Cryptocurrency Analysis

[IFX_Selena]

Technical Analysis of ETH/USD for 02 October 2019

Crypto Industry News:
Testnet network Ethereum under the name Istanbul (which operates under the Ropsten testnet) was launched on September 30. Considering the existing problems related to the dates of the planned hard forks, this can be considered a great success. The whole was able to run even two days before the earlier announced date, which fell on October 2.

Unfortunately, after the activation of Ropsten an unplanned fork occurred. So now two chains are working.

The issue of the community centered around the Vitalik Buterin platform was explained by the community manager at the Ethereum Hudson Jameson Foundation. In his tweet from yesterday, he described what happened. Today, some miners are still mining the old version of Ropsten. Another copy of its new, updated version. The programmer, however, calms down. The problem is to be solved. Information should not worry investors: they are testnets, so that such errors come out during their duration.

Jameson also explains what exactly happened. The genesis of the problem is the nature of blockchains based on the proof-of-work algorithm, including Ethereum. The miners in them must independently update the software to be able to dig as part of a new chain. This time some of them did not and the result was an unplanned division.


Technical Market Overview:
The ETH/USD pair has made a new local high at the level of $185.05, but so far couldn't make it to the 50% of Fibonacci retracement located at the level of $187.37. The supply zone located between the levels of $172.82 - $176.66 has been clearly broken, the momentum is now increasing significantly, so there is a chance for the bulls to hit the level of 50% of even the 61% shortly if the trendline dynamic support around the level of $172.82 will provide the bounce. In the case of a trendline violation, the nearest technical support is located at the level of $163.98.

Weekly Pivot Points:
WR3 - $256.80
WR2 - $233.68
WR1 - $197.61

Weekly Pivot - $174.45
WS1 - $137.03
WS2 - $112.52
WS3 - $77.73


Trading Recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is still up. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend. When the wave 2 corrective cycles are completed, the market might will ready for another impulsive wave up of a higher degree and uptrend continuation.







Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2019

[IFX_Selena]

BTC. Sellers in control, watch for selling opportunities

BTC is trading lower exactly what I expected yesterday.My analysis from yesterday is still active and I still expect more downside in the future and potential test of $7,730.



Red rectangle – Important resistance levels

Green rectangle – Important support and objective

Purple falling line – Expected path

I found broken bearish flag in the background based on the 1H time-frame and I do expect more downside yet to come. My advice is to watch for selling opportunities due to rejection of the important resistance level at $8,500 and the broken bearish flag most recently. The downward target is set at the price of $7,730.




Performed by Petar Jacimovic
Analytical expert
InstaForex Group © 2007-2019

[IFX_Selena]

Technical Analysis of BTC/USD for 03 October 2019

Crypto Industry News:
One of the main providers of payment services in cryptocurrencies, BitPay, has been subjected to a check on compliance with the principles of security and confidentiality, Service Service Control 2 (SOC 2).

According to the published press release, Aprio consulting company confirmed the compliance of BitPay with SOC 2 - it is a technological audit and a requirement for technology companies that ensures that clients' personal data is secure and confidential.

Passing the SOC 2 audit means that the company has met the criteria set by the American Institute of Certified Public Accountants in terms of confidentiality, security, privacy, processing integrity and availability. Commenting on the assessment, Dan Schroeder, the partner responsible for information control services at Aprio, said:

"After careful analysis, we confirmed that the design and use of the BitPay payment system meet the standards set out in SOC 2 in the field of customer data protection. SOC 2 reporting is a standard of best industry practices that assesses the company's control on issues such as transaction security and other confidential customer data ".

In mid-August, BitPay introduced new security measures on its platform, where users must undergo a one-time verification process that requires entering data such as a social security number or passport number, as well as photo ID. These measures have met with some skepticism, given the resistance that many members of the cryptocurrency community have to locate their personal data in centralized files.


