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Stellar (XLM) Might be in Trouble – Its Value Keeps Going Down

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Stellar
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Stellar Lumens (XLM) has been working hard to rival other cryptos when it comes to providing fast and cheap cross-border money transfers. However, its value keeps dropping, and it might go down even more due to damage in Upbit’s reputation.

Stellar is in trouble despite its best efforts

A lot of cryptos have been trying for a long time now to provide their users with a new way of sending payments across the border, and Stellar is no exception. Its efforts to enable cheap transactions that would also be done in a matter of seconds are advancing. All in all, XLM is pushing hard to become a very attractive crypto.

However, despite these efforts, its investors are still alarmed, and they might decide to give up on this crypto. The reason for this is rather alarming news from South Korea. The country has major concerns regarding one of their largest exchanges called Upbit.

According to some allegations, Upbit might be involved in a fraud regarding cryptos. This has not yet been officially confirmed, but many believe that it is not that surprising, considering that their top volume generator is XLM/KRW.

The exchange has a market cap of around $2.1 billion, but when it comes to Stellar, its trading volume only makes up for around 0.60% on the platform. This means that there are many others who will lose a lot more than Stellar if allegations against Upbit turn out to be true. Still, this does not mean that Stellar won’t be hit hard, and the biggest question is whether or not it can afford to experience such a blow.

Other than Stellar, TRON (TRX) and EOS (EOS) will probably be the currencies which will suffer the most from Upbit’s alleged actions.

The price of XLM continues to drop

According to the CoinMarketCap’s trading volume, XLM currently holds the 35th place. Its total contribution to the market includes only 0.27%, which is extremely low. Its situation regarding the price is worse by the day, and only within the last 24 hours, the crypto lost 9% of its value. The last week has seen a drop of 25.54%, which puts its current value to around $0.33.

With a situation like that, it is not very surprising that the investors are having second thoughts regarding the crypto. They might get under even more pressure if the situation for this crypto doesn’t turn for the better, and soon.

Even a small increase to $0.35 would be enough for them to shake off some of the pressure and regain their trust in the crypto, but whether or not this will happen is something that we should wait and see. For now, there is hope that the weekend will help the situation improve. Whether this hope will be justified or not is anyone’s guess.

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Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.

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Altcoins

Cryptocurrency Collateralized Debt Positions Are Growing in Popularity

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collateralized debt position
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While Bitcoin (BTC) continues to hover around the magical 10,000 price level, altcoins continue to fight an uphill battle.  Simply put, hopes of a future bull run continue to diminish as Bitcoin maintains its dominance.  One school of thought is that a few altcoins will survive and flourish, but which ones are anyone’s guess.  That being said, it’s hard to go wrong picking against the top coins like Ethereum (ETH), Ripple (XRP), Litecoin (LTC), and EOS.  These projects have managed to find a foothold in the market and have a better chance than most of staying there.  While traders wait for their positions to increase in value, one opportunity that may be worth looking at is initiating a collateralized debt position.

What is a Cryptocurrency CDP?

In traditional terms, a CDP is essentially putting up collateral in order to receive a loan against the deposited amount.  There are several examples of this in our day to day lives.  Auto title loans from large companies like TitleMax are extremely popular with consumers.  Consumers are essentially able to use their car as collateral in exchange for a cash payment which can then be used for whatever needs the consumer has.  The consumer can continue using their car as long as debt payments are made.

The same concept applies to cryptocurrency CDPs.  Consumers are able to put up crypto tokens, such as…

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Altcoins

Hodium Presents a Compelling Opportunity for Outsized Investment Returns

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Hodium
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I’m sure all of us remember the cryptocurrency glory days of 2017 and early 2018.  It was one of the biggest bull runs in history and created incredibly wealth for quite a few early entrants.  Unfortunately, for most of us, those gains have most likely been wiped out during the altcoin apocalypse.  The truth is that traders probably thought a bit too highly of their trading abilities when the reality was that anyone could have thrown a dart at a board and ended up making money.

As markets mature (and the crypto market is definitely maturing) it becomes more and more difficult to generate alpha.  In that regard, it’s similar to traditional financial markets.  I can remember trading during my high school days.  It was the late 90s and right in the middle of the dot.com boom.  Eventually, however, the euphoria fades away and reality hits hard.  Now, it’s become rather difficult to actually trade profitably which has given way to the rise of hedge funds.

Hedge funds are investment funds that pool capital from accredited and/or institutional investors and invest in a variety of assets, often with extremely complex portfolio-construction and risk management techniques.  The professionals employed by hedge funds are the best of the best and have spent years honing their craft.  That is why they’re able to make the millions of dollars that they normally…

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Altcoins

KaratGold Proves Its Business Model By Providing Official Documents

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There has been a lot of renewed enthusiasm in the cryptocurrency market thanks mainly to Bitcoin’s strong move about 10,000.  Although Bitcoin continues to show its dominance, the altcoin market has yet to benefit from that rally.  A few of the largest altcoins remain popular but the rest of the market continues to lag behind.  In 2018, there was a lot of talk regarding a possible altcoin apocalypse where only the strong would survive.  That prediction appears to be playing out as expected.  Going forward, only the best projects that have a real world need will survive.  Crypto traders will have to spend a lot of their time doing proper research in order to find the best opportunities, just like in all financial markets.  One promising project that appears to have the makings of a future winner is KaratGold Coin.

KaratGold Background

KaratGold Coin is a cryptocurrency developed by the reputable German company Karatbars International, which maintains a leading position in the market of small gold items and investments. The project is part of a larger ecosystem, which involves several blockchain solutions that can be used for transactions, communication, investing and other tasks. During the past few weeks, however, the KaratGold ecosystem has been a target of unsavory scam allegations.  

Karatbars International and GSB Gold Standard Banking Corporation…

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