Cryptocurrency Analysis

[IFX_Selena]

Technical Analysis of BTC/USD for 27 April 2020

Crypto Industry News:
The main producer of Bitcoin mining chips, Ebang, has made the first IPO offer worth $ 100 million to the US Securities and Exchange Commission (SEC). The company is trying to distribute class A shares with a nominal value of $ 0.00013 per share. The company plans to appear on the Nasdaq global stock exchange or the New York stock exchange under the slogan EBON. These plans take place almost two years after the company attempted to launch the $ 1 billion initial public offering in Hong Kong. In 2019, 82% of Ebang's revenues came from ASICs and wireless integrated circuits for miners.

Ebang's annual revenues were $ 109 million last year. Falling demand for mining equipment caused a 66% drop in growth from $ 319 million in 2018. Gross profit fell from $ 24.4 million in 2018, to $ 30.6 million gross loss last year. Sales of Ebang coins dropped from 415,930 at an average price of $ 737, to 289,953 coins for $ 304.

Ebang claims that the demand for its products is directly related to Bitcoin price fluctuations, as the market requirements and unit price of Bitcoin mining machines are correlated with the economic returns of these machines, and above all depends on the price of Bitcoin. The increase in BTC will generally increase market demand for mining machinery, which in turn will allow Ebang products to be valued higher and vice versa. The documentation shows that Ebang has completed the design of its own 8 nm and 7 nm ASC systems, adding that it is ready for mass production of 8 nm units when, he said, market conditions will become appropriate.


Technical Market Outlook:
The BTC/USD pair has been testing the recent swing high located at the level of $7,707 for all the weekend and is currently hovering around this level. In a case of a further breakout, the next target is seen at the level of $7,897, but there is a clear bearish divergence between the price and momentum oscilator at current levels. If bears will push the prices lower, they can hit the next techncial support located at the level of $7,385 and below.

Weekly Pivot Points:
WR3 - $9,046
WR2 - $8,348
WR1 - $8,040

Weekly Pivot - $7,352
WS1 - $7,064
WS2 - $6,356
WS3 - $6,047


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 04.27.2020 - Potential for the BTC to rotate to the downside due to lack of upside momentum

BTC News:


Bitcoinminer landscape has grown exponentially as the years have gone. While the early years of Bitcoin relied on wide personal computers and GPUs, the current mining operations scenario involves extremely well-organized mining pools that rely on cutting-edge ASIC miners. However, as the scale of the operations has grown, there have been quite a few questions raised regarding the environmental cost incurred while mining Bitcoin.


Technical analysis:
BTC has been trading upwards. The price tested the important reistance at the level of $7,800 and did reject. I see potential for the downside rotation towards the levels at $7,375 and $7,165.


Trading recommendation:
Watch for selling opportunities due to test of the major resistance and the bearish divergence ont he Stochastic oscillator in the background.

The downward targets are set at the price of $7,375 and $7,165.





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

[IFX_Selena]

Technical Analysis of ETH/USD for 28 April 2020

Crypto Industry News:
EthereumPrice.org has released a new tool to calculate how much ETH can be earned by stacking coins under the new network consensus model. The Ethereum 2.0 calculator has many configurable settings that simulate different conditions and stacking variables. Users can customize many network (variable) settings that have a big impact on how the reward is calculated.

For example, a change in the size of ETHs stacked in the network from 1% to 10% means a difference in earnings between 5% or 15% (each year). Another factor that will affect the award on an annual basis is, for example, the lifetime of the node (validator) itself.

The tool calculates potential profits from 10 years of ETH stacking as well as each year. It will also calculate ROI (return on investment) in a given time. To view the value of their bid, users can choose from many fiat functional currencies, ETH in USD, EUR, GBP, JPY and others.

The calculator is currently in public beta. The current interface should be treated more as an educational device than a means for practical calculations. However, this gives an idea of how important staking will become part of the 'new Ethereum' ecosystem.


Technical Market Outlook:
The ETH/USD bears has pushed the price out of the Falling Wedge pattern and Ethereum made a new local low at the level of $188.86. There is a clear bearish divergence between the price and momentum indicator that supports the short-term bearish outlook, so the level of $188.86 might not be the target level and the ETH/USD rate can drop even further towards the next target at $178.25. The key short-term technical resistance is still located at the level of $198.72 and only a clear breakout above this level will open the road towards the $209.09 target.