Technical Market Overview:
The BTC/USD pair has failed to rally above the level of $8,474, which is a technical resistance for the price. The bears has pushed the price back to the range zone and the technical support at the level of $8,102 has been tested again. There is still a chance for the wave (C) terminated already, but if the bears will keep making pressure on bulls then the price might reverse and target the level of $7,419. The upward momentum is decreasing, so are the chances for another leg higher, which is why it is worth to keep an eye on the current situation on Bitcoin.

Weekly Pivot Points:
WR3 - $11,446
WR2 - $10,627
WR1 - $9,093

Weekly Pivot - $8,403
WS1 - $6,727
WS2 - $6,011
WS3 - $4,444


Trading Recommendations:
Due to the short-term impulsive scenario invalidation, the best strategy in the current market conditions is to trade with the larger timeframe trend, which is still up. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend. When the wave 2 corrective cycles are completed, the market might will ready for another impulsive wave up of a higher degree and uptrend continuation.







Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2019

[IFX_Selena]

Technical Analysis of ETH/USD for 03 October 2019

Crypto Industry News:
An interesting phenomenon has emerged over the past few months: Ethereum blockchain began to gain popularity, even when the ETH price dropped. At the same time, volume as well as overall network activity have improved considerably. In addition, transaction fees at Ethereum recorded a decrease of about 50% compared to the maximum values recorded last week.

The attention of crypto enthusiasts was caught when the transaction fees paid by Ethereum users last month exceeded those of Bitcoin users. From September 22, the average ETH transfer cost between $ 0.045 to $ 0.064, while the Bitcoin confirmation fee was just $ 0.03.

Last week, Ethereum had to pay tens of cents on average. A huge number of transfers followed, and the cost of using the network increased significantly. The reason could be a FairWin scam, but it is now known that FairWin has fallen. Along with this, there was a significant decline in Ethereum network activity as well as a decrease in transaction fees: fees paid by Ethereum users dropped from 1627 ETH in the peak of last week to 500 ETH yesterday.


Technical Market Overview:
The ETH/USD pair has bounced from the technical support located at the level of $172.82 and still trades above the short-term trendline support. Nevertheless, the momentum is clearly decreasing and there is no new local high made yet, so the bears might counter-attack any time now. In the case of a spike down, the nearest technical support is located at the level of $163.98 - $162.50. Please notice, that so far the move upward does not look like an impulsive wave, but more like a kind of a Zig-Zag pattern, which is corrective pattern.

Weekly Pivot Points:
WR3 - $256.80
WR2 - $233.68
WR1 - $197.61

Weekly Pivot - $174.45
WS1 - $137.03
WS2 - $112.52
WS3 - $77.73


Trading Recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is still up. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend. When the wave 2 corrective cycles are completed, the market might will ready for another impulsive wave up of a higher degree and uptrend continuation.






Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2019

[IFX_Selena]

BTC. Downward trending channel in control

GBPP has been trading upwards, exactly what I expected yesterday. My second upward target has been met at the price of $1.501. My advice is to exit your long entries due to resistance on the test and watch for potential sell scalp with potential target at $1,487.



Yellow rectangle – Important resistance levels

Blue rectangle – Support

I found important resistance at the price of $1,500 on the test and I do expect at least downward correction. Support level is found at $1,487 (recent swing highs). MACD oscillator is showing decreasing on the upside momentum, which is sign that buying looks risky.My advice is just to take profits from yesterday and eventually try sell scalp and target potential test of $1,487.





Performed by Petar Jacimovic
Analytical expert
InstaForex Group © 2007-2019

[IFX_Selena]

Technical Analysis of BTC/USD for 04 October 2019

Crypto Industry News:
Patrick Harker, president of the Federal Reserve Bank of Philadelphia, said central bank digital currencies are inevitable. The financier, however, believes that the United States should not lead the way, given the role of the dollar as a global reserve currency:

"It's inevitable ... I think it's better for us to start doing it," he said.

Harker spoke in response to a question about the Federal Reserve's decision to create its own instant payments system - known as FedNow - announced in early August.

"I'm looking at the next five years after that. What's next? I think it's something around the digital currency," he says.

