Cryptocurrency Analysis

[IFX_Selena]

Technical Analysis of ETH/USD for 07 January 2021

Crypto Industry News:
Kyrgyzstan's central bank has completed two bills aimed at recognizing and regulating the country's nascent cryptocurrency sector. According to the official announcement, the National Bank of the Kyrgyz Republic announced two laws for public discussion: "On the processing of cryptocurrencies" and "On changes to legal acts in the field of virtual assets". Stakeholders have until February 21 to submit comments and concerns about the regulations.

The proposed legislation aims to recognize cryptocurrency exchanges, indicating that exchanges must be operated by legal entities licensed by the country's central bank. The draft includes reporting requirements aimed at reducing the risk of money laundering and terrorist financing.

There are also laws to protect consumer rights and enforcement actions against fraudsters using virtual currencies. A separate law introduces the concept of "virtual assets" into the Civil Code of the Kyrgyz Republic, identifying cryptographic assets as a subject of civil rights. The act also requires the taxation of services provided by cryptocurrency exchanges. The Kyrgyz central bank announced that it would begin work on draft cryptocurrency legislation on November 13, citing growing national interest in crypto assets.

The Kyrgyz Republic had previously tried to regulate cryptocurrencies by introducing a tax system for miners in August 2019. However, the next month, authorities cut off the industry's access to electricity, claiming it was over-consumed.

Kyrgyzstan's parliament reconsidered introducing a mining tax system in June 2020, as the government looked for new sources of revenue to offset the economic impact of the coronavirus pandemic.


Technical Market Outlook:
The ETH/USD pair has broken through the level of $1,200 and made a new swing high at the level of $1,223. The up trend is being continued and there is no sign of trend reversal. Moreover, the up trend is now going parabolic and the next mid-term target for bulls is seen at the level of $1,420, the all time high from 2017. The nearest technical support is seen at the level of $1,100 and $1,090.

Weekly Pivot Points:
WR3 - $1,394
WR2 - $1,185
WR1 - $1,086

Weekly Pivot - $847
WS1 - $791
WS2 - $545
WS3 - $496


Trading Recommendations:
The up trend on the Ethereum continues and the next long term target for ETH/USD is seen at the level of $1,420, so any correction or local pull-back should be used to open the buy orders. Please notice, the up trend starting to go vertical, so the volatility will be higher than average. The bullish scenario is valid as long as the level of $830 is broken.





Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

BTC analysis for January 07,.2021 - BTC is aproaching our first upside target at $19.530. Chance for test of $19.880

Further Development



Analyzing the current trading chart of BTC , I found that BTC reached my first target from yesterday at the price of $37,000 and is heading toward next upside targets at $40,370 and $42,000.

My advice is to watch for buying opportunities on the dips with targets at $40,370 and $42,000.

Momentum is strongly to the upside...


Key Levels:

Resistances: $40,370 and $42,000.

Support level: 34,500



Performed by Petar Jacimovic
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Technical Analysis of ETH/USD for 08 January 2021

Crypto Industry News:
TaxBit, a company that provides software for automating cryptocurrency taxes, says it has secured investments from the venture arms of the PayPal and Coinbase affiliates, as well as from its current investor Winklevoss Capital. The amount of the investment was not disclosed in the announcement.

TaxBit automates the complex cryptocurrency tax compliance task for consumers, businesses and exchanges through two main applications.

PayPal's investment can be significant because experts have already said that new customers of a payment company who are just starting to use cryptocurrencies will face a huge problem when it's time to settle taxes, and this is what the TaxBit application is supposed to help.


Technical Market Outlook:
The ETH/USD pair has made a new swing high at the level of $1,288, but reverses quickly under the short-term trend line support. The local low was made at the level of $1,062 and currently the market is bouncing back on again.The up trend is being continued and there is no sign of trend reversal. Moreover, the up trend is now going parabolic and the next mid-term target for bulls is seen at the level of $1,420, the all time high from 2017. The nearest technical support is seen at the level of $1,100 and $1,090.

