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DASH doubles its value since the start of the year amid Venezuela Internet outages

  • Dash price increased by over 100% in the first two weeks of 2020.
  • Internet outages in Venezuela might have played a role in the massive price increase.

Dash is one of the best-performing altcoins out of top-20. The coin has gained nearly 30% of its value in recent 24 hours and hit $85.79 in recent hours. Decpite the retreat towards $83.57 by press time, it is still retains strong bullish bias amid high volatility. Dash average daily trading volume nearly doubled in recent days and exceeded $500 million. Dash is most actively traded against BTC.

Venezuela Internet outages support Dash

It is no secret that Dash is one of the most popular digital coins in crisis-stricken Venezuela. Since the beginning of the year the coin's price has increased by over 100%, while Bitcoin has gained only 19% within the same time frame. 

Cryptocurrency experts often attribute Dashes; success to massive adoption in Venezuela. Recently, Burger King added the coin to the list of accepted payment methods in one of its 40 the restaurants in the country. While the event itself had a limited impact on the market, it encouraged a wave of speculative interest. 

Also, a massive Internet outage in Venezuela on January 13 might have served as additional boost to Dash that can be bought and sent via SMS service. Thus Dash SMS wallet Dash Text continued to work during blackouts back in March 2019 and during Internet outage in January 2020.  

Netblock.org, the comoany that tracks disruptions and shutdowns, wrote on Twitter:

Confirmed: Total internet outage with #Venezuela's state-run operator ABA CANTV affecting Bolívar, Monagas and parts of Anzoátegui from 8:00 a.m. local time; incident ongoing.

DASH/USD: technical picture

From the technical point of view, DASH surpassed SMA200 daily for the first time since July 27, 2019. While this development is regareded as a strong bullish signal, the charts imply that the correction may be underway as the daily RSI has entered an overbought territory. Moreover, the price rushed outside the Bollinger Band (daily), which is also a signal of an overstretched market. 

The initial aim of the correction is $74.00 ( the upper line of the daily Bollinger Band). If it gives way, the retreated may be extended towards $70.00 and %9/00 (SMA100 daily).

On the upside, a sustainable move above the recent high will open up the way towards $97.00 (SMA50 weekly) and $100.00.

DASH/USD daily chart

More: Two cryptocurrencies to buy in 2020

Author

Tanya Abrosimova

Tanya Abrosimova

Independent Analyst

 

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