Cryptocurrency Analysis

[IFX_Selena]

Technical Analysis of BTC/USD for 14 November 2019

Crypto Industry News:
CME Group has announced that it will launch options on its futures contracts based on Bitcoins in January next year.

The announcement on the website, which CME published on Tuesday, stated that as soon as the green light from regulators appears in a timely manner, these options will be available to customers from January 13, 2020.

At the end of October, the company published details about the options. On this occasion, CME stated that each contract will be based on one bitcoin futures contract consisting of five bitcoins. Their prices will be given in US dollars.

In a new announcement, Tim McCourt, head of global stock index and alternative investment products, said:

"Since the introduction of our Bitcoin-based futures almost two years ago, customers have expressed growing interest in options as another way to hedge and trade in these markets. We've worked closely with clients and the industry to create a solid and increasingly liquid futures market at CME Group, and we now believe that Bitcoin options will now offer our clients greater precision and flexibility in managing their risk. "

By presenting some data on the performance of their Bitcoin futures contracts, which have been registered so far, CME Group has stated that it has currently noticed an average transaction volume of over 6,500 contracts in 2019 in this market, which corresponds to about 32,500 Bitcoins. Currently, over 3,500 individual accounts for product trading are registered on the platform, and almost half of the turnover comes from outside the USA.


Technical Market Overview:
The momentum on the BTC/USD market is still negative and a new local low was made overnight at the level of $8,490. The next target for bears is seen at the level of $8,474 and $8,048. Please notice the 61% Fibonacci retracement level is very close now as it is located at the level of $8,396 and if this retracement is violated, then the market will likely test the key short-term technical support located at the level of $8,298.

Weekly Pivot Points:
WR3 - $10,032
WR2 - $9,933
WR1 - $9,413

Weekly Pivot - $9,012
WS1 - $8,510
WS2 - $8,085
WS3 - $7,592


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 11.13.2019 -BTC did break the Ichimoku cloud to the downside, watch for selling opportunities

Bitcoin has been trading sideways at the price of $8.737. Watch for selling opportunities due to the current downward trend. Main downward target is set at the price of $7.500.

Ichimoku analysis:


Multi frame Ichimoku sitation:

H1 - Inside of the Cloud

H4 - Below the cloud

Daily - Inside of the Cloud

Currently, BTC is testing the support (Tenkan-sen) at the price of 8.690. The potential breakout of the support would confirm further downside movement and testing of $8.543 and potential test of $7.500. Resistance is set at the price of $8.900 (Kijun-sen).BTC did the breakout of the Ichimoku cloud to the downside and I see more downside in the next period.






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

[IFX_Selena]

Technical Analysis of ETH/USD for 13 November 2019

Crypto Industry News:
A Canadian research company that studies Blockchain, Blockchain Venture Capital Inc. (BVCI), has officially launched the US dollar-anchored CUSD stablecoin, according to a press release published today.

The new stablecoin appears four months after the launch of CADT - a stablecoin initiative linked to Canada's national fiat currency. BVCI made its debut of stablecoin CADT on Canada Day, July 1. The company said that with one CUSD equal to one USD, the new stablecoin will be used by people and companies, and its specific goal is cross-border transactions between the USA and Canada.

Regulated by the Canadian Center for Transaction Analysis and Reports, BVCI claims to operate in accordance with all federal regulations regarding the transfer of virtual currency. BVCI is a financial services company registered in Ontario, the most populous province of Canada.

The company noticed that thanks to stablecoin CUSD BVCI will facilitate cashless transactions thanks to dollars deposited on a trust account with a financial institution based in the USA.

Other BVCI products are BVC-Chain, a decentralized hybrid Blockchain based on Blockchain Ripple and Ethereum networks. The company has also developed BvcPay, a mobile application that works as a digital wallet, Blockchain explorer, and a trading and decentralized exchange platform. The newly launched CUSD can also be bought and serviced via BvcPay.


