Cryptocurrency Analysis

[IFX_Selena]

Technical Analysis of BTC/USD for 11 December 2019

Crypto Industry News:
The degree of adaptation of Blockchain technology in China continues to amaze, given that the Bank of China has reportedly issued $ 2.8 billion in special Blockchain-based financial bonds for small and micro-enterprises.

According to the publication of the local Sina Finance information point, the funds are specifically used to provide loans to Chinese small and micro enterprises to support their further development in the economy.

By the end of September, Bank of China had spent around $ 57.7 billion on 410,000 small and micro-business customers, a 35% increase over the previous year. By comparison, micro-enterprises generally have less than 10 employees, while small businesses have up to 50 employees.

The news comes as the Chinese government attaches increasing importance to the digital economy. At the beginning of December, Forkast Insights, the research arm of the Asian company Forkast, thoroughly and comprehensively looked at the integration of Blockchain technology in China.

The report indicates that Blockchain technology is rapidly developing in China and has a multitude of "practical real-world use cases that go far beyond the experimental stage." In November, reports appeared that the development of the Chinese Blockchain sector would bring a total annual growth rate of 65.7% from 2018 to 2023. And that the technology would exceed $ 2 billion by the end of 2023.


Technical Market Overview:
The BTC/USD pair is still under pressure from the bears as it has been trading in a narrow range located between the levels of $7,210 - $7,090. The bears are now back to the level of 50% Fibonacci retracement locatee at $7,133 and are testing it again. The three-wave upwards move on Bitcoin was a counter-trend correction that ended up at the level of $7,809 in form of a Shooting Star candlestick pattern. Since then the bears are trying to take back the control over the market and are pushing the prices towards the next target. The recent sudden spike up was capped at the level of $7,700 again and it was retraced in 100%. Currently, the market participants wait for a clear breakout in either direction and it more looks like the direction to the south.

Weekly Pivot Points:
WR3 - $8,491
WR2 - $8,082
WR1 - $7,829

Weekly Pivot - $7,397
WS1 - $7,107
WS2 - $6,723
WS3 - $6,444


Trading recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is still down. 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 Analaysis of ETH/USD for 11 December 2019

Crypto Industry News:
The Central Bank of France plans to launch a pilot of the Central Bank Digital Currency (CBDC) for financial institutions in 2020. Francois Villeroy de Galhau, President of the Bank of France, announced that the bank will start testing the digital euro project by the end of the first quarter of 2020.

The Bank of France confirmed the messages on Twitter, noting that it was announced at a conference co-organized by two major French financial supervisory authorities, the French prudential resolution authority and Autorite des marches financiers.

According to the publication, the digital euro release will only target private sector entities and will not include retail payments by individuals. Villeroy noticed that the digital currency for retail customers "would be the subject of particular vigilance."

The initiative aims to increase the efficiency of the French financial system while ensuring confidence in the currency. Moreover, the project aims to confirm France's sovereignty over initiatives related to private digital currencies such as Facebook's Libra stablecoin, said Villeroy.

Villeroy's position is in line with earlier statements by French Finance Minister Bruno Le Maire, who argued that regulators cannot allow Libra to be introduced in European territories because of concerns over monetary sovereignty. According to some reports, France fought against Libra along with Germany, Italy, Spain and the Netherlands.

According to the Bank of France tweet, its president emphasized that France should become the first country in the world to release CBDC and provide an exemplary model to other jurisdictions.


Technical Market Overview:
The ETH/USD pair has broken below the short-term trendline support located at the level of $145.00 and made a new local low at the level of $142.81, just below the old 50% Fibonacci retracement. From a wider perspective, the market is still trading inside of a narrow range located between the levels of $151.37 - $142.24 and the market participants are waiting for a breakout from this range. The downside momentum is increasing so the odds are more in favor of a downside breakout.

