Bitcoin has somewhat stabilized after the large losses experienced last week. In the past five days, prices have been trading in a range between $371 and $414. In addition, the daily range has been constricting, from over 50 dollars on September 19th to only $21 yesterday. We are currently quoted at $387 per coin.
Prices may be forming another congestion area around the round $400 mark, although we will likely need few more days to confirm this. In case of a break below $371, the first support can be found in the $330-$350 area. If bitcoin manages to break below this important support, prices will likely be met with some bids near the round $300 level. Lower still decent support can be found at the $266 mark, a high for bitcoin during most of last year.
Peercoin NuBits Announcement Today
Peercoin has had a very volatile few days. Prices initially rallied from $0.80 per coin to a high of $2 in three days, only to fall back to $1.067 in the next 48 hours. The extreme volatility continued during the weekend as PPC/USD moved up from $1.1 to $1.77 before pulling back somewhat. Prices are currently quoted at $1.50.
The reason behind the rally and subsequent volatility was this post by Peershares developer Jordan Lee on the Peercoin forum. Lee posted that his team will unveil a new project called NuBits on the 23rd of September. The announcement will happen at 14:00 UCT today. This is 16:00 CET for those of you in Europe and 10:00 EST for Americans living on the East Coast. According to Lee, the new project aims to deal with the volatility experienced in cryptocurrencies:
“Our solution completely solves the volatility problem cryptocurrencies have experienced. It does so with zero counterparty risk using a decentralized network. Much of the network revenue will be delivered to shareholders in the form of Peercoins”
It is unclear how the Peershares developer plans to achieve this. Some of the speculations have said that the new project will use trading bots on exchanges where Peercoin is traded. The bots will aim to keep the PPC/USD price stable around some predetermined figure. The operation will be funded by outside investors who will then receive the revenue from bots trading activity. Again all of this is just speculation at this point and we will have to wait for the actual announcement in just a few hours.