Technical Market Overview:
After a short bearish pressure at the ETH/USD market the bulls started to be more active, but all they have managed was to push the price towards the recent resistance level and then the liquidity dried up. A recent breakout below the short-term trendline is now being tested from below and it is worth to notice that the breakout opens the road towards the technical support at the level of $172.91, which is the key technical support for bulls. It all depends now on how the breakout will be played: whether it was a fake or a genuine one.

Weekly Pivot Points:
WR3 - $209.10
WR2 - $200.93
WR1 - $194.92

Weekly Pivot - $187.29
WS1 - $180.68
WS2 - $172.07
WS3 - $166.48


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 13 November 2019

Crypto Industry News:
According to former President of the European Central Bank, Jean-Claude Trichet, Bitcoin has no currency characteristics and is purely speculative. Trichet said this at the Caixin conference in Beijing.

During the event, Trichet also expressed doubts that cryptocurrencies could become the future of money. He said that Bitcoin lacks the features of a real currency:

"I am definitely against Bitcoin and I think we are a bit carefree. [...] The currency itself is not real, with the features it must have," he said.

Trichet also explained that he believes that buying cryptocurrency is in many respects just speculation. He also claimed that even if the cryptographic resource is allegedly backed by a real resource, it still observes a lot of speculation, which it described as "unhealthy."

Trichet added that he is also not a fan of Stablecoin Libra, proposed by Facebook, and noted that he prefers special drawing rights (SDRs) issued by the International Monetary Fund. Like Libra's plans, SDRs are supported by a basket of currencies, including the US dollar, euro, pound sterling, renminbi and yen.

He also said that although the world could leave banknotes and coins behind it, cryptocurrencies cannot be the way forward.


Technical Market Overview:
The BTC/USD bounce was capped at the level of $8,836 which is the lower boundary of the narrow horizontal zone that was recently broken. The momentum is still negative, so the further spike down might happen soon. The next target for bears is seen at the level of $8,474 and $8,048. Please notice the 61% Fibonacci retracement level is very close now as it is located at the level of $8,396.

Weekly Pivot Points:
WR3 - $10,032
WR2 - $9,933
WR1 - $9,413

Weekly Pivot - $9,012
WS1 - $8,510
WS2 - $8,085
WS3 - $7,592


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 ETH/USD for 12 November 2019

Crypto Industry News:
Chinese Internet giant Tencent intends to open a virtual bank based on Blockchain technology after the Hong Kong Securities Commission (SFC) has approved the new license.

Speaking on Friday at the Blockchain World Summit in Wuzhen, China, Yige Cai, Blockchain Director at Tencent, said the company's virtual bank has received a green light from SFC. According to the Chinese side of Sina Finance, the company will create a team supporting a banking platform based on Blockchain.

"Hong Kong's new regulations and the oversight of transactions related to digital assets confirm the importance of Blockchain technology and digital assets, which is good news for the entire industry," Cai said at his summit.

To date, SFC has granted licenses to virtual banks to 12 entities. The list includes Infinium Limited, a company owned by Tencent and ICBC, and two other Hong Kong institutional investors.

Tencent renamed Infinium to Fusion Bank in July after receiving a license in May. According to the Cai report, he did not reveal any further details about the virtual bank, while highlighting Tencent's existing Blockchain technology projects, including supply chain financing for McDonald's global restaurant chain.


Technical Market Overview:
The bearish pressure intensifies on the ETH/USD market after the local short-term trendline was put to the test as the bears started to move lower. A breakout below this line is now being tested from below and it is worth to notice that the breakout opens the road towards the technical support at the level of $172.91, which is the key technical support for bulls. It all depends now on how the breakout will be played: whether it was a fake or a genuine one.

Weekly Pivot Points:
WR3 - $209.10
WR2 - $200.93
WR1 - $194.92

Weekly Pivot - $187.29
WS1 - $180.68
WS2 - $172.07
WS3 - $166.48


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 12 November 2019

Crypto Industry News:
Daily volumes of Bitcoin futures contracts on the Bakkt digital asset platform have reached a new record, with 1,741 futures contracts on November 9. The new record volume coincides with a sharp drop in the price of Bitcoin, below $ 9,000.