Weekly Pivot Points:
WR3 - $162.22
WR2 - $157.56
WR1 - $153.69

Weekly Pivot - $148.38
WS1 - $144.67
WS2 - $138.97
WS3 - $135.22


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







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

[IFX_Selena]

BTC 12.11.2019 - Watch for potential drop on the BTC

Bitcoin has been trading in consolidation mode at the price of $7.166. There is chance for the downside movement. Watch for selling opportunities on the rallies with the first target at $6.570.



Slow line on the MACD oscillator turned into bear mode, which is indication for potential downside movement in the next period.

Additionally, there is the breakout of the upward Pitchfork channel in the background, which is another indication that sellers are in control.

Support levels are found at the price of $6.569 and $5.910.

Resistance levels are found at the price of $7.611 and $7.800.




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

[IFX_Selena]

Technical Analysis of ETH/USD for 12 December 2019

Crypto Industry News:
The Nike shoe giant patented shoes - named CryptoKicks - that are tokenized as a non-exchangeable token (NFT) in the Ethereum Blockchain.

The token would be "unlocked" when purchasing the appropriate physical shoe by combining the 10-digit shoe identification code with the owner identification code. The system aims to provide a way to guarantee the authenticity of goods, as described in the patent:

"Potential and current owners [...] can buy and sell digital assets through one or more Blockchain registers operating in a decentralized computer system. [...] the user can buy a new pair of highly sought after shoes from a verified seller who can provide certified documents of their origin. [...] After receiving the shoe box containing the purchased shoes, the user scans the UPC field using the barcode scanning function in the application running on the user's smartphone "- we read in the official description of the token.

Interestingly, Nike also suggests that the creation of tokens may be associated with the sale of footwear, which would also allow verification of footwear shortage in circulation. When footwear is sold, the ownership of the digital token can be transferred along with the physical product. Ownership of these tokens would be managed in a dedicated application, also aimed at increasing brand involvement.


Technical Market Overview:
The ETH/USD pair has broken out from the narrow horizontal zone and due to the increasing pressure from the supply side the market has made a new local low at the level of $138.22. It means the 61% Fibonacci retracement of the last wave up had been broken as well and the next target for bears is seen at the level of $136.98.

Weekly Pivot Points:
WR3 - $162.22
WR2 - $157.56
WR1 - $153.69

Weekly Pivot - $148.38
WS1 - $144.67
WS2 - $138.97
WS3 - $135.22


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






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

[IFX_Selena]

Technical Analysis of BTC/USD for 12 December 2019

Crypto Industry News:
Rostti, the operator of the Russian energy network, is testing the Blockchain solution for payments in the retail sector for electricity.

The system - initiated by Rosseti and developed by the Russian start-up Waves - aims to automate and make transactions between energy producers, suppliers and consumers more transparent, as written on the Waves blog.

Waves point out that the main drivers of the project are the inefficiency, opacity and growing debt that is currently plaguing the domestic industry. The blog quotes government data from the Russian Federation that revealed that total electricity debt as of September 1, 2019, was 1.3 trillion rubles ($ 15.7 billion), of which 800 billion ($ 12.6 billion) were households.

Sensitive points include the absence of consumer payments, the lack of some payments to reach producers, muted or inaccessible data, and inaccurate calculations by intermediaries.

The results of Waves' first successful Blockchain project - covering 400 households in the Kaliningrad and Swierdlowska regions - were first presented at the Moscow Networks Forum earlier this month.

In the next phase of the project, Rosetti will implement the system in both regions and will start at the beginning of next year. Ultimately, the partners envisage introducing the solution throughout the country.


Technical Market Overview:
The BTC/USD pair is still under pressure from the bears, so the horizontal trend had been terminated and the price has made a new local low at the level of $7,014. The three-wave upwards move on Bitcoin was a counter-trend correction that ended up at the level of $7,601 in form of a Pin Bar candlestick pattern. Since then the bears are trying to take back the control over the market and are pushing the prices towards the next target. The recent sudden spike up was capped at the level of $7,234 again and it was retracted in almost 100%, so the next target for bears is seen at the level of $6,973 which is a 61% Fibonacci retracement of the last major wave up.

