Cryptocurrency Analysis

[IFX_Selena]

Technical Analysis of BTC/USD for 24 January 2020

Crypto Industry News:
The Reserve Bank of India (RBI) said that regulated entities cannot offer cryptographic assets in this country, but this does not amount to a general ban on digital assets.

A published press article quoted a document that the RBI submitted to the Supreme Court in September, which wrote:

"First, RBI did not prohibit VCs (virtual currencies) in that country. RBI ordered its regulated entities not to provide services to persons or entities dealing with or settling VCs."

As part of the regulation, the Central Bank of India issued a statement in April 2018 restricting the use of services to all persons involved in the use of cryptographic assets.

"Due to the associated risk, it was decided that with immediate effect, entities regulated by the RBI will not deal with or provide services to individuals or business entities dealing with or settling VCs," reads the statement.

Following a statement from the RBI, the Internet and Mobile Association of India (IAMAI), a non-profit group dealing with digital development, has proposed repealing the cryptocurrency regulation.


Technical Market Overview:
The BTC/USD pair has broken through the technical support at the level of $8,405 and hit the 38% Fibonacci retracement level located at the level of $8,236. The bears have control of the market now and the downward momentum increases. As there are no signs of a trend reversal, the next target for bears is seen at the level of $7,961 (50% Fibonacci retracement) or just a tad lower, at the $7,934 - $7, 897 zones.

Weekly Pivot Points:
WR3 - $10,362
WR2 - $9,728
WR1 - $9,214

Weekly Pivot - $8,735
WS1 - $8,034
WS2 - $7,406
WS3 - $6,911


Trading recommendations:
There is a possibility that the wave 2 corrective cycles are completed at the level of $6,345, so the market might be ready for another impulsive wave up of a higher degree and uptrend continuation. This strategy is valid as long as the level of $7,582 is not violated. Nevertheless, the larger timeframe trend is still down and all the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend until the level of $10,278 is clearly broken.







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

[IFX_Selena]

Technical Analysis of ETH/USD for 24 January 2020

Crypto Industry News:
The Gemini US cryptocurrency exchange has completed the SOC 2 Type 2 rating, confirming the security of the operation. This means that Gemini is the only cryptocurrency exchange that has demonstrated this level of security compliance:

"Type 2 is the highest level of security compliance that any organization can demonstrate," said Gemini risk chief Yusuf Hussain.

In preparation for the SOC 2 Type 2 assessment, Gemini carried out a SOC 2 Type 1 audit in 2019, carried out by the audit giant Deloitte. Hussain mentioned that the giant also took control of Gemini SOC 2 Type 2. Gemini Stock Exchange attaches great importance to compliance and security, in order to win the trust of customers, he explains.

Indeed, Gemini released an advertising campaign a year ago in which one of several slogans appearing on buses and boards was "Krypto needs rules." Given the importance of protection, Gemini's risk chief said: "Incorrect operation in the security industry will result in a direct loss of client funds."

Hussain also said that the SOC 2 Type 2 exam includes the Gemini trading and investment platform as well as custody services.


Technical Market Overview:
The ETH/USD has hit the level of $157.37 which is just a tad above the 50% Fibonacci retracement located at the level of $156.19 (low was made at the level of $156.55 at the time of writing the analysis). The bears are clearly in control of the market and the downward momentum is increasing. There is a visible Bearish Flag price pattern at the H4 chart (thick orange line), so if the bearish pressure intensifies again, then the next target for bears is seen at the level of 151.37.

Weekly Pivot Points:
WR3 - $219.38
WR2 - $198.31
WR1 - $181.78

Weekly Pivot - $161.46
WS1 - $144.93
WS2 - $123.85
WS3 - $107.13


Trading recommendations:
There is a possibility that the wave 2 corrective cycles are completed at the level of $115.05, so the market might be ready for another impulsive wave up of a higher degree and uptrend continuation. This strategy is valid as long as the level of $146.94 is not violated. Nevertheless, the larger timeframe trend is still down and all the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend until the level of $196.61 is clearly broken.