Weekly Pivot Points:
WR3 - $243.80
WR2 - $220.39
WR1 - $211.16

Weekly Pivot - $187.55
WS1 - $172.98
WS2 - $155.34
WS3 - $144.09


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 28 April 2020

Crypto Industry News:
Silk Road founder and prisoner Ross Ulbricht sees long-term opportunities for the cryptocurrency price to stay well above $ 20,000.Writing on his personal Medium account in the American prison Tucson, Ulbricht developed his comments from the beginning of this month, in which he predicted the decline of Bitcoin to $ 3,200 as a clear possibility. Although he admitted that his prediction was the likely second wave scenario, the founder of Silk Road wants the cryptographic community to know that "it is still bullish in the long run."

Seeing both the short-term and long-term growth potential of cryptocurrency, Ulbricht attributes any possible bear behavior between two successive waves as nothing more than "slight fluctuations."

Although he admits that his access to information is limited from prison, Ulbricht continues to provide Bitcoin market analysis on his Medium blog. He is currently serving two life sentences without parole after being found guilty of money laundering, computer hacking and drug trafficking conspiracy with the Silk Road market on Darknet.


Technical Market Outlook:
The BTC/USD pair has moved higher again and has been testing the recent swing high located at the level of $7,707 for all day yesterday and is currently hovering around this level. In a case of a further breakout, the next target is seen at the level of $7,897, but there is a clear bearish divergence between the price and momentum oscillator at current levels. If bears will push the prices lower, they can hit the next technical support located at the level of $7,385 and below.

Weekly Pivot Points:
WR3 - $9,046
WR2 - $8,348
WR1 - $8,040

Weekly Pivot - $7,352
WS1 - $7,064
WS2 - $6,356
WS3 - $6,047


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 04.28.2020 - Potential for the BTC to rotate to the downside due to lack of upside momentum

BTC News:


A Chinese municipality has formally requested Beijing's permission to allow it to offer surplus electricity to the region's "blockchain industry" – believed to be code for bitcoin (BTC)miners. The move could have potential knock-on effects for the wider crypto community, and could see potentially reduce BTC mining costs in the lead-up to the next bitcoin halving event.


Technical analysis:
Trading recommendation: My advice is to watch for selling opportunities due to test of the resistance and bearish divergence on the Stochastic oscillator in the background, which is sign that buyers are losing the power.

Resistance level is set at the price of $7,800 and $8,000




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

[IFX_Selena]

Technical Analysis of BTC/USD for 29 April 2020

Crypto Industry News:
Speaking at Virtual Blockchain Week, the famous venture capital investor Tim Draper confirmed that he is sticking to his six-digit Bitcoin price forecast.

In 2018, Tim Draper publicly announced that the Bitcoin price will reach $ 250,000 by the end of 2022 or early 2023. He cites a few main reasons that can lead to this type of price action. Draper believes the US government's massive stimulus package will lower the dollar and "send people to cryptography." He also expects Bitcoin to be adopted around the world at this time.

Draper says that a company called OpenNode (in which he invested $ 1.25 million) can help achieve this goal. OpenNode is building a Bitcoin payment gateway in the Lightning Network, known for extremely fast BTC transaction settlements. He believes that over time such services will prove their competitive advantage over conventional players - credit cards - and steal market share from them in the same way that MasterCard and Visa took market share from the then dominant American Express.


Technical Market Outlook:
The BTC/USD pair has broken above the technical resistance located at the level of $7,706 and made a new local high at $7,817. The next target is seen at the level of $7,897, but there is a clear bearish divergence between the price and momentum oscillator at current levels. If bears will push the prices lower, they can hit the next technical support located at the level of $7,385 and below.

Weekly Pivot Points:
WR3 - $9,046
WR2 - $8,348
WR1 - $8,040

Weekly Pivot - $7,352
WS1 - $7,064
WS2 - $6,356
WS3 - $6,047


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 29 April 2020

Crypto Industry News:
The World Economic Forum has published a report analyzing how the implementation of Blockchain-based solutions can solve the problem of inefficiency and failure of the supply chain, which was revealed by the COVID-19 pandemic. Along with the report, the Forum released a set of tools for implementing Blockchain to help the government and enterprises adapt their supply chains to the current economic situation and "accelerate economic recovery after COVID-19".

