Singapore decided to make every effort to become the hub of digital assets, although the volatility of bitcoin has fallen to its historical lows and other tokens and altcoins are also showing no signs of life. The managing director of Singapore's Central Bank of Monetary Affairs, Ravi Menon, added that this does not imply that the nation will now serve as a venue for speculation. Menon stated at the Singapore Fintech Festival, "If being a crypto hub is about experimenting with digital currency, using digital assets in daily life, and tokenizing financial assets to improve efficiency and lower the risk of financial transactions, then yes, we want to be a crypto hub."
Let me remind you that tokenization refers to the conversion of a financial asset's ownership rights into digital tokens.
The first digital money pilot project, which enables vendors to independently perform the distribution and use of these assets, is currently being tested in Singapore by DBS Bank. However, the authorities immediately prohibited trading and speculative activity in the cryptocurrency market.
The cryptocurrency community has noted that Singapore has every intention of developing into a major global hub for cryptocurrencies, but it is clear that the country has taken some severe action against the sector after many retail investors lost their savings. The city-state has repeatedly stated that, due to its unstable and speculative nature, cryptocurrency trading is extremely risky and not suitable for the general public. Singapore even outlawed cryptocurrency advertising in public spaces and on social media back in January 2021, and it recently proposed new regulations to safeguard retail investors following the failure of Terra's Luna and FTX.
However, as mentioned in the DBS Bank article, Singapore has openly declared its support for blockchain technology and has begun putting it into practice in several projects. Project Ubin and Project Guardian are a couple of these. These initiatives seek to increase accessibility and transparency while also enhancing production efficiency and lowering effective production and maintenance costs.
Menon also stated in his speech that MAS will launch Ubin+, a global project for the exchange and settlement of foreign currency transactions using the Central Bank's digital currencies.
Regarding the technical picture of bitcoin today, everything came to a complete stop after it bounced off the crucial level of $16,600. The resistance of $17,400 restricts growth. However, in the event of renewed pressure, the focus will be on safeguarding exactly $16,600, as a breach by the sellers would deal the asset a relatively serious blow. By putting more pressure on bitcoin, a direct path to $15,560 and $14,650 will become available. The first cryptocurrency in the world will fall below these levels and settle somewhere between $14,370 and $13,950. Only after bitcoin has been released above $ 17,460 can the discussion turn to restoring equilibrium and ending the "panic" mode. Breaking through this region will cause it to retrace to a significant resistance at $18,101 and provide an opening for a test of $18,720.
The breakdown of the nearest resistance at $1,344 is what ether buyers are concentrating on. This will be sufficient to cause substantial market changes and halt a fresh bearish wave. Fixing the rate above $1,344 will diffuse the situation and put the remaining funds back into the ether with the possibility of a correction in the hope of raising the maximum to $1,466. A second target will be in the $1,571 range. The $1,073 level, which was recently formed, will come into play when the pressure on the trading instrument resumes and the $1,198 level of support breaks. Its innovation will raise the trading instrument's price to at least $999. For those who own cryptocurrencies, it will be very painful below $934 and $876.