Cryptocurrency Analysis

[IFX_Selena]

BTC analysis for June 18,.2020 - Resistance at the price of $9.600 in control. Watch for selling opportunities with target at $8.888

Corona virus summary:


A new Bitcoin ETF proposal filed by New York-based asset management company WisdomTree Investments is getting cold reception on Wall Street, according to a recent Bloomberg report. The main sticking point is that it actually offers exposure to Bitcoin futures instead of the physical asset. According to Steven Dunn of Aberdeen Standard Investments, this might not sit well with investors who might not even understand what they are getting.


Technical analysis:
BTC has been trading sideways at the price of $9,400. I still see potential for the downside movement due to rejection of the resistance in the background at $9,600.

Watch for selling opportuntiies due to rejection of the resistance with the targets at $8,888 and $8,735






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

[IFX_Selena]

Technical Analysis of BTC/USD for 18 June 2020

Crypto Industry News:
South Korean experts have found in local media that cryptocurrencies are a "bad choice" as a safe asset during the COVID-19 pandemic. Professor Hong Ki-hoon of Hongik University said that crypto assets such as Bitcoin should not be considered "safe" at the level of gold, dollars or even US Treasury bonds. However, he does not deny that volatility in the financial markets causes the accumulation of more money on the cryptocurrency market.

Hong from the University of Hongik's business administration department says:

"To be a safe haven, two conditions must be met. First, asset volatility must be low, and second, when market volatility is expected to increase, value should increase. Therefore, crypto does not meet the conditions."

The professor also says about the reasons for the increase in the range of cryptography during a coronavirus outbreak:

"The reason for the rise in volume after the crash in the markets was because the spirit of investing in greater volatility worked to offset the depreciated asset value."

The article also expressed concerns about "market manipulation." He states that the cryptographic environment is not sufficiently regulated in the country. They believe that the current popularity of the market does not reduce the concerns of investors who are hesitant about buying cryptocurrency.

On the other hand, an anonymous investment expert cited by an information portal revealed:

"Individual investors are often unable to properly manage the risk associated with shares, but it is virtually impossible to assess the risk factors for cryptocurrencies. You must understand before you fully invest."

The Ministry of Economy and Finance of South Korea announced on May 27 that they are preparing to amend the Income Tax Act, which may affect the profitability of cryptocurrencies in this country.


Technical Market Outlook:
The local high during the BTC/USD bounce was made at the level of $9,530 and since then the market pulled back towards the technical support located at the level of $9,249. In a case of a pull back extension from here, the next technical support is seen at the level of $8,565 and the nearest technical resistance is still seen at the level of $9,530. The larger time frame trend remains up. The momentum indicator is totally flat around the neutral level of fifty.

Weekly Pivot Points:
WR3 - $10,691
WR2 - $10,307
WR1 - $9,752

Weekly Pivot - $9,407
WS1 - $8,828
WS2 - $8,448
WS3 - $7,903


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 18 June 2020

Crypto Industry News:
The Venezuelan government has announced that almost 15% of all fuel payments at gas stations across the country are made using Petro (PTR). This increase occurs in the first week of a new state-supported plan to promote widespread token use. According to the Ultimas Noticias report, 40% of PTR transactions went through foreign stations.

The adoption of Petro will strengthen the balance and approval of value between the primary and secondary market, "allowing the construction of an economic and stable structure of the cryptographic environment in the country."

Citizens used biometric solutions to process payments secured with oil token via gas stations in Venezuela. An article in local media, which is favorable to President Maduro, assures readers that Petro himself "has set an unprecedented milestone," as allegedly the first crypto used by seniors in the world. This claim appears despite orders issued by US President Donald Trump to sanction the use of the Venezuelan token.


Technical Market Outlook:
The ETH/USD pair is still hovering around the lower channel line. The technical resistnace located at the level of $235.42 has been too strong for bulls and new local low was made after the failed rally. Any violation of this line will likely make the level of $217.65 a temporary low for the market. The next technical support is seen at the level of $217.65 and $209.89. The nearest technical resistance is still seen at the level of $235.42. The larger time frame trend remains up.

Weekly Pivot Points:
WR3 - $269.64
WR2 - $259.20
WR1 - $244.61

Weekly Pivot - $234.84
WS1 - $219.79
WS2 - $210.55
WS3 - $195.77


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]

BTC analysis for June 17,.2020 - The main resistance at the price of $9.600 is holding. Watch for selling opportunities with the target at $8.880

News:


Bitcoin investors seem to be anything but worried, despite the expectations of a retracement as the bull trend formed after March loses its direction.

Blockchain analytics upstart Glassnode reported that the number of BTC addresses holding more than 0.1 coins (~$1,000) has recently passed its old all-time high, reaching 3,054,282 addresses.

This indicates strong retail accumulation and the distribution of coins amongst the crypto diaspora.


Trading recommendation:
Watch for selling opportunities at the resistance at $9,50 with the downward targets at the price of $8,888 and $8,730.