"Today we set a new daily record on 1756 Bitcoin Bakkt futures," the company writes.

A Twitter account dedicated to Bakkt forward volume data, Bakkt Volume Bot, also drew attention to development. In addition, the daily volume of 1,741 (about $ 15.5 million) is an increase of 109% compared to 834 contracts from the day before, with each contract being equivalent to one Bitcoin.

Physically billed monthly volumes of Bakkt Bitcoin trading have been steadily increasing since they were launched. In October, volumes reached a new record in history - 452 contracts were sold.

On October 26, Bakkt traded 1,183 Bitcoin futures contracts after registering a staggering 257% increase in 24 hours. It also coincided with a large price movement, through which Bitcoin exceeded the value of $ 10,000.


Technical Market Overview:
The BTC/USD pair has made another lower low at the level of $8,533 after the bears had broken below the key short-term technical support and the lower boundary of the narrow horizontal trading zone located at the level of $8,836. The momentum is still negative, so the further spike down might happen soon. The next target for bears is seen at the level of $8,474 and $8,048. Please notice the 61% Fibonacci retracement level is very close now as it is located at the level of $8,396.

Weekly Pivot Points:
WR3 - $10,032
WR2 - $9,933
WR1 - $9,413

Weekly Pivot - $9,012
WS1 - $8,510
WS2 - $8,085
WS3 - $7,592


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 11.11.2019 - BTC filled the GAP from 2 week ago, second downward target reached

BTC did reached my second target at $8.600 as I expected. Anyway, there is still downside pressure and the BTC filled the GAP from 2 weeks ago, which is good sign that sellers are still present.



Due to the fact that BTC filled the gap, I would still watch for selling opportunities but this time even with the larger targets at $7.520 and $7.350.

Watch for selling opportunities on the rallies on lower frames 5/15 minutes time-frame for the better timing. Resistance levels are seen at $8.715 and 8.920.




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

[IFX_Selena]

Technical Analysis of ETH/USD for 11 November 2019

Crypto Industry News:
Zhou Xiaochuan, former head of the People's Bank of China (PBoC), argued that stablecoin Libra would have much greater confidence if it were in the hands of an organization such as the International Monetary Fund (IMF).

Zhou is the longest-running head of the Chinese central bank, which held this function in the years 2002-2018. During his tenure, China quickly became one of the world's leading economies. He spoke at a speech in Beijing at the 10th Caixin Summit on November 8, according to a tweet from Dovey Wan, the founder of Blockchain Primitive Ventures.

Zhou Xiaochuan's free translation of comments reveals that his approach to Libra is driven by concerns about the impact of assets managed by a consortium of private sector companies. The former head stressed that public opinion would inevitably undermine the motivations of the Libra Association and argued that the initiative would gain greater confidence if it was in the hands of an international organization such as the IMF.

He noticed that the Libra Association will definitely earn on this project and that this money can be used for other things - for example, to potentially devote them to other financial services. Despite these arguments, he suggested that, in general, an initiative such as Libra was positive progress


Technical Market Overview:
The ETH/USD pair is still struggling to move higher above the local technical resistance located at the level of $193.52. The bearish pressure intensify and recently the local short-term trendline was put to the test as the bears started to move lower. A breakout below this line, somewhere around the level of $183.00, will open the road towards the technical support at the level of $172.91, which is the key technical support for bulls.

Weekly Pivot Points:
WR3 - $209.10
WR2 - $200.93
WR1 - $194.92

Weekly Pivot - $187.29
WS1 - $180.68
WS2 - $172.07
WS3 - $166.48


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 11 November 2019

Crypto Industry News:
A former drug dealer has pleaded guilty to laundering $ 19 million in profits via the Silk Road market.

Prosecutors in the southern New York area announced a settlement with Hugh Brian Haney on Thursday, adding another postscript to the history of the infamous Dark Web market. According to a press release from early 2018, Haney was accused of laundering nearly $ 20 million with Bitcoins.