Weekly Pivot Points:
WR3 - $1,394
WR2 - $1,185
WR1 - $1,086

Weekly Pivot - $847
WS1 - $791
WS2 - $545
WS3 - $496


Trading Recommendations:
The up trend on the Ethereum continues and the next long term target for ETH/USD is seen at the level of $1,420, so any correction or local pull-back should be used to open the buy orders. Please notice, the up trend starting to go vertical, so the volatility will be higher than average. The bullish scenario is valid as long as the level of $830 is broken.





Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Technical Analysis of BTC/USD for 08 January 2021

Crypto Industry News:
The South Korean government issued an amendment introducing a tax on profits from cryptocurrency trading. Following a legislative announcement through January 21, the amendment is likely to be passed in February, media reports. However, cryptocurrency taxes will not be collected until 2023.

The proposal would introduce a series of additional taxes on capital gains, along with a progressive taxation of equity gains. For cryptocurrency holders, anyone with an annual income of more than $ 2,300 from cryptocurrency profits will be taxed at 20%. This threshold is much lower than for stocks where profits above $ 46,000 will be taxed.

For cryptocurrencies held before the beginning of the tax schedule, authorities will consider the highest of the market price immediately before 2023 or the actual purchase price.

The proposed tax regime was envisaged and delayed several times in 2020. Following lobbying from local cryptocurrency supporters, the government initially pulled back the implementation by 2022. The government now appears to have engraved the date in stone, though taking into account a further delay.

While the relative popularity of cryptocurrencies in Korea declined after the 2018 bear market, as exemplified by Binance Korea's failure to solidify, the country remains a stronghold of cryptocurrency adoption.

The Korean government has pushed for various Blockchain technology-based initiatives in the field of digital identity and Blockchain voting. It also designated the City of Busan as a "Blockchain City," though some reports suggest the categorization is devoid of content.


Technical Market Outlook:
The BTC/USD pair has made another all time high when the price hit the level of $40,321. Moreover, the up trend keeps going parabolic, almost vertical. The first mid-term target has been hit, so the next mid-term target for bulls is seen at the level of $50,000. The nearest technical support is seen at the level of $36,000 and $34,000. The momentum remains strong and positive, despite the extremely overbought market conditions on all mains time frames.

Weekly Pivot Points:
WR3 - $46,938
WR2 - $40,854
WR1 - $37,989

Weekly Pivot - $31,477
WS1 - $28,840
WS2 - $22,622
WS3 - $19,555


Trading Recommendations:
Bitcoin made another ATH and bulls are in control of the market. The up trend continues and the next long term target for Bitcoin is seen at the level of $35,051, so any correction or local pull-back should be used to open the buy orders. This scenario is valid as long as the level of $20,000 is clearly broken.





Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

BTC analysis for January 08,.2021 - Is BTC heading towards 50.000$?

Further Development



Analyzing the current trading chart of BTC, I found that there is strong upside movementt and bullish continuation, which is sign thatt buying opportunities are preferable.

I placed the Monthly time-frame chart to find next major upside level and I got Fibo extension 261/8% at $54,00/

My advice would be to buy on the dips as long we don't see any bigger reversal sign.




Performed by Petar Jacimovic
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Technical Analysis of ETH/USD for 11 January 2021

Crypto Industry News:
More and more people are now searching for the word "Ethereum" than ever before in its history.

Google Trends reveals that the number of current Google searches for "Ethereum" is at its highest ever, eclipsing interest in the peak of the recent ETH bull run. The previous peak in popularity of the Ethereum search term was January 13, 2018 - this was the highest-level date in ETH history, $ 1,432.88.

Considered a "people's indicator", the growing Google Analytics interest score for a crypto search term is associated with a positive attitude towards a particular coin / project. While it makes sense that interest in Ethereum searches will peak in the run-up to a new all-time record, the same cannot be said for 'Bitcoin' searches, which remain at 65% of their highest popularity as of December 23, 2017. That said, far more people are searching for "Bitcoin" than "Ethereum" at a ratio of around 5: 1.

The rise in popularity of various crypto phrases has the potential to trigger a self-perpetuating bull run, where curious traders make purchases, driving the price up, thereby generating more interest, resulting in more searches.

