🇮🇷State-Backed Iranian Crypto Pushes Industry Forward🇮🇷
Hello everyone,
The price of Bitcoin is currently $3410, with 24 hour volume leveling around 5.8 billion USD.
Due to continued market indecision, various crypto markets have taken a slight step back in the past 24 hours 📉. The crucial levels we have outlined this week remain in tact.
With each day of sideways action, we lean more towards the market hypothesis that price action could continue down through support😖. During this bear market, low volume and sideways action have been indicative of a high-volume downward move, which could happen in the near future (see updated $BTC analysis below👇).
We will still wait to enter net short positions until $BTC cracks $3330 on a significant time frame (4hr or higher).
In other news, a gold-backed cryptocurrency, the Peyman (Persian word for covenant), has been launched in Iran. Four banks and the Gohgnoos company will utilize the Peyman to tokenize bank assets and excess properties. The launch of the Peyman comes amidst speculation that Iran is developing its own state-backed cryptocurrency.
Due to economic sanctions imposed by the United States, Iran’s ability to conduct business internationally has been crippled 🆘. Last year, Iran identified cryptocurrencies as a means to circumvent the sanctions.
The introduction of the Peyman also comes directly after Iran’s central bank issued new cryptocurrency regulations. While there are still restrictions on Bitcoin, Iran gave the green light to ICO’s, exchanges, wallets, and cryptocurrency mining.
This development is not surprising to our team. One of the most important value propositions of this space is the accessibility to censorship resistance money. This could reshape the effectiveness of economic sanctions imposed by the world’s elite nations as smaller nation states resort to using cryptocurrency and blockchain to remain relevant on the international economic scene.
Hello everyone,
The price of Bitcoin is currently $3410, with 24 hour volume leveling around 5.8 billion USD.
Due to continued market indecision, various crypto markets have taken a slight step back in the past 24 hours 📉. The crucial levels we have outlined this week remain in tact.
With each day of sideways action, we lean more towards the market hypothesis that price action could continue down through support😖. During this bear market, low volume and sideways action have been indicative of a high-volume downward move, which could happen in the near future (see updated $BTC analysis below👇).
We will still wait to enter net short positions until $BTC cracks $3330 on a significant time frame (4hr or higher).
In other news, a gold-backed cryptocurrency, the Peyman (Persian word for covenant), has been launched in Iran. Four banks and the Gohgnoos company will utilize the Peyman to tokenize bank assets and excess properties. The launch of the Peyman comes amidst speculation that Iran is developing its own state-backed cryptocurrency.
Due to economic sanctions imposed by the United States, Iran’s ability to conduct business internationally has been crippled 🆘. Last year, Iran identified cryptocurrencies as a means to circumvent the sanctions.
The introduction of the Peyman also comes directly after Iran’s central bank issued new cryptocurrency regulations. While there are still restrictions on Bitcoin, Iran gave the green light to ICO’s, exchanges, wallets, and cryptocurrency mining.
This development is not surprising to our team. One of the most important value propositions of this space is the accessibility to censorship resistance money. This could reshape the effectiveness of economic sanctions imposed by the world’s elite nations as smaller nation states resort to using cryptocurrency and blockchain to remain relevant on the international economic scene.
👏Crypto Remains Stable as VanEck Resubmits👏
Bitcoin, per Bitmex, is trading at $3434. Its 24 hour volume is leveling at around 5.5 billion USD.
The market has remained stable since yesterday's update; as a result, our general outlook on $BTC and the industry is unchanged. Bitcoin's crucial support is from $3330 to $3400. Should it hold above those levels and print higher lowers, we will regain confidence in the alt market🎉.
In the event Bitcoin falls through support, we will enter net short positions and DCA as yearly lows are likely to be met 🤒.
On January 23rd, it was reported that CBOE withdrew its VanEck/SolidX Bitcoin ETF proposal. This was due in large part to the ongoing government shutdown, and the fear associated with the proposed rule change being denied by the SEC.
As of yesterday, CBOE, VanEck, and SolidX resubmitted their joint proposal to the SEC 🏅.
They withdrew earlier this month because a deadline was set on their application for February 27th. Now there is no time clock on either the CBOE/VanEck/SolidX proposal or NYSE Arca and Bitwise’s proposal, which was submitted a few weeks prior. It seems as though the leading Bitcoin ETF proponents are back in stride to become the first groups to bring a Bitcoin ETF to market in the United States.
This news is unequivocally bullish for the industry. With such investment vehicles nearing their acceptance, the market is gradually becoming more investor friendly. To think, in time, cryptos will be vastly more accessible to consumers than ever before - something all enthusiasts and incumbents in the space should be thankful for 🐂.
Bitcoin, per Bitmex, is trading at $3434. Its 24 hour volume is leveling at around 5.5 billion USD.
The market has remained stable since yesterday's update; as a result, our general outlook on $BTC and the industry is unchanged. Bitcoin's crucial support is from $3330 to $3400. Should it hold above those levels and print higher lowers, we will regain confidence in the alt market🎉.
In the event Bitcoin falls through support, we will enter net short positions and DCA as yearly lows are likely to be met 🤒.
On January 23rd, it was reported that CBOE withdrew its VanEck/SolidX Bitcoin ETF proposal. This was due in large part to the ongoing government shutdown, and the fear associated with the proposed rule change being denied by the SEC.
As of yesterday, CBOE, VanEck, and SolidX resubmitted their joint proposal to the SEC 🏅.
They withdrew earlier this month because a deadline was set on their application for February 27th. Now there is no time clock on either the CBOE/VanEck/SolidX proposal or NYSE Arca and Bitwise’s proposal, which was submitted a few weeks prior. It seems as though the leading Bitcoin ETF proponents are back in stride to become the first groups to bring a Bitcoin ETF to market in the United States.
This news is unequivocally bullish for the industry. With such investment vehicles nearing their acceptance, the market is gradually becoming more investor friendly. To think, in time, cryptos will be vastly more accessible to consumers than ever before - something all enthusiasts and incumbents in the space should be thankful for 🐂.
🏦JP Morgan Set to Issue its Own Cryptocurrency🏦
Hello everyone,
The value of Bitcoin is $3569. Its 24 hour volume is leveling at 6.4 billion. The market has pulled back slightly since yesterday’s daily close. However, it bounced perfectly off the support we illustrated in yesterday’s chart. Go ahead and check out the updated version below. Our analysis remains unchanged from yesterday.
The news dominating the crypto landscape today is JP Morgan Chase's announcement. JP Morgan Chase, a former critic of cryptocurrency, particularly Bitcoin, and the United States' largest bank, has created the first cryptocurrency (JPM COIN) by a major U.S. Bank 😲. The ‘JPM coin’ will be usable in the next few months to instantly settle payments between clients.
