Cryptocurrency Analysis

[IFX_Selena]

Technical Analysis of BTC/USD for 07 January 2019

Crypto Industry News:
The Chinese Central Bank (PBoC) reports that work on the government-supported digital currency is "running smoothly." The bank issued a statement during a working conference held in Beijing on January 2-3, according to an official announcement.

China devoted five years of research and development to the new Central Bank Digital Currency (CBDC) and began its first real-world currency pilot in December 2019.

As a form of digital legal tender - unlike private, decentralized cryptocurrency - CBDC will be controlled by PBoC and 100% backed by reserves that commercial institutions pay to the institution.

As mentioned, the PBoC made a brief statement on progress in the field of digital yuan as part of the conference on "studying and implementing the spirit" of the fourth plenary session of the 19th Central Committee of the Communist Party of China in October 2019 and the annual December Central Labor Conference. Commerce.

During the conference, which was spoken by the president of PBoC Yi Gang and secretary of the Chinese communist party Guo Shuqing, the work of PBoC in 2019 was summarized and the bank's key tasks regarding further development of "Chinese socialism" in 2020 were outlined.

The tasks of the bank in 2020 under the aegis of the Central Committee of the Party and the Council of State will include making "countercyclical adjustments" in monetary policy, counteracting financial risk and striving for continuous liberalization of the national economy.


Technical Market Overview:
The BTC/USD pair has been rallying higher towards the level of technical resistance located at $7,934 after the Bullish Engulfing pattern was made around the level of $6,789. If the rally persists, then the next target for bulls is seen at the level of $8,049 or $8,298. Moreover, the Bitcoin has broken out of a narrow range located between the levels of $6,345 - $7,601, just as other main cryptocurrencies like ETH and BCH done earlier. The larger timeframe trend remains down and there are no signals of any trend reversal just yet.

Weekly Pivot Points:
WR3 - $8,248
WR2 - $7,819
WR1 - $7,642

Weekly Pivot - $7,179
WS1 - $6,988
WS2 - $6,550
WS3 - $6,318


Trading Recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is still down. 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 © 2007-2020

[IFX_Selena]

BTC analysis for 01.06.2020 - Trednline resistance is on the test, watch for potential selling opportunities

Industry news:
The first of bitcoin's spikes came after a price rally in haven markets on Friday – the day on which a US-sponsored drone attack killed Qassem Soleimani, a top Iranian military official. Investors moved into Gold, Oil, Palladium, and into any asset seen as havens in times of geopolitical tensions.

The close proximity between the price rise in traditional havens and that of bitcoin led analysts to correlate the cryptocurrency's gains with the US-Iran conflict.


Technical analysis:


Bitcoin has been trading upside. The resistance trend line at the price of $7.600 did hold successfully, wich is sign for potential downside rotation.

MACD oscillator is showing upside momentum and with slow line that is slopping to the upside..

Yellow rectangles – Support and first downward target

Resistance levels are seen at the price of $7.600 and $7.700

Support levels are set at the price of $7.250 and at the price of $6.885




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

[IFX_Selena]

Technical Analysis for ETH/USD on 06 January 2020

Crypto Industry News:
The National Intellectual Property Administration (NIPA) in China continues to clarify the guidelines for Blockchain patent applications, which will come into force on February 1.

At the end of December 2019, NIPA announced revised guidelines on patent applications for new emerging technologies, such as Blockchain, Artificial Intelligence, Big Data, and rules and business methods.

Examples of revised guidelines are methods and devices for secure communication between Blockchain nodes. The patent application of the invention proposes a method and device for communicating with a Blockchain node that solves the problem that Blockchain business nodes leak privacy data when communicating with each other. The guidelines read:

Before the business node in the Blockchain chain establishes the connection, it can determine whether to establish a connection according to the CA certificate transferred in the communication request and the pre-configured CA trust list. This reduces the risk of private data leaking from business nodes and improves the security of data stored in the Blockchain chain.

Analysts said the change in guidelines is a direct response to the needs of developing new industries such as Blockchain. It also reflects China's strategic direction of strengthening intellectual property protection by being more friendly to patent applicants in these emerging fields - all of which seem to herald the long-awaited digital renminbi.