Google Trends also provides data corresponding to relative interest by region. Currently, the countries with the greatest interest in "Ethereum" as a search term are Kosovo, North Macedonia, Slovenia, Nigeria and China.


Technical Market Outlook:
The ETH/USD pair might have finally start the corrective cycle. After the yearly top was made at the level of $1,348, the pair reversed sharply and dropped towards the level of $1,000 breaking all the technical support levels along the way. Currently, ETH/USD trades below $1,050 and keeps going lower. The next target for bears is seen at the level of $1,000 and $9,76. Please notice, the momentum is below the fifty level already, so the bears are in full-control of the market, at least for now. The larger time frame trend remains up.

Weekly Pivot Points:
WR3 - $1,598
WR2 - $1,630
WR1 - $1,500

Weekly Pivot - 1,188
WS1 - $1,038
WS2 - $720
WS3 - $563


Trading Recommendations:
The up trend on the Ethereum continues and the next long term target for ETH/USD is seen at the level of $1,420, so any correction or local pull-back should be used to open the buy orders. Please notice, the up trend starting to go vertical, so the volatility will be higher than average. The bullish scenario is valid as long as the level of $830 is broken.

Attachment 4048


Attachment 4047
Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Technical Analysis of BTC/USD for 11 January 2021

Crypto Industry News:
One of the richest people in the world, Elon Musk, responded to Ben Mezrich's tweet. The author of the best-selling book Bitcoin Billionaires wrote that he will never again refuse to receive remuneration in bitcoin.

Mezrich did not disclose under what circumstances, if ever, he had the opportunity to be paid in cryptocurrency. Elon Musk replied to this tweet by expressing his full support for the issue.

Musk's tweets are famous for their vagueness, whether he's tweeting about overpriced TSLA, Dogecoin or SpaceX shares. Ten days after 2020, Musk tweeted that "Bitcoin is not my safe word."

Exactly ten days before the end of 2020, Musk seemed to be playing with the subject again, stating the opposite. Immediately after this tweet, the price of BTC increased by almost $ 200. Twenty minutes later, the author commented on his tweet, stating: "Just kidding, who needs the safe word at all !?"

Michael Saylor, whose MicroStrategy bought billions of dollars worth of bitcoins in 2020, recently suggested that it would be in the interest of Tesla shareholders if Elon Musk did the same.


Technical Market Outlook:
The BTC/USD pair might have finally start the corrective cycle. After the yearly top was made at the level of $41,905, the pair first traded sideways for some time and then the sell-off has started. Currently, BTC/USD trades below $33,000 and keeps going lower. The next target for bears is seen at the level of $30,000. Please notice, that any break below the long term trend line support located around the level of $29,000 will be the first confirmation the up trend is terminated.

Weekly Pivot Points:
WR3 - $57,405
WR2 - $50,005
WR1 - $44,297

Weekly Pivot - 36,611
WS1 - $31,317
WS2 - $23,111
WS3 - $17,774


Trading Recommendations:
Bitcoin made another ATH and bulls are in control of the market. The up trend continues and the next long term target for Bitcoin is seen at the level of $50,000, so any correction or local pull-back should be used to open the buy orders. This scenario is valid as long as the level of $20,000 is clearly broken.

Attachment 4046



Attachment 4047
Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

BTC analysis for January 11,.2021 - Potetnial for the another downside swing towards $28.000

Further Development



Analyzing the current trading chart of BTC, I found that sellers are in control today and that there is potential for the further downside movement.after the rally...

My advice is to watch for selling opportunities on the rallies with the potential targets at $30,365 and $28,100.

Stochastic oscillator is showing potential bull cross, which is sign for the up cycle.


Key Levels:

Resistance levels: $36,000

Support level: $30,700




Performed by Petar Jacimovic
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Technical Analysis of ETH/USD for 12 January 2021

Crypto Industry News:
The Intercontinental Exchange, owner of the New York Stock Exchange and the institutional cryptocurrency exchange Bakkt, has announced an agreement that will result in its cryptocurrency arm being listed on exchanges.

