Cryptocurrency Analysis

[IFX_Selena]

Technical Analysis of BTC/USD for 07 April 2020

Crypto Industry News:
An ongoing coronavirus pandemic accelerates the development of the Central Bank Digital Currency (CBDC). In a published tweet, Deutsche Bank cites that the risk of coronavirus spreading will further motivate authorities to consider digital alternatives.

According to earlier reports, China has quarantined its banknotes in an attempt to stop the spread of the coronavirus. Research published in 2008 showed that the influenza virus was able to survive on banknotes for up to 17 days.

Governments are increasingly perceiving cash handling as a potential infection risk factor. This will probably become an additional reason why you should aim for digital currencies. Another Deutsche Bank tweet quotes her saying:

"The pathogen requires adequate solutions every hundred years. The obvious place to start is to accelerate the inevitable transition to digital cash."

Interestingly, the experts' comments contradict studies published by Deutsche Bank at the end of January. According to the report, cash will remain in circulation for a long time, despite a decline as a payment method and will not be replaced in the near future by digital currencies.


Technical Market Outlook:
The BTC/USD pair has made another higher high at the level of $7,390 after the breakout from the consolidation zone. Nevertheless, the rally has failed to continue and market has made a Bearish Engulfing candlestick pattern after the level of $7,390 was hit. If the bearish pressure will intensify again, then the price might move even lower towards the technical support located at $6,908 or even towards the level of $6,586.

Weekly Pivot Points:
WR3 - $8,726
WR2 - $7,938
WR1 - $7,363

Weekly Pivot - $6,545
WS1 - $5,997
WS2 - $5,159
WS3 - $4,567


Trading Recommendations:
The fear of the coronavirus consequences is very strong among the global investors and it rules on the financial markets. So far the global investors are not so keen to invest in Bitcoin and treat BTC as a digital gold. The larger time frame trend remains down and as long as the level of $10,791 is not violated, all rallies will be treated as a counter-trend corrective moves. This is why the short positions are now more preferred.







Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2020

[IFX_Selena]

Technical Analysis of ETH/USD for 07 April 2020

Crypto Industry News:
Bank of Revolut said that all standard users will now be able to buy and sell cryptocurrencies supported in its banking application, although this will not apply to US residents for now.

Revolut planned to expand its cryptographic offer later this year. In an email to users, the bank's cryptography chief, Edward Cooper, said that growing concerns about the potential effects of the central bank's quantitative easing and currency devaluation have accelerated adoption.

Revolut - which raised $ 500 million in D series earlier this year - has enabled users to buy cryptocurrencies directly from the app since they added Bitcoin support in 2017. Although users can trade digital assets with other Revolut users, they cannot remove them from the app.

Revolut services were extended to the United States at the end of March. The bank said that new US customers will only have access to its basic functions. Additional services, such as the cryptocurrency buying service, will be added later.


Technical Market Outlook:
The ETH/USD pair has made a new local high at the level of $175.00 in the time of writing the analysis. Nevertheless, the bulls are still trying to make use of the momentum behind this move up and move higher towards the level of $176.78, which is a technical resistance for the price. On the other hand, if the bulls fail here, then the next technical support is seen at the level of $156.24 - $153.46. Please notice the increasing momentum on ETH/USD on H4 time frame chart during the last move up.

Weekly Pivot Points:
WR3 - $180.45
WR2 - $163.97
WR1 - $154.32

Weekly Pivot - $137.76
WS1 - $127.39
WS2 - $112.43
WS3 - $101.19


Trading Recommendations:
The fear of the coronavirus consequences is very strong among the global investors and it rules on the financial markets. So far the global investors are not so keen to invest in cryptocurrency, because they are being perceived as risky assets. The larger time frame trend on Ethereum remains down and as long as the level of $214.67 is not violated, all rallies will be treated as a counter-trend corrective moves. This is why the short positions are now more preferred.







Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2020

[IFX_Selena]

BTC analysis for 04.06.2020 - Important pivot resistance at the price of $7.245 on the test, watch for potential downside rotation

News:


Since the price of bitcoin plunged to historic lows last month, the bitcoin network's hash rate has also been on a constant decline. Nearly 2.3 million S9 miners were wiped out in China recently as it became hard for miners to make profits. Network's hash rate indicates how secure and strong the blockchain network is.

Bitcoin's hashrate dropped from 133.29 EH/S, the highest since the start of 2020, to 108.16 on 12th March, when the price of the leading cryptocurrency plunged below $4,000. Since then, the hashrate has been continuously falling as miners face tough times to continue their operations. On 4th April, hashrate was at 96.9888EH/S, an increase in hashrate must be accompanied by an increase in the price of bitcoin for miners to maintain healthy profit margins.


Technical analysis:
BTC has been trading upwards. The price is at the very critical pivot level at $7.245. This is decision level for BTC and you should watch carefully this level.I do expect potential downside rotation and rejection towards the level at the price of $5.827. Watch for selling opportunities.

Only if you see the breakout of the $7.245, watch for possible rise towards the $7.691.

MACD oscillator is showing neutral stance and no imbalance in momentum.

Resistance level is set at $7.245

Support levels are set at the price of $6.600 and $5.827.






Performed by Petar Jacimovic
Analytical expert
InstaForex Group © 2007-2020

[IFX_Selena]

Technical Analysis of BTC/USD for 06 April 2020

Crypto Industry News:
According to the Adoption of Digital Asset Trading report, about 100 cryptocurrency trading systems have been launched for institutional clients. Senior executives believe that large companies would be interested in taking advantage of the recent cryptographic crisis, in particular Bitcoin

The electronic currency trading companies that took part in the study are aware of the growing interest in Bitcoin derivatives. About 57% of traditional trading companies traded Bitcoin and 29% traded another cryptocurrency, Ethereum.

Based on the survey, it was determined that XRP, despite being the eighth most popular digital asset, was XRP / USD ranked 5th in the ranking of institutional companies.

According to the respondents, the biggest problems are security gaps in exchanges and fear of burglary. Another negative issue is fear of losing reputation, which is why many commercial institutions do not want to offer digital assets.

Despite these concerns, 97% of traditional trading companies are considering trading in digital assets over the next two years, according to a survey.


Technical Market Outlook:
During the weekend the BTC/USD pair has been trading inside of a local consolidation zone located between the levels of $6,568 - $6,989. On early Monday morning the bulls are in control of the price and are trying to test the level of $6,989 and might even push the prices higher. Nevertheless, the last rally has failed to continue and market has made a red Pin Bar candlestick pattern after the breakout. The rally was short-lived and currently the Bitcoin price has returned to the main channel area and is again trading below the red zone. If the bearish pressure will intensify again, then the price might move even lower towards the technical support located at $6,568 or even towards the level of $6,271.

Weekly Pivot Points:
WR3 - $8,726
WR2 - $7,938
WR1 - $7,363

Weekly Pivot - $6,545
WS1 - $5,997
WS2 - $5,159
WS3 - $4,567


Trading Recommendations:
The fear of the coronavirus consequences is very strong among the global investors and it rules on the financial markets. So far the global investors are not so keen to invest in Bitcoin and treat BTC as a digital gold. The larger time frame trend remains down and as long as the level of $10,791 is not violated, all rallies will be treated as a counter-trend corrective moves. This is why the short positions are now more preferred.






Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2020

[IFX_Selena]

Technical Analysis of ETH/USD for 06 April 2020

Crypto Industry News:
According to Union Bank CEO Edwin Bautista, the COVID-19 pandemic will lead to the end of cash and accelerate the adoption of digital banking services, including central bank cryptocurrency,.

In a television interview, the head of UnionBank, the ninth largest bank in the Philippines, said it could be the beginning of the end of physical cash, at least for the Philippines, a country whose preventive measures against the spread of the virus are difficult for people living on over 2,000 islands.