JP Morgan is posturing themselves to operate in a world where cross-border payments and corporate debt issuance is moved to the blockchain. A quote from JP Morgan’s head of blockchain projects goes on to say, “The applications are frankly quite endless; anything where you have a distributed ledger which involves corporations or institutions, can use this.”
This will ultimately be one of the first real-world applications for banking with blockchain technology. JPM coin will not be available for retail investors and it will also be pegged to USD. So although the investment opportunity is not available for JPM coin, we think this is overwhelmingly bullish for the space long term.
We are in the right space, ladies and gentlemen 👊
In our opinion, we will only see more stories like this in the coming years as blockchain is embraced by varying industries. In turn, the industry itself will expand and gradually improve the global landscape.
Click the link below 👇to check out Birch’s thoughts on the matter…
👉 https://twitter.com/BitcoinBirch/status/1096062109950111745
Hello everyone,
The value of Bitcoin is $3569. Its 24 hour volume is leveling at 6.4 billion. The market has pulled back slightly since yesterday’s daily close. However, it bounced perfectly off the support we illustrated in yesterday’s chart. Go ahead and check out the updated version below. Our analysis remains unchanged from yesterday.
The news dominating the crypto landscape today is JP Morgan Chase's announcement. JP Morgan Chase, a former critic of cryptocurrency, particularly Bitcoin, and the United States' largest bank, has created the first cryptocurrency (JPM COIN) by a major U.S. Bank 😲. The ‘JPM coin’ will be usable in the next few months to instantly settle payments between clients.
JP Morgan is posturing themselves to operate in a world where cross-border payments and corporate debt issuance is moved to the blockchain. A quote from JP Morgan’s head of blockchain projects goes on to say, “The applications are frankly quite endless; anything where you have a distributed ledger which involves corporations or institutions, can use this.”
This will ultimately be one of the first real-world applications for banking with blockchain technology. JPM coin will not be available for retail investors and it will also be pegged to USD. So although the investment opportunity is not available for JPM coin, we think this is overwhelmingly bullish for the space long term.
We are in the right space, ladies and gentlemen 👊
In our opinion, we will only see more stories like this in the coming years as blockchain is embraced by varying industries. In turn, the industry itself will expand and gradually improve the global landscape.
Click the link below 👇to check out Birch’s thoughts on the matter…
👉 https://twitter.com/BitcoinBirch/status/1096062109950111745
🐳Cryptocurrency Trading Volumes Approaching Year-to-Date Highs🐳
Hello everyone,
The current price of Bitcoin is $3914 (Bitmex pricing), with 24 hour volume leveling at 8.6 billion USD.
Bitcoin is showing off both impressive price action and its sustained volume over the course of the past 48 hours. 🦍🥰
Our bias remains unchanged from Monday. We believe the reversal for $BTC is gaining momentum, which should allow crypto to remain profitable for at least the next 1-2 weeks! 🤑
We are not sure if $BTC will need to cool off here, or if it is ready to attempt $4000-4100 resistance (see chart below).
Ultimately, we think the addressed resistance level will be taken out in the coming days. The volume levels across the market are strong, leading us to our reasoning.
Let’s take a closer look at exactly how much volume has been flowing into crypto since the major price spike on Monday:
The last three days of cryptocurrency trading volume, recorded via coinmarketcap, is the highest three day stretch of volume since late April of 2018, and the second highest stretch in the past 365 days 😲
Volume of this magnitude is nothing short of impressive. With all that has occurred since the last bull market, some incumbents are surprised by what’s happening.
That being said, we are not out of the woods. 2018-2019 lows could still be met. But at this point, we’re confident the market has changed from a distribution phase to an accumulation phase.
We will continue to update you as price action continues to develop.
Hello everyone,
The current price of Bitcoin is $3914 (Bitmex pricing), with 24 hour volume leveling at 8.6 billion USD.
Bitcoin is showing off both impressive price action and its sustained volume over the course of the past 48 hours. 🦍🥰
Our bias remains unchanged from Monday. We believe the reversal for $BTC is gaining momentum, which should allow crypto to remain profitable for at least the next 1-2 weeks! 🤑
We are not sure if $BTC will need to cool off here, or if it is ready to attempt $4000-4100 resistance (see chart below).
Ultimately, we think the addressed resistance level will be taken out in the coming days. The volume levels across the market are strong, leading us to our reasoning.
Let’s take a closer look at exactly how much volume has been flowing into crypto since the major price spike on Monday:
The last three days of cryptocurrency trading volume, recorded via coinmarketcap, is the highest three day stretch of volume since late April of 2018, and the second highest stretch in the past 365 days 😲
Volume of this magnitude is nothing short of impressive. With all that has occurred since the last bull market, some incumbents are surprised by what’s happening.
That being said, we are not out of the woods. 2018-2019 lows could still be met. But at this point, we’re confident the market has changed from a distribution phase to an accumulation phase.
We will continue to update you as price action continues to develop.
🏦$BTC Showing Strength as Crypto Goes Green🏦
Hello everyone,
Bitcoin is now trading at $3825 (Bitmex). Its volume for the day is healthy, leveling at 9.6 billion USD. The market is in an interesting state, providing little technical clarity as to which direction it is headed. However, we are observing key technicals that suggest bulls are at work.
First and foremost, volume has flooded back into the crypto markets. Outside of a 2-week stretch occurring in April and May of last year, volume is experiencing yearly highs 📈.
The price during the aforementioned stretch occurred when $BTC ran from $6k-9k. We are seeing this heightened level of volume while price is still resting near bear market lows. In our opinion, this shows a shift from distribution to accumulation, as buyers have ultimately stepped in to begin increasing their exposure to crypto.
As we have pointed out, we believe it is important for $BTC to maintain the 50DMA as resistance turned to support (see chart below👇). While Bitcoin briefly lost this level yesterday, buyers have stepped in with significant volume to retake the 50DMA 🏦.
A daily close above $3750 would indicate re-established support at that level.
Our team has also noticed great follow through on the weekly MACD. We originally pointed out, to all of you, that we were beginning to notice a bullish crossover on the weekly-MACD in early February. So far, the continuation has been beautiful (see image below 👇). This, along with the histogram reaching highs that haven’t been achieved since January 2018, shows us strong confluence that a shift in market structure could be happening.
We have an extremely comprehensive analysis on this shift in market structure coming in the next few days so; stay tuned!
Hello everyone,
Bitcoin is now trading at $3825 (Bitmex). Its volume for the day is healthy, leveling at 9.6 billion USD. The market is in an interesting state, providing little technical clarity as to which direction it is headed. However, we are observing key technicals that suggest bulls are at work.