Attachment 2144



Attachment 2145
Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2020

[IFX_Selena]

Technical Analysis of ETH/USD for 27 January 2020

Crypto Industry News:
According to media reports, the rulers of the ruling party in Japan are working on a proposal to release a national digital currency, which seems to be a response to the fear of Chinese digital yuan.

The planned digital yen would be jointly developed by government and private companies and would be in line with many similar initiatives around the world.

A parliamentary group of 70 legislators from the Liberal Democratic Party is working on the proposal. The group plans to submit a proposal to the government in February.

The implementation of the digital yen will take some time due to the late start of Japan. The decision is a fundamental change for the country - representatives of the central bank did not see "demand" for the central currency of the central bank (CBDC) in December 2019.

Facebook Libra's announcement and the Chinese digital yuan forced central banks around the world to consider issuing their own CBDC. This was the main topic of discussion at the panel of the World Economic Forum on January 23.

However, each initiative aims to solve various problems. Libra is primarily offered as a global and trouble-free payment network, and the goal of the digital yuan is to increase China's financial strength, according to former Bank of Japan board member Takahide Kiuchi.

Japanese Finance Minister Taro Aso expressed concerns that the yuan would become a common accounting currency, which might have partly motivated the creation of the Japanese CBDC. However, Kiuchi believes that the main motivation for the Japanese CBDC is the exclusion from the use of cash. As a country that has already introduced negative interest rates, cash flow prevents this policy from expanding further.


Technical Market Overview:
The ETH/USD pair has bounced from the level of 50% of Fibonacci retacement after the low was made at the level of $154.32 and Bullish Engulfing candlestik pattern was made. So far the bulls have managed to test the short-term trendline form below, but no breakout occured just yet. If bulls will sucesfully break through this trendline, then the swing high located at the level of $178.12 might be tested soon. It is worth to keep an eye on the current developings on the Ethereum market, nevertheless, the larger timeframe trend is still down and all the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend until the level of $196.61 is cleary broken.

Weekly Pivot Points:
WR3 - $187.66
WR2 - $177.62
WR1 - $172.55

Weekly Pivot - $163.44
WS1 - $158.80
WS2 - $148.63
WS3 - $143.46


Trading Recommendations:
There is a possibility that the wave 2 corrective cycles are completed at the level of $115.05, so the market might be ready for another impulsive wave up of a higher degree and uptrend continuation. This strategy is valid as long as the level of $146.94 is not violated. Nevertheless, the larger timeframe trend is still down and all the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend until the level of $196.61 is clearly broken.








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

[IFX_Selena]

Technical Analysis of BTC/USD for 27 January 2020

Crypto Industry News:
The World Economic Forum (WEF) has created, he claims, the first-ever global consortium to develop a framework for transnational management of digital currencies, including stablecoins.

A press release made available to the media reveals that the newly created Global Consortium for Digital Currency Management will focus on developing interoperable, transparent and inclusive policy approaches to regulating the digital currency space and supporting public-private cooperation in both developed and emerging economies.

WEF says the impulse to create a consortium is recognizing that well-designed global governance remains the key to delivering such a glorified promise that digital currencies will be conducive to financial inclusion by extending access to financial services to populations around the world who currently do not have access to them .

The consortium will bring together international companies, traditional financial institutions, government representatives, technical experts, scientists, international organizations, NGOs and WEF community members.

In addition to the current fragmentation of the state of global regulation of digital currencies, WEF says that it will focus on building trust and encourage innovative thinking about regulatory policies that can support public and private entities in the global cryptocurrency space.

Many famous personalities supported this initiative, including Bank of England Governor Mark Carney, WEF founder and executive president, Klaus Schwab, senior minister and chairman of the Monetary Authority of Singapore, Tharman Shanmugaratnam, as well as officials from the Ministry of Finance and central bankers from Egypt and Bahrain.


