Cryptocurrency Analysis

[IFX_Selena]

Technical Analysis of ETH/USD for 05 June 2020

Crypto Industry News:
Brave Browser, a web browser based on cryptocurrencies, announced that its monthly number of active users has increased by 125% over the past year.

According to the published announcement, at the end of May the number of monthly active Brave Browser users reached 15.4 million. However, the number of daily active users reached 5.3 million after a 165% increase over the past year.

Considering the data from May, approximately 12.32% of all Brave Browser users use the cryptocurrency functions of the software. The company co-founder and CEO Brendan Eich explained:

"When we first released [Brave Browser] on computers, it accounted for 40% of browsers share on desktop computers, and when we added mobile devices, it turned out that people were less inclined to use it, but we're working to make it more attractive to use, making it more convenient. "

Brave Browser is an open source web browser created by Mozilla founder and JavaScript creator Brendan Eich, which focuses on providing better privacy and blocking intrusive ads and trackers. The browser also provides an optional advertising system based on Ethereum Blockchain and the company's proprietary Basic Attention Token (BAT).


Technical Market Outlook:
The ETH/USD pair has been consolidating under the upper channel line, around the level of $241.00 in a narrow zone. The last bounce was quite strong and if bears will not regain the control of the market soon, then the bulls will push the price towards last swing high seen at $253.00. The decreasing momentum supports the short-term bearish outlook for Ethereum. The next target for bears is seen at the level of $217.65 and $215.58.

Weekly Pivot Points:
WR3 - $307.85
WR2 - $277.87
WR1 - $257.91

Weekly Pivot - $226.70
WS1 - $208.30
WS2 - $176.78
WS3 - $157.13


Trading Recommendations:
The larger time frame trend on Ethereum remains down and as long as the level of $288 is not violated, all rallies will be treated as a counter-trend corrective moves. This is why the short positions are now more preferred. The next key technical support is seen at the level of $174.82.






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

[IFX_Selena]

Technical Analysis of BTC/USD for 05 June 2020

Crypto Industry News:
The latest Bloomberg report reveals that the company expects Bitcoin to re-test its 2017 record results, and that it could even reach $ 28,000.

The report suggests that COVID-19 has accelerated Bitcoin's maturation as an asset, showing its strength among declining stocks. In addition, it indicates the ever-growing appetite of institutional investors, in particular Grayscale or GBTC, which consumes about 25% of new supply. The constantly falling premium in GBTC despite strong influences indicates that supply is removed from the market and maturing. Based on an average 30-day premium of 20% on the holding fund relative to the underlying net asset value, it is comparable to a historical average of 39%.

The report says that "something must go really bad" so that Bitcoin does not grow. He then states that he will reach the highest level of $ 20,000 in 2017, and that he may even reach the new highest level of $ 28,000.

According to the report, another important reason is the rapid growth of Tether. In May, its market capitalization amounted to USD 4 billion. A year later it increased to 10 billion dollars. The increase in the circulation of stablecoins indicates a greater acceptance of cryptographic assets.

After halving and almost half of 2020, we should not wait long to see if the forecasts will come true.


Technical Market Outlook:
The BTC/USD pair has been consolidating the recent gains around the level of $9,700 after the bounce form the trend line dynamic support. The momentum is now neutral, so any clear violation of the level of $9,249 will accelerate the drop towards the next technical support located at the level of $8,565. The daily time frame trend remains up.

Weekly Pivot Points:
WR3 - $11,128
WR2 - $10,392
WR1 - $9,960

Weekly Pivot - $9,277
WS1 - $8,866
WS2 - $8,158
WS3 - $7,756


Trading Recommendations:
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 until the level of $10,791 is clearly violated. The key mid-term technical support is located at the level of $7,897.






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

[IFX_Selena]

BTC analysis for June 04,.2020 - Watch for the downside continuation towards the $8.685

News:


US exchanges added as defendants in ongoing lawsuit against Bitfinex and Tether.

Amended court document claims Poloniex and Bittrex aided in the purchase of Bitcoin using billlions of unbacked Tether. Plaintiffs insist Bitcoin's bull run, and its subsequent crash, would never have happened if it weren't for manipulation using Tether.


Trading recommendation:
Watch for potential selling opportunities on the rallies (after the upside correction). There is the broken upward trendline and potential for the downside continuation.

The downward targets are set at the price of $8,760 and $8,650.