The report, published on April 28, confirms that the resilience of private and public supply chains has been tested in the outbreak of coronavirus - citing the chains of pharmaceutical products, medical products and food among the sectors most affected. The report argues that the efficiency of supply chains depends on transparency, advocating the adoption of DLT technology to create "common truth" among supply chain stakeholders.

The World Economic Forum is a Swiss non-governmental organization that was founded in 1971 to engage business, academic and political leaders in key economic issues related to the development of the global economy.


Technical Market Outlook:
The ETH/USD has bounced fromt he technical support located at the level of $188.86 and is currently heading back towards the recent swing high located at the level of $198.72. Nevertheless, there is a clear bearish divergence between the price and momentum indicator that supports the short-term bearish outlook, so the level of $188.86 might not be the target level and the ETH/USD rate can drop even further towards the next target at $178.25. The key short-term technical resistance is still located at the level of $198.72 and only a clear breakout above this level will open the road towards the $209.09 target.

Weekly Pivot Points:
WR3 - $243.80
WR2 - $220.39
WR1 - $211.16

Weekly Pivot - $187.55
WS1 - $172.98
WS2 - $155.34
WS3 - $144.09


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 04.29.2020 - Strong resistance on the test at the price of $8.400



Despite its nascency, central bank digital currencies and their offshoots have rapidly evolved into a serious alternative to typical bank accounts.

BTC has been trading upwards. The price reached the strong resistance zone at the level of $8,100. My advice is to be careful buying into the resistance.

Resistance levels is set at the price of $8,400

Support levels are set at the price of $7,520




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

[IFX_Selena]

Technical Analysis of BTC/USD for 30 April 2020

Crypto Industry News:
Hackers infected Parkview Medical Center infrastructure - the largest health center in Pueblo County, Colorado - with ransomware. One of the hospital employees reported that the patient information storage system at the Parkview Medical Center was infected with ransomware and stopped working. The hospital confirmed the incident in a statement.

It is worth mentioning that despite the crisis due to COVID-19, attacks using ransomware are still ongoing, but their number has decreased during this period. A recently attacked facility also stated that it had switched to a paper patient registration system.

Malware ransomware is evolving rapidly and is perceived by many as serious, if not the greatest cyber security threat. While almost all ransomware discovered so far require payment or "ransom" in cryptocurrencies, Check Point recently revealed a new ransomware attack in which attackers require credit card payments.


Technical Market Outlook:
The BTC/USD pair has been rallying all night long and is currently heading towards the level of $10,000, which is the next big level for BTC bulls. Currently, the bulls has hit the technical resistance zone located between the levels of $8,919 - $9,249 in extremely overbought market conditions. The nearest technical support is seen at the level of $7,934.

Weekly Pivot Points:
WR3 - $9,046
WR2 - $8,348
WR1 - $8,040

Weekly Pivot - $7,352
WS1 - $7,064
WS2 - $6,356
WS3 - $6,047


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 30 April 2020

Crypto Industry News:
The China Office of the Central Commission for Cyberspace Affairs (OCCAC) has announced blockchain projects that will receive the approval of national regulatory authorities. 224 projects in this technology have been added to the committee register, including large technology companies such as Alibaba, Baidu and China Mobile.

The list of approved projects includes the ventures of several large corporations, including Walmart China, whose food safety tracking initiative has been marked green, and companies involved in the development of state-supported blockchain networks, such as China Mobile, China Merchants Bank and Alibaba. Some entities have been allowed to implement many DLT projects, and five blockchain projects from China Merchants Bank have already received approval.

On April 25, China announced the commercial launch of the long-awaited Blockchain Service Network (BSN). The Chinese government announced over 2,000 BSN-based programs in the six months prior to the beta release in October 2019, including applications to support social assistance distribution, goods tracking and digital invoicing. On April 20, the city of Ya'an in Sichuan issued a statement supporting the directing of local hydropower to cryptocurrency mining operations, announcing plans to build the so-called Demonstration zones for hydropower consumption.


Technical Market Outlook:
The ETH/USD has been rallying for the last 36h straight as all the technical resistance levels has been violated. The next target for bulls is seen at the level of $235.42, but please notice, that the market conditions are extremely overbought. The nearest technical support is located at the level of $214.67, $212.48 and $209.89. The bulls are in full control of the market.

Weekly Pivot Points:
WR3 - $243.80
WR2 - $220.39
WR1 - $211.16

Weekly Pivot - $187.55
WS1 - $172.98
WS2 - $155.34
WS3 - $144.09


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