First and foremost, volume has flooded back into the crypto markets. Outside of a 2-week stretch occurring in April and May of last year, volume is experiencing yearly highs 📈.
The price during the aforementioned stretch occurred when $BTC ran from $6k-9k. We are seeing this heightened level of volume while price is still resting near bear market lows. In our opinion, this shows a shift from distribution to accumulation, as buyers have ultimately stepped in to begin increasing their exposure to crypto.
As we have pointed out, we believe it is important for $BTC to maintain the 50DMA as resistance turned to support (see chart below👇). While Bitcoin briefly lost this level yesterday, buyers have stepped in with significant volume to retake the 50DMA 🏦.
A daily close above $3750 would indicate re-established support at that level.
Our team has also noticed great follow through on the weekly MACD. We originally pointed out, to all of you, that we were beginning to notice a bullish crossover on the weekly-MACD in early February. So far, the continuation has been beautiful (see image below 👇). This, along with the histogram reaching highs that haven’t been achieved since January 2018, shows us strong confluence that a shift in market structure could be happening.
We have an extremely comprehensive analysis on this shift in market structure coming in the next few days so; stay tuned!
🏌️Bitcoin Swings Low as Most Digital Assets See Red🏌️♀️
After rallying to just about the $9000 mark, Bitcoin is leading a market-wide pullback that’s leaving many digital assets seeing red. Double digital losses against USD appear to be the norm for many of crypto’s most well-known properties including Tezos, Cardano, Cosmos, Ontology, Chainlink, and Bitcoin SV.
As of the time of writing, bitcoin is consolidating around $8400, having bounced off of $8100 with plenty of vigorous volume. Several days worth of incremental gains for many BTC paired alts have been wiped out in one fell swoop, but with the overall positive sentiment resounding market-wide, these losses reflect an emerging opportunity.
Bitcoin has wildly defied expectation in recent weeks, but we are increasingly convinced that a correction period is impending. The question is not if, but when. Confirmation of a correction cycle would depend on BTC breaking below $7900, then facing an $8000 resistance.
Our analysts uncovered that during previous parabolic bull run periods, bitcoin corrected violently – to the tune of 30%–40%. Since 2015, there have been seven instances of such corrections. The current bull run has risen unhindered, and while past performance is not indicative of future results, the likelihood of a correction cycle increases with every additional run up.
After rallying to just about the $9000 mark, Bitcoin is leading a market-wide pullback that’s leaving many digital assets seeing red. Double digital losses against USD appear to be the norm for many of crypto’s most well-known properties including Tezos, Cardano, Cosmos, Ontology, Chainlink, and Bitcoin SV.
As of the time of writing, bitcoin is consolidating around $8400, having bounced off of $8100 with plenty of vigorous volume. Several days worth of incremental gains for many BTC paired alts have been wiped out in one fell swoop, but with the overall positive sentiment resounding market-wide, these losses reflect an emerging opportunity.
Bitcoin has wildly defied expectation in recent weeks, but we are increasingly convinced that a correction period is impending. The question is not if, but when. Confirmation of a correction cycle would depend on BTC breaking below $7900, then facing an $8000 resistance.
Our analysts uncovered that during previous parabolic bull run periods, bitcoin corrected violently – to the tune of 30%–40%. Since 2015, there have been seven instances of such corrections. The current bull run has risen unhindered, and while past performance is not indicative of future results, the likelihood of a correction cycle increases with every additional run up.
Spotlight on IEOs
Welcome to the weekend!
Bitcoin has held on to the mid-$8000s in convincing fashion after properly bouncing up and away from $8100. Volume has remained in place with only a slight decrease from ATH levels being registered up to this point.
Given the looks of the market today, buyers aren’t ready to let a pullback begin in earnest just yet.
Some of the previous days biggest losers, such as EOS, have completely retraced their steps and then some, posting double-digit gains in the process.
As per usual, one obscure coin has vaulted from the darkness. Today, that coin is MonaCoin, a Japanese digital currency riding high on $243.7 million in volume.
As noted in yesterday’s update, we’re expecting a correction cycle that should see BTC retrace up to 40% from recent highs. However, we’re fluid on that point and will move with the market as needed.
Initial Exchange Offerings: The Second Coming of ICOs
The market’s recovery from the painful lows of last year and most of 2019 has everything to do with bitcoin’s rise from the ashes. Nonetheless, digital assets are meshed together by a sprawling tapestry of exchanges and a surplus of pairings that make crypto market dynamics incredibly complex.
Owing to the highly interconnected nature of crypto assets, it’s important to keep an eye on trends that are enabling the profits being poured into, and ultimately fueling, the current BTC bull run. The most notable amongst several potential trends is the IEO.
In 2017, the cryptocurrency market’s parabolic advance was almost singlehandedly shaped by an ICO market that was on fire. For an entire year, it seemed like there was simply no way to lose on an ICO investment, and the gains made by savvy traders helped moon blue chip crypto assets to untold heights.
As we all know, ICOs faded away big time. By the time the dust had settled and the bear market was thoroughly entrenched, the ICO market lay completely dormant, and most of the talk shifted to STOs (security token offerings). While STO railways like Harbor, Polymath, and Smartlands were built, another phenomenon was quietly taking shape.
Initial exchange offerings allow projects to fundraise directly on an exchange followed by a subsequent listing. There’s no need to wonder about the liquidity of a new project when it’s already been picked up by a major exchange beforehand. This sense of security, along with the project being vetted thoroughly by the exchange running the IEO, has brought investor confidence back to the crowd fundraising model pioneered by cryptocurrency.
We’ve seen spectacular gains made by Binance-backed IEOs in particular. FET, BTT, MATIC, and now ONE have all found themselves skyrocketing atop green candles aimed at the sky. Interestingly, even after decent time has passed, investor interest in IEO projects hasn’t waned – which goes to show that these projects have real staying power.
As such, we aren’t underestimating the sheer potential of the nascent IEO trend. Most IEO platforms like Binance’s Launchpad or KuCoin’s Spotlight have only gone live in recent months. IEOs haven’t hit their stride yet but they’re posting spectacular gains anyway, and are being fueled by a resurgent crypto market.
In 2017’s bull market, ICOs gave many new investors a headstart in the market and made for amazing returns that became the stuff of legend. With the bear market apparently behind us and IEOs throttling the market, we might be cruising into a similar period that is well worth paying attention to.
Welcome to the weekend!
Bitcoin has held on to the mid-$8000s in convincing fashion after properly bouncing up and away from $8100. Volume has remained in place with only a slight decrease from ATH levels being registered up to this point.
Given the looks of the market today, buyers aren’t ready to let a pullback begin in earnest just yet.
Some of the previous days biggest losers, such as EOS, have completely retraced their steps and then some, posting double-digit gains in the process.