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

[IFX_Selena]

Technical Analysis of BTC/USD for 04 June 2020

Crypto Industry News:
Coinbase went offline four times in the last three months during the main Bitcoin price movements, and furious users who can't access their wallets demand a response.

On June 1, when Bitcoin rose from $ 9,600 to $ 10,380 in less than an hour, Coinbase users trying to access their portfolio received a message that the site was "temporarily unavailable".

On May 9, two days before predicted halving, Bitcoin's price dropped sharply by nearly $ 2,000 in 24 hours, probably due to the huge sale of whales and other investors. On April 29, Bitcoin rose by almost 12% to $ 8,600. In both cases, many Coinbase users have once again been unable to trade any digital assets. It is worrying that this problem was not solved even after the mid-March event, when some stock market users were unable to sell Bitcoins while the price dropped to $ 3,000.

Many users of the largest cryptocurrency exchange in the United States have reported that they cannot trade during times of peak Bitcoin volatility. Unfortunately, huge declines or rapid price increases are events when investors want to buy and sell the most. When users do not have access to their accounts to sell their crypto, and the potential profits can simply disappear, when nothing can be bought, losses can accumulate.

The Coinbase status page provides updates on current crashes, but only cites "connection issues" on June 1, May 9, and April 29, and "network congestion" on March 12.


Technical Market Outlook:
The BTC/USD pair has bounced from the trend line support (blue and brown trend line color on the chart) and is currently hovering around the level of $9,500 after the bounce. The momentum is now weak and negative, so any clear violation below the level of $9,000 will accelerate the drop towards the next technical support located at the level of $8,565. The daily time frame trend remains up.

Weekly Pivot Points:
WR3 - $11,128
WR2 - $10,392
WR1 - $9,960

Weekly Pivot - $9,277
WS1 - $8,866
WS2 - $8,158
WS3 - $7,756


Trading Recommendations:
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 until the level of $10,791 is clearly violated. The key mid-term technical support is located at the level of $7,897.






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

[IFX_Selena]

Technical Analysis of ETH/USD for 04 June 2020

Crypto Industry News:
Chinese law enforcement agencies have discovered the operation of mining Bitcoins in what appeared to be underground burial sites. A local English-language news service reported law enforcement found illegal mining activities in the city of Daqing in northern China.

Police decided to investigate the area after a local oil company told law enforcement authorities about unexplained power losses. Policemen found an entrance near the mounds and discovered Bitcoin mining equipment that operated on stolen electricity.

Local media reported that law enforcement found 54 Bitcoin mining platforms in dog breeding in the same county in Heilongjiang Province at the beginning of the same week.

As cryptocurrency prices began to rise again, people's readiness to mine also increased. However, the government of the Chinese province of Sichuan recently announced that local companies must stop mining cryptocurrencies. This is especially noteworthy because, according to research at the University of Cambridge, the province is responsible for almost 10% of Bitcoin's global hashrate.


Technical Market Outlook:
The ETH/USD pair has bounced from the level of $225.84 and is currently testing the upper channel line from below. This bounce is quite strong and if bear will not regain the control of the market soon, then the bulls will push the price towards last swing high seen at $253.00. The decreasing momentum supports the short-term bearish outlook for Ethereum. The next target for bears is seen at the level of $217.65 and $215.58.

Weekly Pivot Points:
WR3 - $307.85
WR2 - $277.87
WR1 - $257.91

Weekly Pivot - $226.70
WS1 - $208.30
WS2 - $176.78
WS3 - $157.13


Trading Recommendations:
The larger time frame trend on Ethereum remains down and as long as the level of $288 is not violated, all rallies will be treated as a counter-trend corrective moves. This is why the short positions are now more preferred. The next key technical support is seen at the level of $174.82.






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

[IFX_Selena]

Technical Analysis of ETH/USD for 03 June 2020

Crypto Industry News:
Cryptocurrency exchanges and payment processors are now legally recognized as cash service companies in Canada.

On June 1, amendments were made to the Canadian Crime Income Act and the Terrorist Financing Act, which were adopted in June 2019 to remove holes in the existing legal framework.

Canadian crypto companies must now report all transactions in excess of $ 10,000 ($ 7,403) and register and comply with the Canadian Center for Transaction Analysis and Reporting (FINTRAC).