It is also difficult for the central bank of the country, which must improve its ability to deliver banknotes to banks and ATMs scattered around the islands. The most reasonable option is to focus on the digitization of the financial system to the extent that people can use digital money for everyday needs.

Bautista predicts that eventually banks will have to test and spend digital cash, and maybe even cryptocurrency. He is proud that UnionBank is already one of the most digitally advanced banks in the region. The bank introduced several external command and control systems for its digital system and asked some employees to work from home. That is why 95% of the bank's branches are currently open, despite the fact that 75% of employees work remotely.

Last month, UnionBank opened 7,000 new accounts that are fully digital, while 20,000 customers downloaded the bank's digital application within a month. Last week, members of the company's management board had their first fully digital meeting.


Technical Market Outlook:
The ETH/USD pair has made a new local high after a breakout through the weekend consolidation zone has been made. The new high was made at the level of $148.63 in the time of writing the article. Nevertheless, the Ethereum is still trading below the level of $149.52 and the bulls are still trying to make use of the momentum behind this move up and move higher towards the level of $153.44, which is a technical resistance for the price. On the other hand, if the bulls fail here, then the next technical support is seen at the level of $132.21 - $130.87. Please notice the decreasing momentum on ETH/USD on H4 time frame chart during the last move up.

Weekly Pivot Points:
WR3 - $180.45
WR2 - $163.97
WR1 - $154.32

Weekly Pivot - $137.76
WS1 - $127.39
WS2 - $112.43
WS3 - $101.19


Trading Recommendations:
The fear of the coronavirus consequences is very strong among the global investors and it rules on the financial markets. So far the global investors are not so keen to invest in cryptocurrency, because they are being perceived as risky assets. The larger time frame trend on Ethereum remains down and as long as the level of $214.67 is not violated, all rallies will be treated as a counter-trend corrective moves. This is why the short positions are now more preferred.






Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2020

[IFX_Selena]

Technical Analysis of ETH/USD for 03 April 2020

Crypto Industry News:
Vitalik Buterin - co-creator of Ethereum - got involved in a Twitter discussion with the Bitcoin developer yesterday.

"Digital gold was, is and will be a bitcoin narrative," one user wrote on Twitter, which caused a stormy discussion. Buterin emphasized that the oldest cryptocurrency was originally to act as digital cash, not gold. He also added that he joined the BTC community in 2011, and yet he remembers that even then the atmosphere around this cryptocurrency was completely different. Bitcoin was originally an electronic peer-to-peer cash, only later it became gold. As proof of this statement, Buterin attached the BTC White Paper, because even in its title it was clearly emphasized. It is no surprise, therefore, that he supports this original version.

Although fees in the Bitcoin network may seem relatively high to some, others accept this state of affairs. Vitalik Buterin himself wrote that this is a controversial matter. He added, however, that users do not have to use BTC, if they do not like it, they can always use a different block chain.

The nickname of digital gold, which was given to Bitcoin, deviates from the original concept. In this case, this cryptocurrency begins to be perceived more as a speculative object, not money, but no matter what role BTC currently plays, its initial assumptions were undoubtedly associated with P2P transactions, not value storage. This is difficult to deny.


Technical Market Outlook:
The ETH/USD pair has made a new local high after a breakout through the level of $142.77 has been made. The new high was made at the level of $149.52, but the candlestick pattern of a Pin Bas has been made during this move, so the price wend back down below the level of $142.77 again. The Ethereum is still trading below this level and the bulls are still trying to make use of the momentum behind this move up and move higher towards the level of $153.44 which is a technical resistance for the price. On the other hand, if the bulls fail here, then the next technical support is seen at the level of $132.21 - $130.87.

Weekly Pivot Points:
WR3 - $161.35
WR2 - $151.83
WR1 - $136.71

Weekly Pivot - $127.64
WS1 - $112.54
WS2 - $102.86
WS3 - $88.46


Trading Recommendations:
The fear of the coronavirus consequences is very strong among the global investors and it rules on the financial markets. So far the global investors are not so keen to invest in cryptocurrency, because they are being perceived as risky assets. The larger time frame trend on Ethereum remains down and as long as the level of $214.67 is not violated, all rallies will be treated as a counter-trend corrective moves. This is why the short positions are now more preferred.






Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2020

[IFX_Selena]

Technical Analysis of BTC/USD for 03 April 2020

Crypto Industry News:
With the rise of panic and uncertainty caused by the coronavirus, Egypt has become the latest country to limit withdrawals from banks. Individuals can now charge a maximum of $ 635 per day from their bank and only $ 317 from ATMs.

According to press reports, on Sunday the Egyptian central bank instructed banks around the country to apply temporary daily withdrawal and deposit limits. This movement aims to control inflation in the country and prevent citizens from accumulating cash during a pandemic.

The daily limit for individuals has been reduced to 10,000 Egyptian pounds in bank branches and 50,000 pounds for companies. Only companies that need to withdraw money to pay their employees will be exempted from the limits.

Restrictions appear after a wave of mass payments from banks in the country. Central bank governor Tarek Amer said on Sunday that 30 billion Egyptian pounds (1.91 billion dollars) had been removed from the banks over the past three weeks.

"It turned out that individuals withdraw money from banks, although they did not need them ... in the last three weeks they have paid 30 billion pounds. We want discipline. We live in society and we must think about others" - said the governor.

Registered coronavirus cases in Egypt are currently slightly less than 800. However, the national health service is not prepared for a mass epidemic. In addition, Egypt is prone to high inflation, which can further aggravate the crisis. This can reduce inventory and panic and keep prices down.


Technical Market Outlook:
The BTC/USD pair has rallied through the technical resistance zone located between the levels of $6,759 - $6,908 and made a new local high at the level of $7,212. Nevertheless, the overall rally has failed to continue and market has made a red Pin Bar candlestick pattern after the breakout. The rally was short-lived and currently the Bitcoin price has returned to the main channel area and is again trading below the red zone. If the bearish pressure will intensify, then the price might move even lower towards the technical support located at $6,568 or even towards the level of $6,271.

Weekly Pivot Points:
WR3 - $7,805
WR2 - $7,343
WR1 - $6,514

Weekly Pivot - $6,022
WS1 - $5,217
WS2 - $4,764
WS3 - $3,965


Trading Recommendations:
The fear of the coronavirus consequences is very strong among the global investors and it rules on the financial markets. So far the global investors are not so keen to invest in Bitcoin and treat BTC as a digital gold. The larger time frame trend remains down and as long as the level of $10,791 is not violated, all rallies will be treated as a counter-trend corrective moves. This is why the short positions are now more preferred.







Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2020

[IFX_Selena]

BTC analysis for 04.02.2020 - Watch for the price action around the very important pivot at the price of $6.960 to confirm further direction

Corona virus news:


Leading blockchain intelligence firm Chainalysis has found that the COVID-19 pandemic and global economic contraction is affecting Bitcoin (BTC) consumer habits in surprising ways.In a new report published on March 30, Chainalysis details how Bitcoin spending trends in three areas — merchant services, gambling and darknet marketplaces — have changed, or even reversed.


Technical analysis:
BTC has been trading upwards.The price tested the level of $6.690. Anyway, the main pivot is set at the price of $6.960 and you should watch for the price action around it.

The successful rejection of the resistance at $6.960 would confirm downside and potential testing of $5.800 and $4.476

The eventual breakout of the resistance $6.960 can lead us for test of $7.623.

Stochastic oscillator is showing overbought condition, which increases the risk for the further upside...

Resistance levels is set at the price $6.960

Support levels and downward targets are set at the price of $5.810 and $4.476.




Performed by Petar Jacimovic
Analytical expert
InstaForex Group © 2007-2020

[IFX_Selena]

TTechnical Analysis of BTC/USD for 02 April 2020

Crypto Industry News:
According to data on the blockchain.com website, the daily amount of confirmed transactions in the bitcoin network has been following the exchange rate over the last years. In December 2017 and in May-July 2019, when bitcoin recorded high valuations, the number of transactions also recorded its historical peaks - 450-500k one day transactions.