As per usual, one obscure coin has vaulted from the darkness. Today, that coin is MonaCoin, a Japanese digital currency riding high on $243.7 million in volume.
As noted in yesterday’s update, we’re expecting a correction cycle that should see BTC retrace up to 40% from recent highs. However, we’re fluid on that point and will move with the market as needed.
Initial Exchange Offerings: The Second Coming of ICOs
The market’s recovery from the painful lows of last year and most of 2019 has everything to do with bitcoin’s rise from the ashes. Nonetheless, digital assets are meshed together by a sprawling tapestry of exchanges and a surplus of pairings that make crypto market dynamics incredibly complex.
Owing to the highly interconnected nature of crypto assets, it’s important to keep an eye on trends that are enabling the profits being poured into, and ultimately fueling, the current BTC bull run. The most notable amongst several potential trends is the IEO.
In 2017, the cryptocurrency market’s parabolic advance was almost singlehandedly shaped by an ICO market that was on fire. For an entire year, it seemed like there was simply no way to lose on an ICO investment, and the gains made by savvy traders helped moon blue chip crypto assets to untold heights.
As we all know, ICOs faded away big time. By the time the dust had settled and the bear market was thoroughly entrenched, the ICO market lay completely dormant, and most of the talk shifted to STOs (security token offerings). While STO railways like Harbor, Polymath, and Smartlands were built, another phenomenon was quietly taking shape.
Initial exchange offerings allow projects to fundraise directly on an exchange followed by a subsequent listing. There’s no need to wonder about the liquidity of a new project when it’s already been picked up by a major exchange beforehand. This sense of security, along with the project being vetted thoroughly by the exchange running the IEO, has brought investor confidence back to the crowd fundraising model pioneered by cryptocurrency.
We’ve seen spectacular gains made by Binance-backed IEOs in particular. FET, BTT, MATIC, and now ONE have all found themselves skyrocketing atop green candles aimed at the sky. Interestingly, even after decent time has passed, investor interest in IEO projects hasn’t waned – which goes to show that these projects have real staying power.
As such, we aren’t underestimating the sheer potential of the nascent IEO trend. Most IEO platforms like Binance’s Launchpad or KuCoin’s Spotlight have only gone live in recent months. IEOs haven’t hit their stride yet but they’re posting spectacular gains anyway, and are being fueled by a resurgent crypto market.
In 2017’s bull market, ICOs gave many new investors a headstart in the market and made for amazing returns that became the stuff of legend. With the bear market apparently behind us and IEOs throttling the market, we might be cruising into a similar period that is well worth paying attention to.
Bitcoin Shows Signs of Exhaustion After Historic Run
After a historic run that took bitcoin from the $3K’s to nearly $9000, the king of crypto is finally running on what seem to be tired legs 💤. Despite appearances, BTC does tend to do the unexpected, so it’s best to keep analyses dynamic and not fall into dogmatic ways of thinking.
Currently, BTC is trading at $7942 as it bounces just above 24-hour lows. Its sudden fall from the heights of the mid $8000 range is a sharp reminder that comfort is a trader’s worst enemy. Becoming complacent is a form of taking excessive risk, and taking excessive risks is a shortcut to getting rekt 🆘.
As bitcoin shot higher and higher, and the market entered a jubilant phase of micro-euphoria, we started looking to take risk off the table. The higher a digital asset climbs over a short timeframe, the greater the likelihood of a strong correction 📉.
We constantly stress the importance of proper risk management as a way to defend against giving hard-won gains back to the market 🛡. Part and parcel of appropriate risk management is skepticism – the more euphoric the retail trading crowd becomes, the greater should be your suspicion towards the continued upside of a given asset or market.
Last week, our analysts revealed a startling trend regarding correction cycles after parabolic bitcoin moves up. During seven previous BTC bull runs, violent corrections of up to 40% occurred just after they topped. As always, past performance is not indicative of future results, but after parsing through the data, we decided that reducing BTC exposure using a hedge short was the right call.
We shared that call along with real-time data and analysis with our private members several days ago. Current strong resistance stands at $8030, and a breakdown + close below the $7903 mark would signal a strong shorting opportunity. Should we break back above the $8030 mark, the chances of retesting the $8400-$8500 region are excellent – however, because there is a rising wedge present with four tests in the books, the odds that a fifth test will hold are low.
Justin Sun Stirs More Controversy
Nobody loves stirring the pot more than Justin Sun. He recently made an announcement within an announcement, a move which defied all logic but hyped his followers up nonetheless. It turns out that the announcement he was teasing was a bid for having lunch with Warren Buffett, which he won for a mere $4.5 million.
The money will go straight to a homeless support charity which is an entirely admirable cause and one that Sun is benefiting greatly with the sheer amount of cash he just dropped – so no qualms can be made about his willingness to give.
It remains to be seen how he will approach Buffett, a man known for his completely inane, illogical, and staunchly critical views of Bitcoin. In a Twitter post, CZ, Binance’s beloved boss, stated that he had been invited to the lunch by Sun but turned it down because it’s “too far.” Regardless of how the lunch turns out, it’ll have been spectacular coverage for Justin and both Tron and BitTorrent – something he’ll be pleased with, no matter the price tag.
After a historic run that took bitcoin from the $3K’s to nearly $9000, the king of crypto is finally running on what seem to be tired legs 💤. Despite appearances, BTC does tend to do the unexpected, so it’s best to keep analyses dynamic and not fall into dogmatic ways of thinking.
Currently, BTC is trading at $7942 as it bounces just above 24-hour lows. Its sudden fall from the heights of the mid $8000 range is a sharp reminder that comfort is a trader’s worst enemy. Becoming complacent is a form of taking excessive risk, and taking excessive risks is a shortcut to getting rekt 🆘.
As bitcoin shot higher and higher, and the market entered a jubilant phase of micro-euphoria, we started looking to take risk off the table. The higher a digital asset climbs over a short timeframe, the greater the likelihood of a strong correction 📉.
We constantly stress the importance of proper risk management as a way to defend against giving hard-won gains back to the market 🛡. Part and parcel of appropriate risk management is skepticism – the more euphoric the retail trading crowd becomes, the greater should be your suspicion towards the continued upside of a given asset or market.
Last week, our analysts revealed a startling trend regarding correction cycles after parabolic bitcoin moves up. During seven previous BTC bull runs, violent corrections of up to 40% occurred just after they topped. As always, past performance is not indicative of future results, but after parsing through the data, we decided that reducing BTC exposure using a hedge short was the right call.
We shared that call along with real-time data and analysis with our private members several days ago. Current strong resistance stands at $8030, and a breakdown + close below the $7903 mark would signal a strong shorting opportunity. Should we break back above the $8030 mark, the chances of retesting the $8400-$8500 region are excellent – however, because there is a rising wedge present with four tests in the books, the odds that a fifth test will hold are low.