As the financial media recently reported, banks in the Federal Advisory Council have informed the Federal Reserve that the Libra cryptographic project will potentially create a "parallel banking" system - risking a potential decrease in the number of demand deposit accounts and the size of bank payments.


Technical Market Overview:
Another lower low was made after the BTC/USD pair has failed to rally above the level of $8,474, which is a technical resistance for the price. The bears have pushed the price back to the new lows and the technical support at the level of $7,935 has been tested again. There is still a chance for the wave (C) terminated already, but if the bears will keep making pressure on bulls then the price might reverse and target the level of $7,419. The upward momentum is decreasing, so are the chances for another leg higher, which is why it is worth to keep an eye on the current situation on Bitcoin.

Weekly Pivot Points:
WR3 - $11,446
WR2 - $10,627
WR1 - $9,093

Weekly Pivot - $8,403
WS1 - $6,727
WS2 - $6,011
WS3 - $4,444


Trading Recommendations:
Due to the short-term impulsive scenario invalidation, the best strategy in the current market conditions is to trade with the larger timeframe trend, which is still up. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend. When the wave 2 corrective cycles are completed, the market might will ready for another impulsive wave up of a higher degree and uptrend continuation.






Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2019

[IFX_Selena]

Technical Analysis of ETH/USD for 04 October 2019

Crypto Industry News:
Mark Branson, head of the Swiss financial regulator FINMA, said he was more worried about the dark corners of cryptocurrency than Facebook's stablecoin Libra.

Reuters reported that Bronson is more distrustful of cryptographic projects that are developing outside official control than the Libra project, which he believes is "transparent."

"I'm more worried about projects that develop somewhere in a dark corner of the financial system, spread to cyberspace and one day become too big to stop" - he added.

Branson explained that Libra will be subject to the same strict rules that apply to banks, in addition to strict anti-money laundering rules, and that Switzerland will do nothing to block the project by adding:

"We are not here to prevent such projects. We will respond to them with an open mind, with the attitude that the same risk requires the same principles. Our principles and standards are not negotiable."


Technical Market Overview:
The ETH/USD pair has broken below the short-term trendline support located around the level of $175.00. Moreover, all of the technical supports located close to this level has been violated as well and the market made a new local low at the level of $168.57. In the case of another spike down, the nearest technical support is located at the level of $163.98 - $162.50. Please notice, that so far the move upward does not look like an impulsive wave, but more like a kind of a Zig-Zag pattern, which is corrective pattern.

Weekly Pivot Points:
WR3 - $256.80
WR2 - $233.68
WR1 - $197.61

Weekly Pivot - $174.45
WS1 - $137.03
WS2 - $112.52
WS3 - $77.73


Trading Recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is still up. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend. When the wave 2 corrective cycles are completed, the market might will ready for another impulsive wave up of a higher degree and uptrend continuation.






Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2019

[IFX_Selena]

Technical Analysis of BTC/USD for 07 October 2019

Crypto Industry News:
Apple is not going to follow Facebook in creating its own digital currency, said company president Tim Cook in an interview with the press. He negatively expressed the idea that Apple could issue its own currency tokens.

"I really think that the currency should remain in the hands of the state. I do not like the idea that a private entity can create a modern currency," - he said.

His comments have a distinctly different tone than Facebook, which is developing its digital currency Libra, as well as competitors.

In the area of payments, Apple aims to participate in the market with players such as Visa, Mastercard and PayPal via Apple Pay. All three companies have signed up to participate in Libra, despite information disclosed this week that they may all be considering a 180-degree return on this issue.

Those who support decentralized cryptocurrencies like Bitcoin criticize the way countries and central banks corrupt the money supply and support of fiat currency. For Cook, however, they are the right guardians of economic tools.

"Currency, like defense, should remain in the hands of states - it is at the heart of their mission. We select our representatives to assume the responsibilities of the government. Companies are not elected - they should not enter this space," said Cook.


Technical Market Overview:
The BTC/USD pair is again close to the key technical support located at the level of $7,676. The last bounce was rather shallow, with a top located at the level of $8,474, so the bulls did not manage to get to the higher technical resistance located at $9,048. The bottom of the wave (A) at the level of $7,676 is then in the center of attention of bears after the weekend and if violated, then the next technical support is located at $7,405. The increasing downside momentum supports the short-term bearish outlook.