Technical Market Overview:
The ETH/USD pair has broken out from the trading range after the level of $138.10 had been clearly violated. The local high has been made at the level of $139.90 so far, so just under the Weekly Pivot Resistance level 1 located at the level of $140.35. The momentum behind the move up looks strong, so there is still a chance to continue the rally towards the next target located at the level of $143.81. The nearest technical support is seen at the level of $136.77.

Weekly Pivot Points:
WR3 - $152.72
WR2 - $144.64
WR1 - $140.53

Weekly Pivot - $132.09
WS1 - $127.41
WS2 - $119.97
WS3 - $115.08


Trading Recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is down. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the downtrend. When the wave 2 corrective cycles are completed, the market might will ready for another wave up.






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

[IFX_Selena]

Technical Analysis of BTC/USD for 06 January 2020

Crypto Industry News:
Bitcoin has come to Burger King in Venezuela - a new partnership opens cryptocurrency payments in the fast food chain.

As confirmed in a tweet, a single Burger King branch in the Sambil area of Caracas now accepts Bitcoins, along with Ethereum, Litecoin, Binance Coin and Dash altcoins, as well as Tether Stablecoin. According to a blog post from Dash management, in 2020 the number of locations servicing such payments will increase to 40.

Cryptobuyer is a cryptocurrency trading platform based in Panama that also supports the fleet of Bitcoin ATM. It offers conversion of cryptocurrency funds for companies, which it then pays in fiat currency.

Venezuela continues to suffer from severe economic turmoil, which is causing efforts to increase the use of cryptocurrencies. The government has avoided cross-border payment methods by imposing severe restrictions on access to foreign currencies.

Instead, Petro, a highly controversial cryptocurrency supported by the state, is the official favorite weapon in the fight against the crisis. Petro is currently the only currency accepted for some basic services, such as passports.


Technical Market Overview:
The BTC/USD pair has been rallying higher towards the level of technical resistance located at $7,464 after the Bullish Engulfing pattern was made around the level of $6,789. If the rally persists, then the next target for bulls is seen at the level of $7,601 or $7,710. Nevertheless, the Bitcoin is still trading inside of a narrow range located between the levels of $6,345 - $7,601 and all these inside movements are not as valid and strong as a breakout move. The larger timeframe trend remains down and there are no signals of any trend reversal just yet.

Weekly Pivot Points:
WR3 - $8,248
WR2 - $7,819
WR1 - $7,642

Weekly Pivot - $7,179
WS1 - $6,988
WS2 - $6,550
WS3 - $6,318


Trading Recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is still down. 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 © 2007-2020

[IFX_Selena]

Technical Analysis of BTC/USD for 03 January 2020

Crypto Industry News:
In most reports summarizing 2019 Bitcoin was not taken into account, and in addition the public still has a rather negative opinion about it. However, despite this, Bitcoin has become the most profitable asset of the past year.

Being more specific, the largest cryptocurrency in 2019 increased its value by over 90%. For comparison, palladium - 57%, followed by crude oil - 35.8% and nickel - 34.1%, according to the data provided by Reuters, at the forefront of traditional assets.

Another objection of Bitcoin opponents is to be its high volatility. Last year, however, showed that this argument is becoming less and less valid. Looking at market data, Bitcoin recorded both positive and negative moves at less than 1% for 150% of this year.

This factor was also responsible for Bitcoin's perception of the media. At one point, he was considered a safe haven for digital gold, but soon became an asset of purely speculative nature.

Last year, we also witnessed the growth of market foundations. At the end of the year, the number of BTC ATM exceeded 6,000 units worldwide, and the number of active addresses in the Bitcoin network increased by 7%.


Technical Market Overview:
The BTC/USD pair has tested the technical support located at the level of $6,798 and bounced suddenly towards the level of $7,157, creating a Bullish Engulfing candlestick pattern. The bull did not throw a towel just yet and the next target for them is seen at the level of $7,389 and $7,482. Nevertheless, the Bitcoin is still trading inside of a narrow range located between the levels of $6,345 - $7,601 and all these inside movements are not as valid and strong as a breakout move. The larger timeframe trend remains down and there are no signals of any trend reversal just yet.

Weekly Pivot Points:
WR3 - $8,243
WR2 - $7,942
WR1 - $7,641

Weekly Pivot Point - $7,288
WS1 - $6,995
WS2 - $6,660
WS3 - $6,345


Trading Recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is still down. 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 © 2007-2020

[IFX_Selena]

Technical Analysis of ETH/USD for 03 January 2020

Crypto Industry News:
Mark Hipperson, former head of technology at the Barclays Group, as well as co-founder and former technical director at US Starling Bank, plans to launch his latest digital banking venture, Ziglu, in the first quarter of 2020.