Stochastic is in overbought zone and there is the fresh cross to the downside





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

[IFX_Selena]

Technical Analysis of ETH/USD for 17 June 2020

Crypto Industry News:
The S2F model, popularized by an anonymous analyst, predicts the price of bitcoin based on a shortage of digital coins. It is usually used to forecast the prices of goods such as gold and silver, whose decreasing supply determines the price. PlanB concluded that the S2F model can also be applied to limited supply assets, such as Bitcoin. S2F includes Bitcoin halving and predicts that the price of a digital coin can reach as much as USD 288,000 by 2024. While Bitcoin maximal's look at this model with hope, co-founder Ethereum is not convinced of the legitimacy of its use.

Vitalik Buterin stated that the very method of configuring the model prevents its overthrow. He explained that if the price of bitcoin peaked before halving, the model proved to be correct because it suggests that the price has risen in anticipation of this event. Buterin noted, however, that this thinking applies to every other event on the BTC bitcoin timeline when the cryptocurrency price reaches its peak:

"The" halvings cause BTC price rises "theory is unfalsifiable: was the peak before the halving? Then it" rose in anticipation of the halving "During?" Because of the halving "After?" Because of ... ". The last $ 20k peak was near the halfway point between the 2016 and 2020 halvings "- wrote Buterin on Twitter.

Later in the thread Vitalik Buterin confirmed his opinion. He said he completely disagrees with the S2F model.

Some Twitter users have noticed that the stock-to-flow model alone does not mean that the peak is a direct consequence of halving the prize. They claim that each period between halving displays different orders of magnitude due to changes in supply.


Technical Market Outlook:
The ETH/USD pair has failed to rally higher towards $250 and is currently testing the lower main channel boundary from below. Any violation of this line will likely make the level of $217.65 a temporary low for the market. The next technical support is seen at the level of $217.65 and $209.89. The nearest technical resistance is still seen at the level of $235.42. The larger time frame trend remains up.

Weekly Pivot Points:
WR3 - $269.64
WR2 - $259.20
WR1 - $244.61

Weekly Pivot - $234.84
WS1 - $219.79
WS2 - $210.55
WS3 - $195.77


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 17 June 2020

Crypto Industry News:
Bitcoin mining difficulty is an indicator of the ease with which miners can create new transaction blocks on the network. It increased by almost 15% yesterday. This jump represents the largest upward movement of this type since January 2018. The change occurred at block height of 635.040, and the network adjusted its difficulty to 14.94%, according to data from BTC.com.

This is the highest positive correction of difficulty since January 2018, when the mining sector staggered after the speculative bull run that took place at the end of 2017. Two jumps took place at that time: by 15.36% and 16.84%. They took place on January 13 and 25, respectively.

The difficulty of mining bitcoin shows how difficult the task for miners is to "dig" a new BTC. The indicator "tunes" every 2016 blocks to reflect the state of the network.

After the last halving, the mining award for block mining in the network dropped from 12.5 BTC to 6.25 BTC. In the same period, Bitcoin's hash rate, which measures compulsive network power, lost 26 percent.

Some cryptocurrency mining market participants had to turn off excavators after halving reduced their potential revenues by half.

As a result of these events, after which the mining sector experienced a kind of exodus, there were two negative adjustments of difficulty: May 20 (-6 percent) and June 4 (-9.29 percent).


Technical Market Outlook:
The BTC/USD pair made the local low at the level of $8,860, but there is still a room for another wave down. Nevertheless, the bulls have managed to push the price back up after the low was made and currently the price is trading around the level of $9,400. The local high during the bounce was made at the level of $9,530. In a case of a reversal from here, the next technical support is seen at the level of $8,565 and the nearest technical resistance is still seen at the level of $9,249. The larger time frame trend remains up.

Weekly Pivot Points:
WR3 - $10,691
WR2 - $10,307
WR1 - $9,752

Weekly Pivot - $9,407
WS1 - $8,828
WS2 - $8,448
WS3 - $7,903


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 16,.2020 - Resistance at the price of $9.500 on the test. Watch for the downside rotation towards the $8.880

Corona virus summary:


Askar Zhumagaliyev, Kazakhstan's Digital Development, Innovation, and Aerospace Industry Minister, made this known whileaddressing the Senate in a June 11 plenary session.


Technical analysis:
BTC is trading at the resistance at $9,500. I see potential for the downside rotation towards the $8,880 and $8,725.


Trading recommendation:
Resistance is set at the price of $9,500





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

[IFX_Selena]

Technical Analysis of BTC/USD for 16 June 2020

Crypto Industry News:
On June 13, the company monitoring the cryptocurrency market - Glassnode, published data that indicate that the number of portfolios on which 0.1 BTC or more is stored has reached a new record. There are currently 3 054 282 such portfolios, which is 212 more than the previous record on May 21.