Justin Sun Stirs More Controversy
Nobody loves stirring the pot more than Justin Sun. He recently made an announcement within an announcement, a move which defied all logic but hyped his followers up nonetheless. It turns out that the announcement he was teasing was a bid for having lunch with Warren Buffett, which he won for a mere $4.5 million.
The money will go straight to a homeless support charity which is an entirely admirable cause and one that Sun is benefiting greatly with the sheer amount of cash he just dropped – so no qualms can be made about his willingness to give.
It remains to be seen how he will approach Buffett, a man known for his completely inane, illogical, and staunchly critical views of Bitcoin. In a Twitter post, CZ, Binance’s beloved boss, stated that he had been invited to the lunch by Sun but turned it down because it’s “too far.” Regardless of how the lunch turns out, it’ll have been spectacular coverage for Justin and both Tron and BitTorrent – something he’ll be pleased with, no matter the price tag.
Indecision Time for Bitcoin
What’s going on?
It’s another day, and with that, we have new opportunities 💸. That’s an attitude we stress as traders – start every day fresh by reminding yourself that with every new day there are ripe opportunities.
Having said that, let’s turn to the market and see what we can make of the action. Bitcoin is making minor adjustments within the $7600 range while 24-hour trading volume continues to dry up. After weeks of posting impressive numbers, overall volume has declined from $32 billion to just half of that, having rounded out at $16 billion overnight.📉
Considering that BTC price is also gently declining, there’s plenty of encouragement to take away from the fact that it isn’t making a high-volume nosedive. However, even if we try to defog our view of the current market, there isn’t an obvious enough line of sight to help with a decision. During such times, it’s best to keep your powder dry, which is exactly what we’re doing (save for a hedge short we called out last week at $8400).
Our analysts have kept an eagle eye on BTC and have identified three scenarios to keep in mind:
1. There’s an overlooked head and shoulders pattern forming. The right shoulder completes the resistance of what we’re terming a ‘consolidation pivot’ – which is the last swing high and low before a pennant, flag, or rising/falling wedge breaks out. It’s aimed at a target just below 5700–5800.
2. If the above fails and price does indeed break out, albeit with slow price action and anemic volume, then we’ll assume a bull trap is in play. That assumption is based on recent price action that occurred with robust volume on moves down and decreasing volume on the way up. Should BTC cruise between $8200 and $8800 in that way, we’ll take a bearish stance and will move on a short setup.
3. A strong move would take us straight to $8600-$8800, an area which we would either consolidate or annihilate by moving directly to new highs. Should the latter be the case, a close above $9400 would suggest $10000 and beyond as the next destination.
Spotlight on Scaling
As the blockchain space matures and finds widespread adoption across most industries imaginable, the question of how to scale to the demand has arrived front and center. As smart contract blockchain platforms roll out, they’re teasing their potential transaction per second speed well before discussing other similarly important qualities.
The pressure to scale up to the demands of impending blockbuster commercial applications is getting so intense that some blockchains, like Zilliqa, are engaging in psychological battles. ZIL founder Max Kantelia recently stated that “…people are starting to mine Zilliqa, we’re beginning to see the network starting to grow and grow, so [competing with VISA] is absolutely within sight, and I would say that it could happen as quickly as the next 12 to 18 months.”
Ethereum’s ETH 2.0 project is promising to bring sharding to the network within the next two years – however, other projects may have the upper hand well before it comes online. Coming to Ethereum’s rescue is the rise of new second-layer scaling projects like Matic and Celer. Using a second-layer scaling solution takes some of the heat off of Ethereum, as they’ll be able to use projects like Matic to scale decentralized applications that want to use the Ethereum network to build and launch.
Regardless of who wins the transaction speed war, the way the question of scaling is solved will determine much of what’s to come in cryptocurrency’s future.
What’s going on?
It’s another day, and with that, we have new opportunities 💸. That’s an attitude we stress as traders – start every day fresh by reminding yourself that with every new day there are ripe opportunities.
Having said that, let’s turn to the market and see what we can make of the action. Bitcoin is making minor adjustments within the $7600 range while 24-hour trading volume continues to dry up. After weeks of posting impressive numbers, overall volume has declined from $32 billion to just half of that, having rounded out at $16 billion overnight.📉
Considering that BTC price is also gently declining, there’s plenty of encouragement to take away from the fact that it isn’t making a high-volume nosedive. However, even if we try to defog our view of the current market, there isn’t an obvious enough line of sight to help with a decision. During such times, it’s best to keep your powder dry, which is exactly what we’re doing (save for a hedge short we called out last week at $8400).
Our analysts have kept an eagle eye on BTC and have identified three scenarios to keep in mind:
1. There’s an overlooked head and shoulders pattern forming. The right shoulder completes the resistance of what we’re terming a ‘consolidation pivot’ – which is the last swing high and low before a pennant, flag, or rising/falling wedge breaks out. It’s aimed at a target just below 5700–5800.
2. If the above fails and price does indeed break out, albeit with slow price action and anemic volume, then we’ll assume a bull trap is in play. That assumption is based on recent price action that occurred with robust volume on moves down and decreasing volume on the way up. Should BTC cruise between $8200 and $8800 in that way, we’ll take a bearish stance and will move on a short setup.
3. A strong move would take us straight to $8600-$8800, an area which we would either consolidate or annihilate by moving directly to new highs. Should the latter be the case, a close above $9400 would suggest $10000 and beyond as the next destination.
Spotlight on Scaling
As the blockchain space matures and finds widespread adoption across most industries imaginable, the question of how to scale to the demand has arrived front and center. As smart contract blockchain platforms roll out, they’re teasing their potential transaction per second speed well before discussing other similarly important qualities.
The pressure to scale up to the demands of impending blockbuster commercial applications is getting so intense that some blockchains, like Zilliqa, are engaging in psychological battles. ZIL founder Max Kantelia recently stated that “…people are starting to mine Zilliqa, we’re beginning to see the network starting to grow and grow, so [competing with VISA] is absolutely within sight, and I would say that it could happen as quickly as the next 12 to 18 months.”
Ethereum’s ETH 2.0 project is promising to bring sharding to the network within the next two years – however, other projects may have the upper hand well before it comes online. Coming to Ethereum’s rescue is the rise of new second-layer scaling projects like Matic and Celer. Using a second-layer scaling solution takes some of the heat off of Ethereum, as they’ll be able to use projects like Matic to scale decentralized applications that want to use the Ethereum network to build and launch.
Regardless of who wins the transaction speed war, the way the question of scaling is solved will determine much of what’s to come in cryptocurrency’s future.