Weekly Pivot Points:
WR3 - $8,491
WR2 - $8,082
WR1 - $7,829

Weekly Pivot - $7,397
WS1 - $7,107
WS2 - $6,723
WS3 - $6,444


Trading recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is still down. 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.

Attachment 1924



Attachment 1925
Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2019

[IFX_Selena]

BTC 12.12.2019 - End of the upward correction ABC, watch for selling opportunities

Bitcoin has been trading upside in last few hours at the price of $7.167. Anyway, I see that there is potential for end of the intraday upward correction and possible more downside towards the levels at $7.094 and $7.048.



Stochastic oscillator is showing overbought condition based on the 30M time-frame and fresh new bear cross, which is sign that sellers are present and that buying is risky.

Resistance levels are seen at the price of $7.202 and $7.286

Support levels are set at the price of $7.094 and $7.048





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

[IFX_Selena]

Technical Analysis of ETH/USD for 13 December 2019

Crypto Industry News:
According to media reports, ING bank is developing cryptocurrency storage technology.

The digital asset storage service developed by ING is allegedly part of one of several bank initiatives related to Blockchain and is still at an early stage of development. The bank reportedly said that "it sees increasing opportunities for digital assets in both covered assets and native security tokens."

In response to a comment request, ING did not provide detailed information about the project, but said that "it is particularly active by developing the technology behind digital resources to allow its clients consistent access to this emerging ecosystem."

As cryptocurrencies are beginning to increase in value as an asset class, large finance companies are increasingly developing their own technologies and custody services.

The American giant of financial services Fidelity Investments has fully launched the cryptocurrency storage service in mid-October, after one year of preparation and gathering clients.

On December 11, Berlin-based company fintech solarisBank announced the creation of a subsidiary called Solaris Digital Assets to provide a solution for the storage of digital assets. Cryptocurrency exchanges have also developed internal fiduciary services, including the major US Coinbase and Gemini exchanges.

As Rohan Barde, research and innovation manager at Blockchain Zoo earlier wrote, there are two main reasons why institutional investors need fiduciary services that reduce risk and comply with regulations.

By separating the entity holding the assets from the entity managing the assets, financial institutions focus on their specializations. Fiduciary services also reduce the risk of employee embezzlement.


Technical Market Overview:
The ETH/USD pair has bounced from the lower channel line located at the level of $138.22 and is currently trading around the old 50% Fibonacci retracement located at the level of $143.74. It means the 61% Fibonacci retracement of the last wave up had been broken as well and the next target for bears is seen at the level of $136.98. The larger timeframe trend remains bearish.

Weekly Pivot Points:
WR3 - $162.22
WR2 - $157.56
WR1 - $153.69

Weekly Pivot - $148.38
WS1 - $144.67
WS2 - $138.97
WS3 - $135.22


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






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

[IFX_Selena]

Technical Analysis of BTC/USD for 13 December 2019

Crypto Industry News:
A former derivative investor JPMorgan is suing one of the largest cryptocurrency exchanges in the world for $ 300 million after it allegedly failed to provide its capital due.

According to a lawsuit filed with the San Francisco Supreme Court in California, Frank Amato and RGB Coin are currently acting against BitMEX, its CEO Arthur Hayes and the owner of HDR Global Trading.

Amato says he was one of the first seed investors at BitMEX in 2015, depositing $ 30,000 with the understanding that he would later get capital in the company. Amato claims that this has not happened today.

After Amato's initial investment, the stock market allegedly received another $ 30,000 from the SOSV startup accelerator, which would result in a conversion of the capital contracted by Amato. However, the file states that Hayes "tried to hide information" from Amato to "prevent recognition of his equity."

According to unofficial estimates, Amato's share in the company is currently worth $ 50 million. Ultimately, the investor is demanding a gigantic amount of $ 300 million.

"As part of this action, Claimants are seeking compensation corresponding to the value of their equity in BitMEX, whose conservative estimate exceeds $ 50,000,000, along with criminal compensation of $ 250,000,000. Claimants are also seeking damages and other legal remedies, as well as fees and legal expenses "- we read in the lawsuit.