The new regulations will mainly affect cash companies, such as Bitcoin ATM operators, as most Bitcoin related companies have already introduced KYC funds because they were obliged to do so by their banking partners.


Technical Market Outlook:
The ETH/USD breakout above the 261% Fibonacci extension target located at the level of $247.36 was short-lived. The bears has aggressively pushed the prices lower towards the level of $225.85, so now the price is back in the main channel zone. The next target for bears is seen at the level of $217.65 and $215.58. The decreasing momentum supports the short-term bearish outlook for Ethereum.

Weekly Pivot Points:
WR3 - $307.85
WR2 - $277.87
WR1 - $257.91

Weekly Pivot - $226.70
WS1 - $208.30
WS2 - $176.78
WS3 - $157.13


Trading Recommendations:
The larger time frame trend on Ethereum remains down and as long as the level of $288 is not violated, all rallies will be treated as a counter-trend corrective moves. This is why the short positions are now more preferred. The next key technical support is seen at the level of $174.82.






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

[IFX_Selena]

Technical Analysis on BTC/USD for 03 June 2020

Crypto Industry News:
The world's leading mining equipment manufacturer Bitmain has launched a new ASIC Antminer T19 chip for Bitcoin mining.

According to the announcement of June 1, the new Antminer T19 has a SHA256 hash rate of 84 terahash / second with a 3% error margin and energy efficiency of 37.5 joules / terahash with a 5% error margin.

The new ASIC will be sold on the manufacturer's official website from today, and shipments will start between June 21-30.

The chips used in the new device are the same as in Antminers S19 and S19 Pro, but also uses the new APW12 power supply and updated software. These changes reportedly allow faster startup to optimize work.

The T19 announcement follows recent community reports that Bitmain's recently launched ASIC Antminer S17 + mining systems were flawed.


Technical Market Outlook:
The BTC/USD pair has dropped to the level of $9,158 after a failed breakout above $10k. The sell-off was sudden, dynamic and aggressive, so many traders were caught off-guard. The price has bounced from the trend line support (blue and brown trend line color on the chart) and is currently hovering around the level of $9,462 after the bounce. The momentum is now weak and negative, so any clear violation below the level of $9,000 will accelerate the drop towards the next technical support located at the level of $8,565.

Weekly Pivot Points:
WR3 - $11,128
WR2 - $10,392
WR1 - $9,960

Weekly Pivot - $9,277
WS1 - $8,866
WS2 - $8,158
WS3 - $7,756


Trading Recommendations:
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 until the level of $10,791 is clearly violated. The key mid-term technical support is located at the level of $7,897.






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

[IFX_Selena]

Accumulation of trading volumes may lead to an increase in Bitcoin

Greetings crypto enthusiasts!

Its been three weeks since the Bitcoin halving, and thus, it is only necessary that we clear and sort out what has changed and what is worth paying attention to.

On May 11, 2020, a new stage in the complication of digital gold mining took place, where market participants were able to prepare for a significant event and that is buying out BTC a few weeks before the halving. As a result, the quotes once again met a well-known level of interaction between the trading forces of $ 10,000, where there was a systematic slowdown, thereby even before the halving, traders recorded profits from long positions. The subsequent process had a peculiar accumulation of trading volumes, where the quotes worked out a new range within the range of $ 8500 / $ 10,000.

Should the existing slowdown be considered as a platform for future BTC growth? Why not, if there are reasons for this. Market participants, as well as major players, consider the new round of Bitcoin's life as a full-fledged exchange tool, and if we refer to JP Morgan's research, the intrinsic value of bitcoin coincides with its market price. That is, the fundamentally justified value of BTC has recently begun to correspond to the market price of the cryptocurrency, this can be considered a good signal for investors.

Returning back to the price range of $ 8500 / $ 10,000, you can see that the hype has subsided, but there is no accumulation, and stop orders [StopLoss] $ 8300 / $ 10 500 are concentrated outside the borders. Thus, a breakdown of one or another border will lead to a cascading model, where the activity of market participants will increase significantly.

It is worth considering that the location of stop orders is available on both sides of the range, but still the specified movement has an upward slope, and the combination of external factors indicates the prevailing interest from buyers.

Of the recent insider rumors, Goldman Sachs tried to manipulate the opinions of market participants in order to weaken the BTC rate for its subsequent acquisition, but the crypto community in the face of large and influential participants, such as the Winklevoss twins, rebuffed the double standards of the imposing party.



