Connect with us

Bitcoin

Daily Technical Analysis: Bitcoin, Ethereum, Litecoin

Published

on

Bitcoin
READ LATER - DOWNLOAD THIS POST AS PDF

Bitcoin, Ethereum, and Litecoin are currently the three of the most heavily traded coins traded in the cryptocurrency market. They are collectively considered by many market participants as a sort of “bellwether”  for the rest of the cryptocurrency market, especially Bitcoin. As bitcoin goes, so does the rest of the crypto market. So it comes as no surprise that the price action of the three seems to move in tandem. For traders, this is a good thing. It serves to give an alert when a potential move is coming and to confirm the mood and sentiment of the market. Keeping a close watch on all three is a good market analysis technique.

 Bitcoin (BTCUSD)

Bitcoin continues to consolidate around the $11,100.00 level. Bitcoin’s price action is showing signs of uncertainty as asymmetric triangle price patterns are manifesting themselves in the price charts indicating indecision by traders and investors. The Daily chart below shows the asymmetric triangle price patterns in purple. The chart also shows the 9-day average that has been flat for the lasts 4-days, further indicating that the direction of the bitcoin market is currently in flux as traders are wavering on whether to get back in on the long side and catch the next upward move, or avoid the downside risk of Bitcoin dropping even further.

Chart#1 Bitcoin Daily

It goes without saying that there are a great many traders/investors that missed the first runup of Bitcoin to its all-time high near $20,000, and don’t want to miss the next runup (if there is one). However, at a price of $11,100.00, there is a substantial amount of downside risk. In this case, timing is of the essence. The savvy trader will be patient and wait for the price to break above the triangle pattern, for the 9-day moving average to turn upward, and for volume to begin to surge.

Ethereum (ETHUSD):

Ethereum is exhibiting much of the same type of price action as Bitcoin. The chart below for Ethereum shows the 15-minute intraday price action. The asymmetric triangle price pattern is even more pronounced in the intraday chart as price action reaches the apex of the pattern. Volume patterns are also beginning to show signs of shifting to a more bullish sentiment as upward price movements are accompanied by volume surges.

Chart#2 Ethereum 15-minute

The triangle price pattern will be completed in the next few days. The savvy trader will wait to see which way price breaks out of the pattern and react accordingly. All indications are that Ethereum will break—out to the upside.

Litecoin (LTCUSD):

Just like Bitcoin and Ethereum, Litecoin is experiencing similar downward pressure. It is also exhibiting a triangle price pattern on the daily price chart, but unlike Bitcoin’s and Ethereum’s pattern, this pattern is a descending triangle, indicating a tendency for downward price movement.

Chart#3 Litecoin 15-minute

The horizontal lower line for the triangle pattern at $180.94 is holding strong, and volume and daily range have been very weak over the past 5-days, as shown in the 15-minute chart above. Although Litecoin is displaying a downward bias from a technical perspective, the potential for an upside move is just as likely when considering the price action for Bitcoin and Ethereum for which Litecoin trades in tandem with. The triangle pattern has reached its apex, however, an upward breakout move will not be confirmed until price exceeds the resistance level at $209.67.

We will be updating our subscribers as soon as we know more. For the latest crypto news, sign up below!

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.

Image courtesy of coinmarketcap.com

Bitcoin

Stepping off the rollercoaster: Why I’ve fallen out of love with Bitcoin

Published

on

Bitcoin
READ LATER - DOWNLOAD THIS POST AS PDF

The very word Bitcoin has almost become synonymous with that of cryptocurrency. It’s basically just a medium of conducting digital transactions – it’s a virtual currency and one of many. So how has it taken on a definition of its own and asserted itself as a leader in the digital financial ecosystem?

Bitcoin has been crowned king of altcoins, probably because it was one of the earliest and most successful of its kind. The trendsetter has ushered in a wave of cryptocurrencies built on decentralised P2P networks and has inspired a growing number of followers and spinoffs. But is Bitcoin struggling to keep up with the newcomers who have made considerable developments to the stability, security, and usability of the crypto world?

The supporting case for Bitcoin has been a clear one. Its pioneering infrastructure has situated it in a position of dominance in the altcoin realm. Bitcoin has a proven usage case as a store of value. Having existed over 8 years without failure, it has a large lead over most altcoins and has withstood the test of time as younger counterparts join the market. However, it seems to be on a downward slope, or at the very least, not progressing at the speed of the market.

In May this…

Continue Reading

Altcoins

Cryptocurrency Collateralized Debt Positions Are Growing in Popularity

Published

on

collateralized debt position
READ LATER - DOWNLOAD THIS POST AS PDF

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…

Continue Reading

Altcoins

Hodium Presents a Compelling Opportunity for Outsized Investment Returns

Published

on

Hodium
READ LATER - DOWNLOAD THIS POST AS PDF

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…

Continue Reading

Elite