DASH has low chance to be classified as a security

• Crypto Ratings Council ranked DASH as #1, which means it is less likely to be categorized as a security.
• DASH/USD is vulnerable to further downside correction from overbought levels.

DASH, now the 13th largest digital asset with the current market value of $1.15 billion, topped at $144.75 on January 15 and retreated to $124.00 by the time of writing. Despite the retreat, DASH is one of the best-performing altcoins out of top-20. Since the beginning of the year, the coin has gained over 200%and hit the highest level since July 2019.

DASH is not a security

The Crypto Ratings Council, formed by crypto businesses committed to compliance with US securities laws, has rated Dash with the best score possible. This means the analysis found Dash has few or no characteristics consistent with treatment as a security

The Crypto Rating Council evaluated top cryptocurrencies in terms of their likeliness to be labeled as a security by the United States Securities and Exchange Commission (SEC). According to the recent update, Dash is ranked as #1, which means it has the lowest possibility of being considered a security.

The Crypto Rating Council is created by leading cryptocurrency companies that provide financial services and commit to practical compliance with the U.S. securities laws. They rank digital assets from 1 to 5 from least to most likely to be classified as a security by the SEC

As a reminder, a score of 1 means the CRC analysis found that an asset has few or no characteristics consistent with treatment as a security while a score of 5 means the CRC’s analysis found that an asset has more characteristics strongly consistent with treatment as a security under U.S. law.

The new ranking confirmed that. Dash is unlikely to be classified as a security an thus become a subject of tight regulations. It falls in the same category as Bitcoin, Litecoin, Monero, Horizen, and the DAI stablecoin.

DASH/USD: technical picture

From the technical point of view, DASH is still deeply overbought and vulnerable to further downside correction. The daily RSI has reversed to the downside, which confirms the short-term bearish scenario.  The initial support is created by the upper line of the daily Bollinger Band at $122.90. It is followed by psychological $120.00. Once it is broken, the correction may continue towards $110.00 ( the middle line of 4-hour Bollinger Band) and $106.00 ( the upper line of the weekly Bollinger Band).

On the upside, DASH may retest $130.00. The next resistance comes at $140.00 and $144.70, which is the recovery high of 2020.

DASH/USD daily chart

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