Technical Market Overview:
The BTC/USD pair has bounced from the level of $8,153, which is just below the 38% Fibonacci retracement located at the level of $8,236. The bulls have managed to push the price towards the level of $8,616 at the time of writing the analysis, but the target seems to be little higher, at the level of $8,693. If, however, this technical resistnace is violated as well, then the bulls might test the recent swing high at the level of $9,130 and continue the up trend.

Weekly Pivot Points:
WR3 - $9,339
WR2 - $9,028
WR1 - $8,796

Weekly Pivot - $8,458
WS1 - $8,222
WS2 - $7,890
WS3 - $7,647


Trading Recommendations:
There is a possibility that the wave 2 corrective cycles are completed at the level of $6,345, so the market might be ready for another impulsive wave up of a higher degree and uptrend continuation. This strategy is valid as long as the level of $7,582 is not violated. Nevertheless, the larger timeframe trend is still down and all the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend until the level of $10,278 is clearly broken.







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

[IFX_Selena]

BTC analysis for 01.27.2020 - Major pivot level at the price of $8.750 on the test, watch fo the price action around it to confirm further direction

Industry news:
How close is bitcoin (BTC) to becoming money? New data from BitMEX Research claims that although BTC transactions are now more precise than ever, the cryptocurrency still remains a long way off elusive money status – and believe that precision could actually hurt BTC's hopes of becoming money.

The big news is that there has been a "marked increase in [BTC] precision in the last 10 years, which surprisingly continued even beyond 2018."


Technical analysis:


Major short-term pivot level is on the test at the price of $8.750-$8.800. Watch carefully for the price action around our main pivot level.

The rejection of the main pivot at $8.750 may lead us for test of $8.426-$8.232.

The upside breakout of the main pivot at $8.75 may lead us to test of $8.990.

MACD oscillator is showing positive reading and the slow ling is slopping to the upside.

Main resistance level is seen at the price of $8.750-8.880

Support levels and downward targets are set at the price of $8.426 and $8.232.





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

[IFX_Selena]

Technical Analysis of BTC/USD for 28 January 2020

Crypto Industry News:
Adena Friedman, CEO of Nasdaq, the world's second largest stock exchange, confirms that the platform is considering launching futures that would be based on Bitcoin (BTC). Apparently, talks are being held with a certain business partner.

In a recent interview the CEO of Nasdaq gave Bloomberg, she says

"We work with the industry and a great partner to see if this is right for us [move]. And I think we still evaluate it. We've talked to the industry to tell [its representatives] that this is something [special.] We already have two futures [based on] Bitcoin ... And if you're going to create a product, you want to make sure people use it and use it differently than [do it] today. In addition, we would have to self-certify as a futures exchange. We will use our NFX license for this, but we must ensure that we are fully prepared for it from the point of view of risk management. And these are two things we are still working on. "

Friedman also believes that cryptocurrencies need to be viewed from a broader perspective:

"I would say that in our opinion, digital currencies and cryptocurrencies will have an impact on the global economy. The question is whether they will mature into a state in which they are really used for [financial] transfers. But in the meantime, I think there is definitely a high demand for them and the opportunity to trade them. It's just a question of whether we can create a structure that is unique enough and different from what already exists. "

A positive Nasdaq decision on bitcoin futures would be a breakthrough. It is worth noting that the stock exchange is opening up to cryptocurrencies in installments. She has already started to show, for example, BTC and ETH quotations.


Technical Market Overview:
The BTC/USD pair continues to move higher after the bounce from 38% Fibonacci retracement. The bulls have managed to push the price towards the level of $9,090 at the time of writing the analysis, but the target seems to be little higher, at the level of $9,130. If, however, this technical resistnace is violated as well, then the next target for bulls is seen at the level of $9,513. The strong and positive momentum supports the short-term bullish outlook.