Weekly Pivot Points:
WR3 - $9,064
WR2 - $8,729
WR1 - $8,221

Weekly Pivot - $7,955
WS1 - $7,433
WS2 - $7,138
WS3 - $6,572


Trading recommendations:
Due to the short-term impulsive scenario invalidation, the best strategy in the current market conditions is to trade with the larger timeframe trend, which is still up. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend. When the wave 2 corrective cycles are completed, the market might will ready for another impulsive wave up of a higher degree and uptrend continuation.






Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2019

[IFX_Selena]

Technical Analysis of ETH/USD for 07 October 2019

Crypto Industry News:
The United States Financial Services Committee has invited Facebook COO, Sheryl Sandberg, to respond to the company's plans for stablecoin Libra. According to the media report, one key condition has an invitation: the consent of CEO Mark Zuckerberg to appear before the committee before January 2020.

The committee, chaired by Representative Maxine Waters, recently announced its plans to prioritize the examination of Facebook's proposal for Libra and its Calibra digital portfolio as part of the autumn 2019 program.

According to press sources, Sandberg will be asked about Libra as well as Facebook's advertising policies. The social media titan reached a $ 5 million settlement in March with civil rights groups because of allegations that its advertising had facilitated discriminatory practices in the housing market.

If the testimony came to pass, Sandberg would be Facebook's second director to testify before the Libra Committee. In mid-July, Calibra CEO David Marcus testified in matters such as anti-money laundering and other compliance measures, as well as public and government confidence in the company's oversight and data collection measures.

As reported by the media dealing with cryptographic issues, Rep. Maxine Waters has proved to be one of the more skeptical legislators in the US in Libra, expressing her concern that the technology giant "has shown that it does not keep consumer data confidential on a similar scale to Equifax" and "allowed malicious Russian state entities to buy and target "to" allegedly influence the presidential election in the US in 2016. In mid-June, she asked Facebook to stop working on Libra, citing "the company's troubled past."

This week, leaks from two internal Q&A sessions between Zuckerberg and Facebook staff in July 2019 revealed an early CEO strategy to launch Libra. During the session, the CEO confirmed that the project encountered "real problems. Finance is a very tightly regulated space [...] preventing money laundering, terrorist financing and people with whom you cannot do business according to various governments. "


Technical Market Overview:
The ETH/USD pair has managed to retrace almost 50% of the previous wave down and made a local top at the level of $185.05, less than two dollars away from the retracement. After this wave up, the market made another local wave down that is clearly corrective in the structure. The recent low was made at the level of $166.08, just above the local technical support located at the level of $163.98 - $162.50. Any violation of this support will open the road towards the key technical support located at the level of $151.30.

Weekly Pivot Points:
WR3 - $200.05
WR2 - $192.33
WR1 - $180.15

Weekly Pivot - $172.02
WS1 - $159.46
WS2 - $151.65
WS3 - $138.64


Trading recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is still up. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend. When the wave 2 corrective cycles are completed, the market might will ready for another impulsive wave up of a higher degree and uptrend continuation.






Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2019

[IFX_Selena]

BTC. Downwrad target reached, new sell zone at $8,200.
07 October 2019

BTC is trading lower exactly what I expected last week. The BTC has reached our main downward target at $7,750. I found strong rejection of the support at $7.750 and most recently there is test of the resistance at $8,210, which is sign that buying looks risky.



Red rectangle – Important resistance levels

Green rectangle – Important support and objective

Purple falling line – Expected path

Bitcoin is still trading in the consolidation phase and most recently there is the test of the key short-term resistance at the price of $8,210. I do expect potential pullback to at least $8,053, which might be an intraday scalp play. Watch for potential selling opportunities on the rallies as long as the resistance at the price of $8,210 is holding.




Performed by Petar Jacimovic
Analytical expert
InstaForex Group © 2007-2019