The fully digital account, which is the next step in the bank's concept, will allow you to store multiple currencies, both fiat and digital, in the same account.

A free account will not only be able to keep balances in many currencies, but also freely exchange funds between them. Foreign currencies will be available to buy and sell at interbank rates, and cryptocurrency purchases and sales will be available at the best price among many exchanges.

What's more, according to the Ziglu website, any currency stored on your account can be spent anywhere in the world using a Mastercard debit card. This includes cryptocurrencies that will be immediately converted at the point of sale.

Hipperson has been the CEO of Ziglu since September 2018, and the company has submitted an application to the UK Financial Supervisory Authority (FCA) to become an issuer of electronic money. Pre-release applications are currently being downloaded, but only from UK residents, although there are plans to expand in the future.

Ziglu is certainly not the first company to offer a combined fiat/crypto account. In August of last year, the battle launched an account with an attached Bitcoin wallet and has since also added Ethereum functionality.


Technical Market Overview:
The ETH/USD pair has dropped from the local high at the level of $136.64 to the lower channel line located around the level of $125.00 ( the actual low has been made at the level of $124.48). The bulls have temporary control as they have managed to make a Bullish Engulfing pattern at the lower channel line support and the market is currently trading around the level of $128.00. It is worth to keep an eye on the current developments of the Ethereum market, despite the fact, that the market is still trading aimlessly inside of a range. An important breakout higher or lower can happen anytime now.

Weekly Pivot Points:
WR3 - $156.40
WR2 - $145.89
WR1 - $141.32

Weekly Pivot Point - $130.81
WS1 - $125.47
WS2 - $114.97
WS3 - $109.88


Trading Recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is down. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the downtrend. When the wave 2 corrective cycles are completed, the market might will ready for another wave up.






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

[IFX_Selena]

BTC analysis for 01.02.2020 - Watch for potential drop on the BTC

Industry news:
According to data provided by Blockchain, Bitcoin hashrate has reached a new all-time peak of 119 EH/s, which flies in the face of FUD (fear, uncertainty, and doubt) about imminent market capitulation. The Bitcoin network continues to get significantly stronger despite the asset's lackluster price action.


Technical analysis:


Bitcoin is still trading inside of the consolidation at the price of $7.103 and there is potential for the further downside movement. My analysis from previous analysis I still the same and I do see potential completion of the upward correction ABC (running flat), which is a sign that selling is in play... Watch for selling opportunities and target at the price of $6.455.

MACD oscillator is showing rotation from the natural mode into the bearish mode, which is sign that there is the big move that is coming and potential expansion period.

Yellow rectangles – Current trading range

Resistance levels are seen at the price of $7.400 and $7.700

Support levels are set at the price of $7.030 and at the price of $6.455





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

[IFX_Selena]

Technical Analysis of ETH/USD for 02 January 2020

Crypto Industry News:
According to several analysts, the Ethereum network was the target of a coordinated attack. Following reports claiming that some Parity Ethereum nodes have lost synchronization with the network, on December 31, Parity Technology from the Blockchain core infrastructure announced that it believed there was an attack, and then released network updates to protect itself.

According to cryptocurrency security consultant Sergio Demian Lerner, the attack was implemented in a simple way in which the user sends to the Parity node a block with invalid transactions but the correct header (borrowed from another block). The node will mark the block header as invalid and block the header forever, however, the header is still valid.

Software developer Liam Aharon analyzed the attack, concluding that it was close to the destruction of the entire network and that Ethereum may become much more vulnerable to similar attacks in the coming year.

According to Aharon, the attack did not manage to cut off the entire network because it has a client called Geth who was immune to the attack. However, given Parity's intention to transition from Parity Ethereum to the DAO ownership and maintenance model, Geth may become the only well-maintained customer in 2020.


Technical Market Overview:
After the Pin Bar candlestick pattern has been made on the ETH/USD pair at the level of $136.64, the market keeps trading lower and is approaching the lower channel line located around the level of $125.00. The bulls have temporary control of the market, but it might not last for long as the price is getting closer to the key technical resistance area. Nevertheless, it is worth to keep an eye on the current developments of the Ethereum market, despite the fact, that the market is currently trading aimlessly inside of a range. A breakout higher or lower can happen anytime now.

