DASH/USD Technical Analysis
With a focus on privacy, the Dash (DASH) cryptocurrency started off being among the top digital assets by market cap, only to lose its place to new entrants in this space. At the beginning of 2021, DASH rate was holding around the $100 level and the crypto bull run that started late last year and carried on through the initial months of the year catapulted this digital currency to a high of around $476 in early May. However, the crypto market crash of 19 May sent the price tumbling down towards $54, and the weakness has extended since then till date, in early July.
Despite the bull run sending its value close to $500, DASH remains well below the ATH of $1,642 that it had reached when the crypto market enjoyed bullishness back in late 2017. This reflects the decline in popularity of the cryptocurrency over the recent years, especially after new players entered the crypto sector over the past couple of years, touting more use cases and more advanced technology.
Dash, short for Digital Cash, is an open source peer-to-peer digital currency which came about after a fork from the original Bitcoin blockchain, with an aim to deliver faster transactions and higher levels of privacy than the leading cryptocurrency, making it more preferable to transfer payments on a daily basis.
The Dash network leverages the X11 algorithm, developed on the lines of a PoS protocol in conjunction with CoinJoin to enforce anonymity by jumbling transactions. The cryptocurrency also comes with an option of InstantSend, which lets users send DASH tokens and receive confirmation of successful transactions immediately.
Why Dash stands out from other cryptocurrencies that also enable instant confirmations is its unique feature to lock down transactions. This prevents potential misuse of the funds once transferred, a key concern labelled as "double-spending" that plagues most of the other digital currencies. The locking down happens after the payment is confirmed by the recipient, ensuring that the sender is unable to use those funds while waiting for a block confirmation regarding the transaction.
The Dash blockchain network also has "Masternodes" that perform special functions such as processing InstantSend and PrivateSend - anonymous transactions, with its operators receiving compensation in DASH tokens. Any node can turn into a masternode by installing separate software as long as such holders have transaction outputs for storing 1,000 DASH.
Dash coin traces its origins back to January 2014 when it was first launched as Xcoin by Evan Duffield, and came about as a fork of the Bitcoin protocol. The altcoin was then rebranded as Darkcoin, but due to negative press reports about its rampant use in the dark net for making payments, the developers changed its name once again to Dash in March 2015.
By April 2018, Dash made it to the list of the top 12 cryptocurrencies by market cap, with its market capitalization reaching around $4.3 billion. By February 2019, it went on to become the most popularly used cryptocurrency across Venezuela.
The feature of masternodes was added to the Dash network in May 2014, and other key features followed soon after - PrivateSend was unveiled in September 2014 and InstantSend came out in February 2015. The Treasury System was added with an upgrade to the Dash blockchain in September 2015 after which the developers upgraded the block size to 2MB in January 2016 to process more and faster transactions.
In November 2017, the transaction fees for DASH users was reduced after which the team rolled out the concept of deterministic masternodes in May 2018. Other key features added include LLMQ in January 2019, ChainLocks and LLMQ-S for locking down transactions in July 2019, until the Dash platform was launched in December 2019.
DASH Price Factors
In the volatile world of cryptocurrencies, one of the biggest factors that decide how the price could move is the rate of adoption and interest in a particular digital token. DASH's price fluctuates based on how many users leverage its network for transferring payments - a higher rate of acceptance of DASH as a payment method among merchants and businesses will support its price.
In addition, the Dash platform supports numerous dApps and as a result, the DASH price is dependent on the popularity of these apps and the level of usage they generate. Higher engagement and higher adoption of Dash's technology for developing such decentralized apps can drive up the DASH rate and vice versa.
Like all cryptocurrencies, the DASH price also experiences fluctuations based on the market sentiment towards market leaders Bitcoin and Ethereum. Whenever the prices of these leading digital assets trades bullish, it drives bullish moves in the DASH chart as well. Similarly, media coverage towards Dash and the crypto market in general also plays an important role in determining trends in the DASH rate.
Trading DashDash is surely an exciting cryptocurrency to trade but requires some care and effort on your part. The first step would be to open an account with a cryptocurrency exchange or broker that lists DASH among their set of offerings. You can then convert your trading capital from fiat currency into cryptocurrency to buy or sell DASH coins based on the price trends in the Dash chart.However, before you start trading this digital asset, we recommend that you spend some time studying up on all the developments related to Dash, that have occured as well as upcoming ones. In addition, it helps to have an in-depth understanding about cryptocurrencies in general - their technology, adoption trends and any regulatory developments from around the world that can impact their usage.The knowledge you gain as part of this research will help you place more informed trades and improve your confidence as a crypto trader. In addition, staying updated about all the current trends can give you an upper hand in making swift trading decisions and leveraging the high levels of volatility in the crypto market to your advantage.Dash News
DASH/USD - FAQs
Dash is a decentralized, peer to peer and cryptographically secured digital currency that can be used by consumers to perform quick, easy and low cost transactions of payments. It is also available for trading as a crypto asset on leading cryptocurrency exchanges.
You can trade Dash by opening an account with a cryptocurrency exchange or broker that supports this asset. As a next step, you can perform careful fundamental and technical analysis on the DASH chart to understand price moves and enter buy or sell trades in the digital asset.
You can store your DASH tokens in a wallet, either hot or cold, depending on the level of security you require. Some of the leading wallets you can use include Ledger Nano X, Atomic, TREZOR, KeepKey, Exodus and Coinomi. You can also store your DASH holdings within the exchange where you trade them, although this is not a very secure option as they are more vulnerable to being hacked.
Dash is accepted by thousands of retail, online travel, food and drink, and other kinds of businesses around the world. You can also use DASH to purchase business services.
Most countries worldwide allow their citizens to buy and hold cryptocurrencies, including Dash. However, a few countries have imposed hard bans on the purchase and trading of digital currencies. Before you purchase DASH, we recommend you research your country's latest regulations on owning and trading cryptocurrencies.
The UK has not yet announced any formal regulations exclusively for cryptocurrencies, although it does allow citizens to buy, sell and hold digital currencies, including DASH.
The world of cryptocurrencies is extremely volatile and unpredictable, subject to sudden moves. Dash also experiences considerable volatility, so it is advised to trade it with care. While there are higher risks in trading Dash than in conventional financial markets, you can reduce your exposure to risk by relying on trading recommendations from experts in the field and supplementing it with your own research so you can place more confident trades in Dash.