Silk Road was one of the first drug markets on the Dark Web and a paradise for sellers receiving Bitcoins until its operator, Ross Ulbricht, was arrested in October 2013 and the site was shut down. Ulbricht is currently serving a life sentence on the charge of drug distribution, computer hacking, and conspiracy.

Haney was one of the sellers who used the market. According to prosecutors, Haney was a "high-ranking member" of a team of drug dealers called Pharmville, and reportedly received nearly 4,000 Bitcoins from accounts associated with Silk Road by February 2012. According to the accusation, he traded in fentanyl, oxycontin and other intoxicants.

"Hugh Haney used Silk Road as a means of selling drugs to people around the world. Then he made over $ 19 million in profits thanks to cryptocurrency," US prosecutor Geoffrey S. Berman said in a statement.

He was captured after liquefying the remaining Bitcoins on the stock exchange for $ 19,147.053 in January and February 2018. An unnamed company froze his account and launched an internal investigation that eventually led to a search warrant. Haney was arrested in July 2019.

Initially, Haney claimed that his Bitcoins were from mining operations. Investigators, however, used "Blockchain analysis software" to show that the funds came from Silk Road, as per the July accusation.

According to his settlement, Haney pleaded guilty to one charge of hidden money laundering and of engaging in a financial transaction regarding real estate from crime. He will be convicted in February 2020.


Technical Market Overview:
The BTC/USD pair has broken below the key short-term technical support and the lower boundary of the narrow horizontal trading zone located at the level of $8,836. The low so far was made at the level of $8,601, but the momentum is still negative, so the further spike down might happen soon. The next target for bears is seen at the level of $8,474 and $8,048.

Weekly Pivot Points:
WR3 - $10,032
WR2 - $9,933
WR1 - $9,413

Weekly Pivot - $9,012
WS1 - $8,510
WS2 - $8,085
WS3 - $7,592

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 ETH/USD for 08 November 2019

Crypto Industry News:
The Hong Kong Monetary Authority (HKMA) has revealed that it is researching applications for the digital currency of the Central Bank (CBDC). Ejinsight informed EJinsight about the news announced during Fintech Week in Hong Kong. HKMA is expected to publish a major report on its findings in the first quarter of 2020.

HKMA has just revealed that it has signed Blockchain's cooperation with its subsidiary Institute of Digital Currency at the People's Bank of China (PBoC) - an institution that many expect to be the first to launch CBDC in the world.

During the event, Edmond Lau - HKMA's senior executive director - gave insight into the bank's ongoing CBDC research, which is rumored to have been conducted under the auspices of the LionRock Project since 2017.

The project is run jointly with Hong Kong Interbank Clearing Ltd. and three more banks, as well as the Blockchain R3 consortium. It includes token-based CBDC concept analysis, Blockchain debt security issue testing, CBDC potential assessment of payment systems, and exploring a possible two-tier issue model that would allow companies to store and use CBDC tokens as sponsored participants of their banks.

HKMA is reportedly focused on the potential use of CBDC in financial institutions, and not for retail clients - with a particular interest in domestic interbank payments, wholesale corporate payments and its potential for delivery versus payments for debt securities settlement. Retail users already have universal access to digital mobile payment services.

In May, HKMA also signed a Memorandum of Understanding with the Bank of Thailand to conduct a joint research project on the use of CBDC for cross-border payments and inter-country Payment versus Payment services between countries.


Technical Overview:
The failed rally towards the technical resistance zone located between the levels of $193.52 - $196.61 on the ETH/USD market resulted in Bearish Engulfing candlestick pattern. The market continues a corrective cycle with a low made at the level of $183.41, but as long as ETH/USD trades above the level of $163.11 there is still a chance for another impulsive wave up. The nearest technical resistance is seen at the level of $193.52 and the nearest technical support is seen at the level of $179.94. The key technical support is located at the level of $172.91.

Weekly Pivot Points:
WR3 - $203.38
WR2 - $197.53
WR1 - $186.87

Weekly Pivot - $181.92
WS1 - $171.26
WS2 - $165.71
WS3 - $155.07


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