Weekly Pivot Points:
WR3 - $156.40
WR2 - $145.89
WR1 - $141.32

Weekly Pivot Point - $130.81
WS1 - $125.47
WS2 - $114.97
WS3 - $109.88


Trading Recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is down. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the downtrend. When the wave 2 corrective cycles are completed, the market might will ready for another wave up.






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

[IFX_Selena]

Technical Analysis of BTC/USD for 02 January 2020

Crypto Industry News:
Bitcoin miners in the Chinese province of Sichuan are under pressure from local authorities to limit their activities due to electricity shortages.

In the dry season, which lasts from October to April, the supply of electricity drops drastically in southwestern China, which is why local authorities tighten screws to mining companies to reduce their activities.

Running Bitcoin mining companies is officially banned, but they are tolerated in the Sichuan province in the rainy season when hydroelectric power plants produce more energy than necessary, using the excess energy produced.

However, in the dry season, local authorities are trying to ensure sufficient energy supply for residents and local businesses, and are therefore turning their attention to regional Bitcoin farms that consume excessive amounts of electricity to operate.

Chinese authorities are not only dealing with mining farms. Power plants are also chasing. Two power plants received fines of around $ 140,000 in December for supplying Bitcoin electricity without obtaining a power license.

China, whose Bitcoin miners are currently responsible for up to 66% of the global hash rate, continues to fight the illegal use of energy by cryptographic miners. In mid-November, regulators in the Chinese autonomous region of Inner Mongolia tightened control over cryptocurrency mining companies by sending control units to ensure the rectification of cryptocurrency mining companies in the region.


Technical Market Overview:
The BTC/USD pair has been trading inside of a tight range located between the levels of $7,461 - $7,195 for all the first days of 2020, so not much has changed yet. At the top of this range, another Pin Bar candlestick pattern has been made, which might indicate a possibility of a wave down. The key technical resistance is still located at the level of $7,601, so any rally higher must break through this level. On the other hand, the key technical support is seen at the level of $6,938 and this is where the price seems to be heading now.

Weekly Pivot Points:
WR3 - $8,243
WR2 - $7,942
WR1 - $7,641

Weekly Pivot Point - $7,288
WS1 - $6,995
WS2 - $6,660
WS3 - $6,345


Trading Recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is still down. 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 © 2007-2020

[IFX_Selena]

Technical Analysis of ETH/USD for 27 December 2019

Crypto Industry News:
Mike Blandina, a former PayPal and Google veteran, has become the new CEO of Bakkt's largest cryptocurrency trading platform.

After the departure of president of the founder Kelly Loeffler, who was appointed to the US Senate in early December, Blandina was promoted to the position of CEO when he joined Bakkt as Product Director in April 2019. According to the announcement of the parent company Bakkt, Intercontinental Exchange, nomination entered into force on December 20.

Together with the new CEO, Bakkt also appointed Adam White, former director of the US Coinbase Cryptographic Exchange, as the company's new president. White has worked at Bakkt as Chief Operating Officer since joining the company in November 2018. He is also known to have started his career testing experimental aircraft as a US aviation officer, as announced in the announcement.

While Blandina will continue to direct Bakkt's strategic direction, payment products and markets, as well as regulatory issues, as Bakkt's new CEO, White will focus on digital asset markets, trust and trade, Jeffrey Sprecher, founder and CEO of ICE said in a statement.


Technical Market Overview:
The ETH/USD pair has made a local high at the level of $131.03, but bears have taken this opportunity to sell more Ethereum and pushed the prices lower towards the level of $123. Currently, the price is about to test the technical support located at the level of $122.13 and if broken, then the next target for bears is seen at the level of $118.65 and $116.15. The bears are still in control of the market, but for now, the swing low at the level of $115.05 is safe. Nevertheless, any violation of this low will invalidate the current Elliott wave scenario and will likely make the move down to extend towards the level of $114.00.

Weekly Pivot Points:
WR3 - $170.20
WR2 - $155.54
WR1 - $143.98

Weekly Pivot - $129.41
WS1 - $117.21
WS2 - $102.45
WS3 - $89.76


Trading Recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is down. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the downtrend. When the wave 2 corrective cycles are completed, the market might will ready for another wave up.






Performed by Sebastian Seliga
Analytical expert
InstaForex Group © 2007-2019