ether, judging by the chart, the bulls are still aimed at breaking through a large resistance in the area of $ 3,300. Only such a scenario will send ETH to the highs - $3,600 and $3,890. It will be possible to discuss the formation of pressure on the ether only after overcoming the intermediate support of $ 3,040. Its breakdown will collapse the trading instrument to the lows of $ 2,700 and $ 2,440.