The number of investors with more than 0.1 BTC since the bull market in 2017 is constantly growing. On the other hand, from April 2019, new records above 2.75 million are systematically set. From August 2017 to January 2018, the number of such portfolios increased by 45% from 1.8 million to over 2.6 million. The number of wallets storing a minimum of 0.1 Bitcoin began to increase rapidly since February 2020, most likely due to the impending halving. The number of Ethereum addresses (ETH) on which 0.1 ETH or more is stored has also reached new ATH in recent days. Currently at least 0.1 ETH is on 2 984 080 wallets. Unlike Bitcoin, the number of Ethereum wallets storing more than 0.1 ETH was not able to improve its previous record until April this year. From March 2018, their numbers fluctuated between 2.4 and 2.7 million.

The last big bull market that took place in 2017 caused a huge increase in the number of ETH investors holding more than 0.1 Ethereum. It increased by approximately 400%, from 500,000 in August 2017, to 2.4 million in February 2018.


Technical Market Outlook:
The last local low on BTC/USD was made at the level of $8,860, but there is still a room for another wave down. Nevertheless, the bulls have managed to push the price back up after the low was made and currently the price is trading around the level of $9,400. In a case of a reversal from here, the next technical support is seen at the level of $8,565 and the nearest technical resistance is still seen at the level of $9,249. The larger time frame trend remains up.

Weekly Pivot Points:
WR3 - $10,691
WR2 - $10,307
WR1 - $9,752

Weekly Pivot - $9,407
WS1 - $8,828
WS2 - $8,448
WS3 - $7,903


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 16 June 2020

Crypto Industry News:
Estonia, one of the EU's friendliest countries in relation to cryptocurrencies, will withdraw licenses from hundreds of companies operating in the crypto industry. According to the media, this is the government's response to the $ 220 billion money laundering scandal.

Estonia was one of the first countries in the European Union to grant licenses to crypto companies. However, the country was forced to withdraw them after detecting hundreds of billions of dollars of dirty money in the Estonian branch of the largest Danish bank - Danske Bank A / S. This event put Estonia at the center of Europe's largest money laundering scandal.

Despite the fact that Danske Bank A / S's activities came to light already in 2018, they have not yet been settled. The case is complicated because one of the main people involved in the whole deal, who was responsible for the transaction, committed suicide.

The Estonian branch of Danske Bank was to process hundreds of thousands of transactions for people who were not residents of the European Union in the years 2009-2015. Most of his clients were names from the former Soviet Union.

Madis Reimand, head of Estonia's financial analytical unit, revealed that regulators suspect that licensed cryptocurrency companies are abusing their Estonian fraud rights elsewhere.

Therefore, more than 500 companies - which is about 1/3 of all cryptocurrency companies - that have not started operations in Estonia within six months of obtaining the license, have their licenses withdrawn.

"This is the first step in ordering the market that will allow us to deal with urgent matters, allowing only companies that may be subject to Estonian supervision and coercive measures." - said Madis Reimand.


Technical Market Outlook:
The ETH/USD pair has failed to rally higher towards $250 and is currently testing the lower main channel boundary from below. Any violation of this line will likely make the level of $217.65 a temporary low for the market. The next technical support is seen at the level of $217.65 and $209.89. The nearest technical resistance is still seen at the level of $235.42. The larger time frame trend remains up.

Weekly Pivot Points:
WR3 - $269.64
WR2 - $259.20
WR1 - $244.61

Weekly Pivot - $234.84
WS1 - $219.79
WS2 - $210.55
WS3 - $195.77


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 15 June 2020

Crypto Industry News:
India probably can't decide whether they support cryptocurrencies or prefer to fight them. It turns out that the Ministry of Finance demanded a ban on digital currencies throughout the country. It is a kind of return to the ideas from 2019.

It is surprising because only a quarter ago the Supreme Court of India decided that the recommendation of the central bank of the country, which led to the fact that commercial banks terminated contracts for maintaining accounts for companies from the BTC market, is unconstitutional. It is true that banks still did not want to open accounts for cryptocurrency exchanges, but this would soon change, as the Reserve Bank of India was to send them an appropriate letter in which he explained the Supreme Court's judgment.

So when everything started to go in the best direction, now there is a new proposal from the Ministry of Finance. The ministry wants to ban cryptocurrencies throughout the country. The application will first be sent to the Council of Ministers. It is only in the second stage that the minister will forward it to the parliament for final review.

The new idea, however, evokes a bill from July last year, when a government team led by India's former secretary of finance, Subhash Garga, developed laws that would completely ban cryptocurrencies. At that time, India wanted every user of digital currency to be punished by imprisonment of up to 10 years and / or a fine. Finally, the bill did not enter into force


Technical Market Outlook:
The ETH/USD pair has failed to rally higher towards $250 and after a quite long period of consolidation moved lower towards the level of $225. Then another wave down had developed and the last local low was made at the level of $217.65, but there is still a room for another wave down. The next technical support is seen at the level of $209.89 and the nearest technical resistance is still seen at the level of $225.84. The larger time frame trend remains up.

Weekly Pivot Points:
WR3 - $269.64
WR2 - $259.20
WR1 - $244.61

Weekly Pivot - $234.84
WS1 - $219.79
WS2 - $210.55
WS3 - $195.77


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