Investing.com - Bitcoin prices edged lower on Tuesday, following news that EBay's PayPal service will begin accepting bitcoins.
Bitcoin (BTC/USD) declined 0.66%, or $3.09, on Slovenia-based BitStamp to trade at $466.00 during U.S. morning hours. Prices held in a range between $456.30 and $478.39.
Bitcoin prices were likely to find support at $455.22, the low from August 19, and resistance at $497.00, the high from September 4.
Elsewhere, the price of a Bitcoin on Bulgaria-based BTC-e shed 1.49%, or $7.02, to trade at $464.87.
According to the CoinDesk Bitcoin Price Index, which averages prices from the major exchanges, prices of the crypto-currency slumped 0.89% to trade at $467.95.
Meanwhile, euro-denominated Bitcoin prices (BTC/EUR) eased up 0.05%, or €0.19, to trade at €365.00 on U.S.-based Kraken Exchange.
On Monday, EBay announced that Braintree, the company’s payment processor unit, would begin accepting the virtual currency in the “coming months.”
“We’re announcing PayPal’s first foray into bitcoin,” Bill Ready, the chief of Braintree, said at Techcrunch’s Disrupt SF conference on Monday. “Over the coming months we’ll allow our merchants to accept bitcoin. On the consumer side it will be a sleek experience.”
PayPal and Braintree will work with bitcoin payment-service provider Coinbase to enable payments in the virtual currency, Ready said.
EBay (NASDAQ:EBAY), the world’s biggest online marketplace, is the most significant business to date that’s embraced bitcoin. Dell, Dish Networks (NASDAQ:DISH), Overstock.com (NASDAQ:OSTK) and Expedia (NASDAQ:EXPE) also began accepting the virtual currency earlier in the year.
Bitcoin is digital cash and is not backed by a government or central bank to regulate or issue it. It can be used to purchase goods and services from stores and online retailers.