Technical Market Overview:
The BTC/USD pair is still under pressure from the bears, so the horizontal trend had been terminated and the price has made a new local low at the level of $7,014. The three-wave upwards move on Bitcoin was a counter-trend correction that ended up at the level of $7,601 in form of a Pin Bar candlestick pattern. Since then the bears are trying to take back the control over the market and are pushing the prices towards the next target. The recent sudden spike up was capped at the level of $7,234 again and it was retracted in almost 100%, so the next target for bears is seen at the level of $6,973 which is a 61% Fibonacci retracement of the last major wave up.

Weekly Pivot Points:
WR3 - $8,491
WR2 - $8,082
WR1 - $7,829

Weekly Pivot - $7,397
WS1 - $7,107
WS2 - $6,723
WS3 - $6,444


Trading recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is still down. 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 16 December 2019

Crypto Industry News:
The Bottle Pay service, which enabled users to send Bitcoins via social media accounts, announced it would be closed due to anti-money laundering (AML) laws.

Bottle Pay, developed by the British company Block Matrix, enabled Bitcoin payments for any contact on social media, regardless of whether he had an account or not. Just two months ago, the company raised $ 2 million in funding to increase its user base ten times over the next year.

However, as registered in the UK as a provider of fiduciary Bitcoin wallets, the company must comply with the EU 5AMLD Regulation, which will enter into force on January 10, 2020. Block Matrix believes that the additional user information required by the new rules "would change the current user experience so radically and so negatively that we don't want to impose this on our community."

New registrations, deposits and bots on social media are now offline. Funds already sent will not be delivered and will be returned to the sender within 7 days. The payout feature will be disabled and all wallets closed at 13:00 GMT on December 31, 2019. All funds remaining in the wallets will be transferred to the Human Rights Foundation.


Technical Market Overview:
The BTC/USD pair is still under pressure from the bears and it keeps trading close to the 61% Fibonacci retracement located at the level of $6,973. There was another Pin Bar candlestick pattern made around the level of $7,133 during the weekend as well. The three-wave upwards move on Bitcoin was a counter-trend correction that ended up at the level of $7,601 in form of a Pin Bar candlestick pattern. Since then the bears are trying to take back the control over the market and are pushing the prices towards the next target which is seen at the level of $6,821.

Weekly Pivot Points:
WR3 - $8,020
WR2 - $7,786
WR1 - $7,335

Weekly Pivot - $7,151
WS1 - $6,714
WS2 - $6,500
WS3 - $6,073


Trading Recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is still down. 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 16 December 2019

Crypto Industry News:
Tom Jessop, president of Fidelity Digital Assets, the American giant Fidelity dealing in cryptocurrency trading, announced that the company could add Ethereum support in 2020 if there is sufficient demand.

During an interview with the media, Jessop answered questions about the company. When asked about the possibility of using Fidelity Digital Asset Ethereum in the future, he said:

"We have done a lot of work on Ethereum. We intend to support him in the New Year. We are strongly guided by our clients."

Jessop also said that the main obstacles to institutional use of cryptocurrencies are price volatility, lack of clarity of regulations, and perhaps above all a lack of achievement. He explained that he believes that these problems will be eased over time.

The Fidelity cryptocurrency trading platform - and custody service - was launched for a selected customer group in March. The platform is not intended for retail investors. Instead, it focuses on hedge funds, family offices, pensions, funds and other institutional investors.


Technical Market Overview:
The ETH/USD is still under pressure from the supply side of the market and is trading close to the recent lows at the level of $138.10. The last spike up has hit the 50% Fibonacci retracement only and then the market returned to the lower price levels again. Moreover, the market is still trading inside of the parallel channel, so there was no significant breakout made during the weekend yet. The nearest technical resistance is located at the level of $143.00.

Weekly Pivot Points:
WR3 - $160.13
WR2 - $155.12
WR1 - $147.83

Weekly Pivot - $142.21
WS1 - $135.13
WS2 - $130.72
WS3 - $123.35


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







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