🔥BTC Gaining Strength as Binance Ban Shakes the Market🔥
Have you read the day’s latest?
Binance has formally announced that US customers will be banned from trading on its platform effective September 12, 2019.❌ The news comes just a little over 24 hours after the world’s #1 cryptocurrency exchange dropped the news that it was developing a dedicated exchange for Americans.
The good cop/bad cop routine being played by Binance hasn’t gone over well with the altcoin market 📉. We normally save these news briefings for the end of our updates, but the Binance news is of such importance that it needs to be addressed right off the bat.
Problematically, American customers account for a significant chunk of Binance’s overall clientele and trading volume (at least 30 million visits by US customers in the last 6 months). By removing them from the fold, Binance may be dooming the altcoin market. In Singapore, a similarly regulated market, only BTC and ETH are listed on exchanges.
The odds of Binance.US launching with a mere fraction of the altcoins offered on Binance’s global exchange are quite high given that Binance.US will only list assets that are clearly defined as not being securities. Anything on the fence will be deemed too high risk.👀
An interesting effect of Binance’s policy update has been the flight of value out of alts and straight into BTC. Currently, BTC has reclaimed the $8400 level and is steadily trending up. In our last update, we stated that it was our belief that a gradual rise on low volume would constitute a bull trap for BTC. While that very well may be the case, our view didn’t account for the lousy FA development for alts turning into an awesome reason to hodl BTC.
Because Binance.US will, no doubt, offer BTC, it appears to be one of only a few safe haven cryptocurrencies for US citizens until the dust settles. However, we’re very skeptical about BTC’s lack of volume, which seems to indicate dry demand in higher price ranges 😳.
Given the uncertainty of how the Binance news will play out over a higher time frame, we’re going to take a wait and see approach – allowing the market time to absorb the news and settle down.
Facebook’s GlobalCoin Has Popular Friends
Another day, another news drop for GlobalCoin. This time it appears that Facebook’s “secret” cryptocurrency project has found incredible suitors with deep pockets. Uber, PayPal, and Visa were named as probable backers with stake in the GlobalCoin project 🌏.
Last week, it was reported that GlobalCoin nodes were on sale for $10 million apiece 😲. If some of the world’s biggest brands are, in fact, signed on to ride with the GlobalCoin project, then the odds of its success and adoption fly even higher.
Have you read the day’s latest?
Binance has formally announced that US customers will be banned from trading on its platform effective September 12, 2019.❌ The news comes just a little over 24 hours after the world’s #1 cryptocurrency exchange dropped the news that it was developing a dedicated exchange for Americans.
The good cop/bad cop routine being played by Binance hasn’t gone over well with the altcoin market 📉. We normally save these news briefings for the end of our updates, but the Binance news is of such importance that it needs to be addressed right off the bat.
Problematically, American customers account for a significant chunk of Binance’s overall clientele and trading volume (at least 30 million visits by US customers in the last 6 months). By removing them from the fold, Binance may be dooming the altcoin market. In Singapore, a similarly regulated market, only BTC and ETH are listed on exchanges.
The odds of Binance.US launching with a mere fraction of the altcoins offered on Binance’s global exchange are quite high given that Binance.US will only list assets that are clearly defined as not being securities. Anything on the fence will be deemed too high risk.👀
An interesting effect of Binance’s policy update has been the flight of value out of alts and straight into BTC. Currently, BTC has reclaimed the $8400 level and is steadily trending up. In our last update, we stated that it was our belief that a gradual rise on low volume would constitute a bull trap for BTC. While that very well may be the case, our view didn’t account for the lousy FA development for alts turning into an awesome reason to hodl BTC.
Because Binance.US will, no doubt, offer BTC, it appears to be one of only a few safe haven cryptocurrencies for US citizens until the dust settles. However, we’re very skeptical about BTC’s lack of volume, which seems to indicate dry demand in higher price ranges 😳.
Given the uncertainty of how the Binance news will play out over a higher time frame, we’re going to take a wait and see approach – allowing the market time to absorb the news and settle down.
Facebook’s GlobalCoin Has Popular Friends
Another day, another news drop for GlobalCoin. This time it appears that Facebook’s “secret” cryptocurrency project has found incredible suitors with deep pockets. Uber, PayPal, and Visa were named as probable backers with stake in the GlobalCoin project 🌏.
Last week, it was reported that GlobalCoin nodes were on sale for $10 million apiece 😲. If some of the world’s biggest brands are, in fact, signed on to ride with the GlobalCoin project, then the odds of its success and adoption fly even higher.
Binanceʼs Hits Pause on American Crypto Trading –ButIsItaBadThing?
In what seems like a huge blow to American traders and the cryptocurrency market as a whole, Binance changed its terms of use to reflect that as of September 12th, 2019, US-based customers will no longer have access to trading on its exchange. The crypto market immediately responded to the news with deep red candles for altcoins and an assured rise for BTC.
To understand the full effect of Binanceʼs policy change, one need only consider the sheer volume attributed to American traders. In September 2018, Americans accounted for up to 30% of Binanceʼs traffic. By early this year, that number had halved to 15%. While that isnʼt the lionʼs share of Binanceʼs traffic, 15% is still not a number to sneeze at, and it certainly doesnʼt account for savvy Americans already using VPNs to conceal their location.
Now, despite appearances, this is, ahem, ultimately a good thing for Bitcoin and crypto in general.
Hold on a moment and let us explain...
VPNs and Binance DEX
On September 12th, US traders will be blocked from using Binance CEX (centralized exchange). For a while now, Binance boss and crypto stalwart CZ has been pushing for the adoption of decentralized exchanges. He firmly believes that they are the future and endgame of digital asset exchange. At the same time, heʼs head of the worldʼs largest centralized cryptocurrency exchange.
What to do in a conundrum like that?
CZ built Binance DEX (decentralized exchange) at Binance.org – the web interface for the DEX. Binance.org also has a policy stating that users from 29 countries, including the US, are prohibited from using it. However, CZ has made it clear that the DEX blockchain canʼt geoblock anyone, and that several wallets, including Trust Wallet, allow users access to the blockchain without passing through Binance.org at all. Additionally, all you need to do to get past Binance.orgʼs geoblock is use a VPN.
So, despite the talk of geoblocks and bans, business will continue at Binance DEX as normal – and once people realize that they can walk around the whole issue by just using one of Binanceʼs trusted wallets, theyʼll simply adopt those and keep trading.
Thatʼs great for Binance – and us – as theyʼre necessarily pushing people toward blockchain connected wallets rather than blockable/controllable web interfaces. Binanceʼs policy change is gently corraling people toward adopting blockchain as a solution to bannable centralized technology – and thatʼs a win.