As reported by the financial media, Bakkt is about to merge with VPC Impact Acquisition Holdings by trading under the VIH banner. VPC is a so-called "special purpose vehicle" or SPAC. It is a front company with the sole purpose of buying or merging with another company and allowing it to be listed on exchanges without going through the lengthy and costly IPO process.

Bakkt is expected to be valued at $ 2.1 billion after the merger. The stock exchange will also raise an additional $ 532 million to support the development of the Bakkt App, retail wallet app and rewards app.

A Bakkt spokesman said the merger is expected to end in the second quarter of 2021. The combined company will be renamed Bakkt Holdings, Inc. and will be listed on the NYSE. The rep also said Bakkt is now focused on delivering the app in March. Rumors about the takeover appeared in early January. Bakkt saw a volume increase this year, posting several more records.


Technical Market Outlook:
The ETH/USD pair has bounced from the level of $922 made during the recent sell-off when the Pin Bar candlestick was made. The market trades now around the level of $1,135, which is a 50% Fibonacci retracement level of the last wave down. The next target for bulls is seen at the level of $1,185, where the 61% Fibonacci retracement is located. Nevertheless, to resume the up trend, the bulls have to break through the short-term trend line resistance around the level of $1,2000. The momentum remains neutral. The larger time frame trend remains up.

Weekly Pivot Points:
WR3 - $1,598
WR2 - $1,630
WR1 - $1,500

Weekly Pivot - 1,188
WS1 - $1,038
WS2 - $720
WS3 - $563


Trading Recommendations:
The up trend on the Ethereum continues and the next long term target for ETH/USD is seen at the level of $1,420, so any correction or local pull-back should be used to open the buy orders. Please notice, the up trend starting to go vertical, so the volatility will be higher than average. The bullish scenario is valid as long as the level of $830 is broken.





Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2021

[IFX_Selena]

Technical Analysis of BTC/USD for 12 January 2021

Crypto Industry News:
The 2017 Altsseason was just an addition to the bitcoin bull race. As the BTC price rose to the new ATH, investors' exposure to altcoins also increased. This meant there wasn't much independence in the altcoin price rallies. Besides, after the short-term BTC peaks, there were increases in altcoins as investments flowed in and out faster and faster, including in altcoins. This seems to have changed for good in 2021.

Ethereum was the leader of the current altcoin gains mainly thanks to the introduction of ETH 2.0 and the price increase to $ 1,300. Most of the top ten altcoins, based on data from CoinMarketCap, recorded double-digit gains. Cryptocurrencies such as Stellar Lumens and Cardano posted double-digit gains, largely independent of bitcoin's rising prices.

In the last two quarters of 2020, the correlation of altcoins with bitcoin decreased, but most of the time the price increase continued. So it may seem that the current alt season is different from all we have seen so far.

In this season, we observed large price movements in the context of DeFi projects, with a high investment flow of 30.17 thousand. BTC. Bitcoin's dominance has risen to 68% and it is likely that it could rise to 70% or more in the future. The growing BTC dominance poses a threat to the flow of altcoin investments, and before that happens, the alt season could suddenly stop. The correlation of the best altcoins with bitcoin has decreased since the BTC price rose.


Technical Market Outlook:
The BTC/USD pair has made a new local low at the level of $30,567 after a 27% drop during the last couple of days. Nevertheless, the bulls have managed to retrace 50% of this wave down and currently the market is trading around the level of $36,241. The next target for bulls is seen at the level of 61% located at $37,577. Please notice, that any break below the long term trend line support located around the level of $29,000 will be the first confirmation the up trend is terminated.

Weekly Pivot Points:
WR3 - $57,405
WR2 - $50,005
WR1 - $44,297

Weekly Pivot - 36,611
WS1 - $31,317
WS2 - $23,111
WS3 - $17,774


Trading Recommendations:
Bitcoin made another ATH and bulls are in control of the market. The up trend continues and the next long term target for Bitcoin is seen at the level of $50,000, so any correction or local pull-back should be used to open the buy orders. This scenario is valid as long as the level of $20,000 is clearly broken.





Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2021