Weekly Pivot Points:
WR3 - $9,339
WR2 - $9,028
WR1 - $8,796

Weekly Pivot - $8,458
WS1 - $8,222
WS2 - $7,890
WS3 - $7,647


Trading Recommendations:
There is a possibility that the wave 2 corrective cycles are completed at the level of $6,345, so the market might be ready for another impulsive wave up of a higher degree and uptrend continuation. This strategy is valid as long as the level of $7,582 is not violated. Nevertheless, the larger timeframe trend is still down and all the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend until the level of $10,278 is clearly broken.







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

[IFX_Selena]

Technical Analysis of ETH/USD for 28 January 2020

Crypto Industry News:
According to a notification from the Ukrainian Ministry of Finance, the Ukrainian authorities will be able to "block cryptographic portfolios" in order to take over illegally acquired assets.

Oksana Markarova, Minister of Finance of Ukraine, reportedly said that the State Financial Monitoring Service of Ukraine (SFMS) will be responsible for tracking the sources of funds in the cryptocurrency portfolios of citizens.

As part of regulatory policy, SFMS will not only be able to get information about the origin of cryptocurrencies but also detect how these funds were spent, said Markarova in a report published on the official website of the Ukrainian Ministry of Finance.

In particular, SCFM claims to have access to an "analytical product" that allegedly allows investigators to look at the origin and use of cryptographic resources. According to Markarowa, there have been many "successful cases" of investigations through him.

According to the statement, the new SCFM liability will be part of the new cryptocurrency law that was approved by the Ukrainian government in December 2019.


Technical Market Overview:
The ETH/USD has been fighting over the short-term trendline resistance and it looks like the bulls are winning so far. If bulls will successfully breakthrough this trendline, then the swing high located at the level of $178.12 might be tested soon. It is worth to keep an eye on the current developments on the Ethereum market, nevertheless, the larger timeframe trend is still down and all the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend until the level of $196.61 is clearly broken.

Weekly Pivot Points:
WR3 - $187.66
WR2 - $177.62
WR1 - $172.55

Weekly Pivot - $163.44
WS1 - $158.80
WS2 - $148.63
WS3 - $143.46


Trading Recommendations:
There is a possibility that the wave 2 corrective cycles are completed at the level of $115.05, so the market might be ready for another impulsive wave up of a higher degree and uptrend continuation. This strategy is valid as long as the level of $146.94 is not violated. Nevertheless, the larger timeframe trend is still down and all the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend until the level of $196.61 is clearly broken.







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

[IFX_Selena]

BTC analysis for 01.28.2020 - Median line reached, possible rotation around it and even short-term decline

Industry news:
The Japanese Economy Minister Yasutoshi Nishimura recently stated that the coronavirus outbreak is causing serious threats to the global economy. On a local level, he said that he's concerned a lot, especially when it comes to tourism. Chinese tourists account for 30% of the people who visit Japan for that purpose. As such, transportation hurdles, as well as cancellations are among the minister's prime concerns. If China's affected cities remain closed, Nishimura fears that it will have more

Technical analysis:


BTC reached Pitchfork median line at the price of $9.400. This is sign that we might have short term topping activity and potential rejection. Usually, after the price reach Pitchfork median line we can form few pivots around it.

Stochastic oscillator is showing overbought condition, which may cause short-term decline on BTC and potential test of $8.910 or $8.700.





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

[IFX_Selena]

Technical Analysis of BTC/USD for 29 January 2020

Crypto Industry News:
Iran's Ministry of Industry, Mining and Trade have issued over 1,000 licenses to mine cryptocurrency for domestic operations.

According to a report published by Iran Banking and Economic System Reference Media (IBENA), member of the Blockchain Committee of the Information and Communication Technology Guild (ICT), Amir Hossein Saeedi Nai, informed the public about the number of licenses issued.