Binance CEX Pause Is Healthy for Competition
All well and good for decentralized exchanges, but what about Binanceʼs centralized exchange ban? Binance is the biggest fish in the exchange market. OK, itʼs more like a shark, or a whale, or a whale shark. Itʼs a whale shark. While Binance operates as usual, all the other exchanges swim in its shadow like fearful fish.
However, Binance pausing service on an undisclosed-yet-surely- significant-portion of its clientele means that the other exchanges finally sense its time to swim out from under Binanceʼs shadow and reclaim some market share for themselves. Binance has other exchanges on the ropes, going from strength to strength while its native token, BNB, has risen to become one of cryptoʼs most valuable assets.
The current – shall we say, FUD? – surrounding Binance marks an opportune moment for other exchanges to claw back clientele by expanding their offerings and catering specifically to US-based customers. Binance, as the crypto exchange incumbent, has finally shown a moment of weakness that should inspire other exchanges to seize the opportunity – which again, should be a win for all of us.
In what seems like a huge blow to American traders and the cryptocurrency market as a whole, Binance changed its terms of use to reflect that as of September 12th, 2019, US-based customers will no longer have access to trading on its exchange. The crypto market immediately responded to the news with deep red candles for altcoins and an assured rise for BTC.
To understand the full effect of Binanceʼs policy change, one need only consider the sheer volume attributed to American traders. In September 2018, Americans accounted for up to 30% of Binanceʼs traffic. By early this year, that number had halved to 15%. While that isnʼt the lionʼs share of Binanceʼs traffic, 15% is still not a number to sneeze at, and it certainly doesnʼt account for savvy Americans already using VPNs to conceal their location.
Now, despite appearances, this is, ahem, ultimately a good thing for Bitcoin and crypto in general.
Hold on a moment and let us explain...
VPNs and Binance DEX
On September 12th, US traders will be blocked from using Binance CEX (centralized exchange). For a while now, Binance boss and crypto stalwart CZ has been pushing for the adoption of decentralized exchanges. He firmly believes that they are the future and endgame of digital asset exchange. At the same time, heʼs head of the worldʼs largest centralized cryptocurrency exchange.
What to do in a conundrum like that?
CZ built Binance DEX (decentralized exchange) at Binance.org – the web interface for the DEX. Binance.org also has a policy stating that users from 29 countries, including the US, are prohibited from using it. However, CZ has made it clear that the DEX blockchain canʼt geoblock anyone, and that several wallets, including Trust Wallet, allow users access to the blockchain without passing through Binance.org at all. Additionally, all you need to do to get past Binance.orgʼs geoblock is use a VPN.
So, despite the talk of geoblocks and bans, business will continue at Binance DEX as normal – and once people realize that they can walk around the whole issue by just using one of Binanceʼs trusted wallets, theyʼll simply adopt those and keep trading.
Thatʼs great for Binance – and us – as theyʼre necessarily pushing people toward blockchain connected wallets rather than blockable/controllable web interfaces. Binanceʼs policy change is gently corraling people toward adopting blockchain as a solution to bannable centralized technology – and thatʼs a win.
Binance CEX Pause Is Healthy for Competition
All well and good for decentralized exchanges, but what about Binanceʼs centralized exchange ban? Binance is the biggest fish in the exchange market. OK, itʼs more like a shark, or a whale, or a whale shark. Itʼs a whale shark. While Binance operates as usual, all the other exchanges swim in its shadow like fearful fish.
However, Binance pausing service on an undisclosed-yet-surely- significant-portion of its clientele means that the other exchanges finally sense its time to swim out from under Binanceʼs shadow and reclaim some market share for themselves. Binance has other exchanges on the ropes, going from strength to strength while its native token, BNB, has risen to become one of cryptoʼs most valuable assets.
The current – shall we say, FUD? – surrounding Binance marks an opportune moment for other exchanges to claw back clientele by expanding their offerings and catering specifically to US-based customers. Binance, as the crypto exchange incumbent, has finally shown a moment of weakness that should inspire other exchanges to seize the opportunity – which again, should be a win for all of us.
To make up for its ban on US customers, Binance is launching an American fiat to crypto exchange called Binance.US. Theyʼve launched similar services in the UK, Singapore, and Uganda. In each instance, the exchange was restricted to just a few assets, with BTC and ETH being the obvious listings. Itʼs likely that Binance.US will launch with a similarly restricted set of offerings, but itʼs worth noting that it may retain a somewhat extensive list of assets.
Below is a list of assets that may feature on Binance.Us (in purple) based on those assets already being offered on other US-regulated exchanges:
Credit: Goomba
If Binance.US does come forward with at least the assets listed inpurple, then theyʼll have no advantage (other than the UI preferences of users) over other digital asset exchanges like Coinbase, Bittrex, and Kraken. Despite not having a big advantage in the American market over the competition, Binance should still enjoy plenty of traffic based on name recognition alone – and anyone looking to play altcoin roulette with lower market cap coins can simply go to their DEX behind a VPN.
Finally, there is a small loophole that will probably satisfy a large portion of retail traders. You can sign up for a Binance account without KYC as long as youʼre OK with a 2 BTC withdrawal limit per 24 hours. A non-KYC Binance account + VPN means you can trade away, just donʼt count on withdrawing all of your winnings in one shot.
So, How Is This a Good Thing?
Hopefully, weʼve made clear how this ban isnʼt so dramatic after all. Of course, in the short term, altcoins are likely to feel some pain as the situation reverberates amongst traders. But, even if the ban isnʼt dramatic, weʼve yet to clarify how itʼs good for crypto.
Hereʼs the thing: We all want adoption, donʼt we? We all want to see BTC, ETH, or even a completely gambly rank #491 CMC coin accepted on Amazon. Itʼs important to realize that adoption on that level is literally never going to happen without cryptocurrency infrastructure becoming compliant with the regulations of the countries theyʼre trading in.
At the same time, we canʼt hand everyoneʼs private keys over to government agencies and blockchain analytics firms, either, so itʼs a fine line weʼre walking. The SEC is currently going after KIK for itʼs $100 million ICO in which it alleges the project sold unregistered securities to investors. That case should bring plenty of clarity for the regulatory environment around crypto, however, its contentiousness goes a long way in highlighting just how murky crypto regulation is in not only the US but most countries.
When the largest cryptocurrency exchange puts trading for the most economically powerful country in the world on hold, the takeaway should be that those at the helm of the crypto industry are taking serious steps toward making digital assets adoptable in a permanent way. Crypto is here to stay, and that scares regulators who want to maintain the status quo. They donʼt understand Bitcoin, but thatʼs OK – they donʼt need to.
If thereʼs enough regulatory push back, people will simply move to DEXs, which benefits the global crypto economy and its users. The tech to make them scale is coming into maturity now as well, with networks like Celer and Matic launching their mainnets next month.