Current development and prospects

For the first time since February of this year, the quotes managed to reach $ 10,428, thereby bringing it closer to the $ 10,500 stop loss area, where shorts are sitting in shock, walking along the knife's edge in the current situation. It can be assumed that updating local highs is one of the signals indicating the intention of market participants in a further upward move. Do not rush into action if, of course, you didn't enter the market on our recommendation for another breakdown of the stagnation of $ 6500 / $ 7500, but even if you are sitting in profit and thinking about topping up, then wait until the price has passed the mark of $ 10,500.

If our theories are correct, then we can see the real crypto spring, where a phased ascent will bring the BTC quotes to the local maximum of 2019 - $ 13,868, which, perhaps, will not become the limit.



The general background of the cryptocurrency market

Analyzing the total market capitalization, we can see a good upward trend in trading volumes, where the Total market is currently $ 284 billion, which is $ 40 billion more than three weeks earlier.

If we consider the volume chart in general terms, then it is clear that the breakdown of February of this year at $ 304 billion will lead to further growth towards the 2019 high of $ 362 billion.



The emotion index (aka fear and euphoria) of the cryptocurrency market has recently grown substantially to level 56, which is considered a signal of growth in the activity of market participants. Let me remind you that three weeks earlier , the index indicator was 41.



Indicator analysis Analyzing a different sector of timeframes (TF), it can be seen that there is a buy signal relative to the main time periods, but it is worth taking into account that factor until the level of $ 10,500 is broken, the indicators will be affected by the sideways movement.






Performed by Gven Podolsky
Analytical expert
InstaForex Group © 2007-2020

[IFX_Selena]

BTC analysis for June 02,.2020 - Massive buying climax at the $10.000 level. Watch for potential selling opportunities...

News:


KEY TAKEAWAYS
The announcement of Celo Network earlier this year marked the first true rival for Facebook's Libra. a16z believes more competitors could emerge, putting stress on Libra, forcing regulators to take action.

Libra's failure thus far stems from Facebook's scandalous past and its initial plan of introducing a new currency.

The winner of this race will likely be the one that operates without threatening the state's monopoly over the monetary system.


Technical analysis:
BTC has been trading aggressively to the upside. The price tested the level of $10,400 but it did that on the ultra high volume and very wide spread of the candle, which represents climatic action and potential for the downside rotation.





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

[IFX_Selena]

Technical Analysis of BTC/USD for 02 June 2020

Crypto Industry News:
The Russian police initiated criminal proceedings against the former head of the local branch of the Russian Post Office, who managed to extract cryptocurrencies through the network of the office in the town of Mineralnye Vody in the southern part of the country.

According to a report published by the local news site, the Russian Investigative Committee of the SU for the Stavropol region, said the former head of the branch is suspected of illegal installation and extraction of cryptocurrencies using "professional equipment" using the company's power grid for almost six months. The suspect's activity continued until September 2019.

According to the local authorities responsible for the investigation, the Federal Postal Service in Stavropol's territory suffered more than 30,000 Russian rubles, or about $ 427. Suspects will be charged with "abuse of power" in accordance with the criminal code of the Russian Federation. The committee of inquiry is still in the phase of collecting evidence. Furthermore, the identity of the person detained by the police has not been disclosed to the media because the investigation is still pending and no criminal prosecution has yet been brought.

A similar case occurred in March in St. Petersburg, when information appeared about an operation carried out by the Russian police to capture Bitcoin miners who stole $ 200,000 of electricity every month to extract cryptocurrency. Criminals managed to establish eight locations with a sophisticated infrastructure that connected their mining equipment directly to a public source of electricity.


Technical Market Outlook:
The BTC/USD pair has reclaimed the level of $10,000 as anticipated and violation of this level will be a very bullish signal. Now the bulls are testing the level of $10,000 from below and if the market starts to bounce, the next target is the last local high seen at $10,343 and then at $10,430. Please notice, that there is developing bearish divergence between the price and momentum seen on the H4 time frame chart.

Weekly Pivot Points:
WR3 - $11,128
WR2 - $10,392
WR1 - $9,960

Weekly Pivot - $9,277
WS1 - $8,866
WS2 - $8,158
WS3 - $7,756


Trading Recommendations:
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 until the level of $10,791 is clearly violated. The key mid-term technical support is located at the level of $7,897.






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