He explained that before mining operations in the country, entrepreneurs must apply for a license, adding that the government has issued over 1,000 permits so far, and several mining farms have already started operations. Nai estimated that if the local mining industry were to operate at full capacity, it would bring $ 8.5 billion to the local economy.

Bank sanctions from the United States and other Western countries have hit Iran's economy hard. Nai said the digital currency can facilitate trade and can also be used to avoid economic sanctions.

The official explained that ICT is currently working on improving the conditions for mining cryptocurrency in Iran. It is possible that local mining activities will revive by changing electricity rates and strengthening cooperation between local cryptocurrency miners and gas-fired power plants.

Iran has one of the lowest energy prices in the world, at $ 0.007 per kilowatt-hour. However, recent energy shortages and power outages have led regulators to take a more active role in managing energy supply in the country and therefore have adopted a strict approach to mining cryptocurrencies.

The increase in cryptocurrency mining in Iran has led the government to significantly raise electricity tariffs for the sector from the above 0.007 dollars to 0.07 dollars per hour - the same as exports of electricity.


Technical Market Overview:
The BTC/USD pair has made yet another higher high overnight, this time it was located at the level of $9,370. The level of $9,130 will now act as short-term technical support, together with the level of $8,836. The strong and positive momentum supports the short-term bullish outlook and the next target for bulls is seen at the level of $9,539. There is only a couple of days to complete the month of January and the Bitcoin chart looks very bullish.

Weekly Pivot Points:
WR3 - $9,339
WR2 - $9,028
WR1 - $8,796

Weekly Pivot - $8,458
WS1 - $8,222
WS2 - $7,890
WS3 - $7,647


Trading Recommendations:
There is a possibility that the wave 2 corrective cycles are completed at the level of $6,345, so the market might be ready for another impulsive wave up of a higher degree and uptrend continuation. This strategy is valid as long as the level of $7,582 is not violated. Nevertheless, the larger timeframe trend is still down and all the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend until the level of $10,278 is clearly broken.







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

[IFX_Selena]

Technical Analysis of ETH/USD for 29 January 2020

Crypto Industry News:
Tim Draper, a billionaire investor, recommended millenials to buy Bitcoins during a TV interview. Draper believes that Bitcoin is particularly important for the millennium generations who want to set aside sufficient capital for retirement. He suggested that the traditional banking system is outdated.

Draper also blamed traditional finances for pulling hundreds of thousands of dollars into debts. He explained that with current salaries they cannot pay it off completely. It is a really hard time and they have become tenants and not buyers because they have to. He also emphasized that it is important to be able to move freely and move capital and goods freely around the world.

For these reasons, Draper recommends millennials to build their "empire in the new model", which, unlike the dollar, does not impose high fees and regulations on transactions. He noted that putting money aside as older generations would do nothing to today's economy, concluding:

"If you really want it to work, I think you will choose Bitcoin or crypto," said Draper.

Many believe that Bitcoin is a highly inflationary and debt-based financial system solution. In order for Bitcoin to solve some of these problems, sellers would have to start setting prices in Bitcoins instead of in local currency. The reason is that if prices are set in the local fiat currency, inflation will continue to affect the prices of goods and services.


Technical Market Overview:
The ETH/USD trendline test has been completed and the bulls broke through it. The next target for them is the swing high located at the level of $178.12. It is worth to keep an eye on the current developments on the Ethereum market, nevertheless, the larger timeframe trend is still down and all the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend until the level of $196.61 is clearly broken.

Weekly Pivot Points:
WR3 - $187.66
WR2 - $177.62
WR1 - $172.55

Weekly Pivot - $163.44
WS1 - $158.80
WS2 - $148.63
WS3 - $143.46


Trading Recommendations:
There is a possibility that the wave 2 corrective cycles are completed at the level of $115.05, so the market might be ready for another impulsive wave up of a higher degree and uptrend continuation. This strategy is valid as long as the level of $146.94 is not violated. Nevertheless, the larger timeframe trend is still down and all the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend until the level of $196.61 is clearly broken.







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