In times of crisis, however, as we are currently dealing with, while falling, there are also fewer transactions. From summer 2019 to March 2020, the daily number of transactions in the Bitcoin network was on average 275-350k transactions. In mid-March, the markets recorded declines in the BTC exchange rate, which also resulted in transactions carried out, the number of which fell to 225-275k transactions.

Bitcoin network can be explored in many ways and many indicators can be derived. One of such is the time of mining the block, which in March increased by 40 percent. This is not positive information, because block mining takes longer, which in turn translates into a longer wait for confirmation of the transaction. In addition, network computing power (hash rate) has recently been reduced - by up to 40%.


Technical Market Outlook:
The BTC/USD pair has bounced from the level of $6,120 and made a new local high during a short-term rally towards the trend line resistance (marked in black). The new local high was made at the level of $6,712 and since then the price is consolidating the recent gains. In a case of a failure here, the lower levels of the red zone will be tested again: $5,900 and $5,500. The price of BTC/USD keeps trading below the trend line and the larger time frame trend remains down, so the odds favor the bears as long as the level of $6,908 is not clearly violated.

Weekly Pivot Points:
WR3 - $7,805
WR2 - $7,343
WR1 - $6,514

Weekly Pivot - $6,022
WS1 - $5,217
WS2 - $4,764
WS3 - $3,965


Trading Recommendations:
The fear of the coronavirus consequences is very strong among the global investors and it rules on the financial markets. So far the global investors are not so keen to invest in Bitcoin and treat BTC as a digital gold. The larger time frame trend remains down and as long as the level of $10,791 is not violated, all rallies will be treated as a counter-trend corrective moves. This is why the short positions are now more preferred.






Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2020

[IFX_Selena]

Technical Analysis of ETH/USD for 02 April 2020

Crypto Industry News:
The digital payments giant PayPal has published a new job offer in which the company is seeking to hire a director of anti-money laundering strategy (AML) and Blockchain in its branch Global Financial Crimes (GFC).

According to the company, the new director - operating from New York - will be responsible for assessing the use of Blockchain to prevent financial crimes such as money laundering and terrorist financing, overseeing the entire AML process.

The post also specifies that an ideal profile must focus on the company's capabilities related to Blockchain in terms of strengthening the company's risk department.

PayPal explained that this role is to regularly review AML-related reports to identify and oversee key trends within the Blockchain portfolio by implementing it according to the company's needs.

PayPal requires that the person previously occupy a position in a finance company using Blockchain technology with a thorough understanding of the risks associated with cryptocurrencies, along with experience in AML compliance or law enforcement.

This is not the first time the digital payments giant has expressed interest in the Blockchain and cryptocurrency environment. On November 19, 2019, reports appeared that PayPal had conducted a $ 4.2 million funding round for TRM Labs, which is a cryptocurrency management platform.


Technical Market Outlook:
The ETH/USD pair has made a new local high after a pull-back towards the level of $128.27. This level will now act as a support for the price, so it is worth to notice, if you are looking for an intraday support. Ethereum is trying to continue rally after the breakout with a target located at the level of $147.22. In a case of a failure, the lower levels will be tested: $118.53 and $114.98. Please notice, there is almost non increase in momentum as the price moves up.

Weekly Pivot Points:
WR3 - $161.35
WR2 - $151.83
WR1 - $136.71

Weekly Pivot - $127.64
WS1 - $112.54
WS2 - $102.86
WS3 - $88.46


Trading Recommendations:
The fear of the coronavirus consequences is very strong among the global investors and it rules on the financial markets. So far the global investors are not so keen to invest in cryptocurrency, because they are being perceived as risky assets. The larger time frame trend on Ethereum remains down and as long as the level of $214.67 is not violated, all rallies will be treated as a counter-trend corrective moves. This is why the short positions are now more preferred.







Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2020