In the short term, expect to see heavy volatility around alts, but donʼt count them out. The fog surrounding this issue will clear, and, just like after the China FUD in September 2017 (when China banned crypto trading), the market always finds a way to bounce back.
Below is a list of assets that may feature on Binance.Us (in purple) based on those assets already being offered on other US-regulated exchanges:
Credit: Goomba
If Binance.US does come forward with at least the assets listed inpurple, then theyʼll have no advantage (other than the UI preferences of users) over other digital asset exchanges like Coinbase, Bittrex, and Kraken. Despite not having a big advantage in the American market over the competition, Binance should still enjoy plenty of traffic based on name recognition alone – and anyone looking to play altcoin roulette with lower market cap coins can simply go to their DEX behind a VPN.
Finally, there is a small loophole that will probably satisfy a large portion of retail traders. You can sign up for a Binance account without KYC as long as youʼre OK with a 2 BTC withdrawal limit per 24 hours. A non-KYC Binance account + VPN means you can trade away, just donʼt count on withdrawing all of your winnings in one shot.
So, How Is This a Good Thing?
Hopefully, weʼve made clear how this ban isnʼt so dramatic after all. Of course, in the short term, altcoins are likely to feel some pain as the situation reverberates amongst traders. But, even if the ban isnʼt dramatic, weʼve yet to clarify how itʼs good for crypto.
Hereʼs the thing: We all want adoption, donʼt we? We all want to see BTC, ETH, or even a completely gambly rank #491 CMC coin accepted on Amazon. Itʼs important to realize that adoption on that level is literally never going to happen without cryptocurrency infrastructure becoming compliant with the regulations of the countries theyʼre trading in.
At the same time, we canʼt hand everyoneʼs private keys over to government agencies and blockchain analytics firms, either, so itʼs a fine line weʼre walking. The SEC is currently going after KIK for itʼs $100 million ICO in which it alleges the project sold unregistered securities to investors. That case should bring plenty of clarity for the regulatory environment around crypto, however, its contentiousness goes a long way in highlighting just how murky crypto regulation is in not only the US but most countries.
When the largest cryptocurrency exchange puts trading for the most economically powerful country in the world on hold, the takeaway should be that those at the helm of the crypto industry are taking serious steps toward making digital assets adoptable in a permanent way. Crypto is here to stay, and that scares regulators who want to maintain the status quo. They donʼt understand Bitcoin, but thatʼs OK – they donʼt need to.
If thereʼs enough regulatory push back, people will simply move to DEXs, which benefits the global crypto economy and its users. The tech to make them scale is coming into maturity now as well, with networks like Celer and Matic launching their mainnets next month.
In the short term, expect to see heavy volatility around alts, but donʼt count them out. The fog surrounding this issue will clear, and, just like after the China FUD in September 2017 (when China banned crypto trading), the market always finds a way to bounce back.
🗞$10K Bitcoin? Did Someone say $10K Bitcoin?🗞
• Everyone: $3400 BTC, it’s all over, time to buy some Netflix
stocks.
• BTC: Hold my beer
What can we say? We’ve long maintained that BTC was going for the $10K mark, but there was no way to know it would run for it this quickly. Bitcoin is currently in full-blown take-no-prisoners mode.
It’s not often we say this, but seriously: short the corn at your own peril.
In a show of strength, BTC has seen tiny pullbacks with each timezone waking and coming to grips with the price action, but on each occasion, it has rocked back to daily highs. We quietly anticipated the current move when our Lunar Trend Bot went long at $9350 🎉, but we didn’t expect to find ourselves orbiting the moon this soon.
With RSI maintaining right around the overbought zone in the days leading up to today’s surge, it was clear that bulls had the upper hand and were salivating over reaching the golden $10,000 psychological resistance. What is it about $10K that makes for Lambo dreams when BTC is below it, and nightmares of lifelong wage slavery when BTC breaks below?
As far as psychological resistances go, $10,000 is our current $100,000 – breaking it will be a major milestone, and from its heights, the $20,000 mountaintop will be clearly in view. While that’s great and all for BTC, what about the alt market?
As we’ve mentioned several times recently, we’re less enthusiastic about the short-term prospects of most alts. With so much attention on BTC and Facebook’s Libra, the stakes in the crypto game have been raised. Moreover, Binance and Bittrex are two major exchanges that will restrict altcoin trading access for Americans in the months to come.
The convergence of BTC mooning, bad exchange news for alts, and the game-changing entrance of Libra into the crypto landscape all bode poorly for the altcoin market.
Tokens like ICON’s ICX are capitulating beneath bear market lows, while others, like AION, WTC, VET, and NEO are already swimming with the fishes. From a fundamental perspective, all of the aforementioned projects are solid, but grabbing at them here reminds us of something someone said about catching a falling knife.
Perhaps you know the saying.
• Everyone: $3400 BTC, it’s all over, time to buy some Netflix
stocks.
• BTC: Hold my beer
What can we say? We’ve long maintained that BTC was going for the $10K mark, but there was no way to know it would run for it this quickly. Bitcoin is currently in full-blown take-no-prisoners mode.
It’s not often we say this, but seriously: short the corn at your own peril.
In a show of strength, BTC has seen tiny pullbacks with each timezone waking and coming to grips with the price action, but on each occasion, it has rocked back to daily highs. We quietly anticipated the current move when our Lunar Trend Bot went long at $9350 🎉, but we didn’t expect to find ourselves orbiting the moon this soon.
With RSI maintaining right around the overbought zone in the days leading up to today’s surge, it was clear that bulls had the upper hand and were salivating over reaching the golden $10,000 psychological resistance. What is it about $10K that makes for Lambo dreams when BTC is below it, and nightmares of lifelong wage slavery when BTC breaks below?
As far as psychological resistances go, $10,000 is our current $100,000 – breaking it will be a major milestone, and from its heights, the $20,000 mountaintop will be clearly in view. While that’s great and all for BTC, what about the alt market?
As we’ve mentioned several times recently, we’re less enthusiastic about the short-term prospects of most alts. With so much attention on BTC and Facebook’s Libra, the stakes in the crypto game have been raised. Moreover, Binance and Bittrex are two major exchanges that will restrict altcoin trading access for Americans in the months to come.
The convergence of BTC mooning, bad exchange news for alts, and the game-changing entrance of Libra into the crypto landscape all bode poorly for the altcoin market.
Tokens like ICON’s ICX are capitulating beneath bear market lows, while others, like AION, WTC, VET, and NEO are already swimming with the fishes. From a fundamental perspective, all of the aforementioned projects are solid, but grabbing at them here reminds us of something someone said about catching a falling knife.
Perhaps you know the saying.