Analyst Falsely Claims Bitcoin Price Decline Will Spark Gold Rally




Stephen Innes, the head of trading for the Asia Pacific region at foreign exchange (FX) trading giant Oanda, has said that the plunge in the value of bitcoin and crypto will lead to a surge in the price of gold.

In an interview, Innes said:

“There’s still a lot of people in this game. If Bitcoin collapses, if we start to see a run down toward $3,000, this thing is going to be a monster. People will be running for the exits. I don’t think coins are going to be anywhere near as attractive as some of the other cross-asset plays. Gold prices are going to jump considerably higher and there’s an inverse relationship we’re starting to see with gold and coins.”

Is Gold a Better Investment Than Bitcoin?

Since 2011, gold has consistently declined in value, from $1,800 to $1,200, by more than 33 percent. In contrast, since 2011, Bitcoin has increased from $30 to $4,200, up 13,900 percent in the past seven years.

gold price bitcoin

According to Innes, an inverse correlation has been spotted between cryptocurrencies and gold. He stated that as major cryptocurrencies like Bitcoin drop in value, the price of gold rises.

However, as shown in the yearly chart of gold, the price of gold has not increased in the past year while the cryptocurrency market suffered its fifth biggest correction to date. In fact, since January, the price of gold has dropped from $1,360 to $1,220.

gold price bitcoin

The narrative that the drop in the price of cryptocurrencies leads to an increase in the price of gold is wildly inaccurate, as the data demonstrates that there exists no correlation between the two assets.

While cryptocurrencies have fallen by a significantly larger margin that gold, the precious metal has also fallen substantially by its standard.

Even if the long-term trends of gold and Bitcoin are considered, Bitcoin has consistently outperformed gold since it was created in 2009. Hence, the argument that gold will benefit from Bitcoin approaching $3,000 is false, given that gold has clearly not been affected by the price trend of BTC.

Gold Versus Bitcoin

bitcoin price vs gold price
Bitcoin Price (Blue) vs. Gold Price (Red) over the past 5 years. | Source: TradingView

A recent survey conducted by Ron Paul, a retired politician who served as the US Representative for Texas’s 14th congressional district, demonstrated that the majority of millennials prefer Bitcoin as a long-term investment over the U.S. dollar and gold.

For millennials, the motive behind the preference of Bitcoin over gold is strikingly obvious. The trend of the financial market is moving towards digitalization. To trade, purchase, or sell gold bullion, large financial institutions and banks are involved, which millennials generally do not favor, as many studies have shown.

For instance, the London bullion market (LBMA), has a clearing system in place to settle orders that is operated by a corporation called LPMCL which is owned and managed by the five banks including HSBC, ICBC Standard Bank, JPMorgan, Scotiabank, and UBS.

Amongst experienced investors, gold could continue to be a viable store of value especially in periods of uncertainty and volatility. But, amongst millennials, the trend of financial technologies (fintech), blockchain, and crypto is expected to be sustained in the long run.

Featured Image from Shutterstock

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Altcoins Preserve Bearish Sentiment as Rally Fizzles Out




Led by ripple (XRP), the bitcoin and the altcoin markets edged lower on Thursday after staying on the bulls’ side for most of the week.

Ripple Price Headlines Pullback

The cryptocurrency market as a whole witnessed their uptrends getting stalled. Other top performers during the previous rally, including stellar (XLM), bitcoin cash (BCH) and EOS, underwent a sharp pullback action. However, they managed to hold on to some of their gains despite being unable to sustain their prevailing bullish momentum.

The crypto correction coincided with the pullback session of US stocks. The S&P 500 and the Nasdaq also rebounded from their rallies as dollar regained strength ahead of the Fed meeting. While a direct correlation between the dollar and crypto markets is difficult to establish, the fact that both the new and the old market corrected in sync with each other raises questions, anyway.

With the strongest altcoins holding above their medium-term supports, their fiat-enabled pairs could also be forming bull flags. It means that a bearish correction could have been caused by day traders exiting their long positions, suggesting that an upside trend should resume after locating an interim support — a bounce back level.

SOURCE: TRADINGVIEW.COM

XRP, for instance, became one of the best performing crypto assets after rising 26.94 percent, from $0.449 to $0.570. The coin later erased circa 14 percent from its gains, now trading at $0.507, which also happens to be above the rising channel support, depicted in orange to the downside. The interim mood should start to favoring bears upon a successful breakdown action below the said rising support level.

There were also reports that XRP rallied after the news of its integration into a global payment standard SWIFT, and corrected after the agency dismissed the rumor altogether. Any such correlation could not be established by the time of this writing.

Bitcoin Upside Capped

SOURCE: TRADINGVIEW.COM

The cryptocurrency locomotive bitcoin also found its rally capped by its 100-period simple moving average — the third time now. The average is depicted in sky blue in the daily chart above, defining bitcoin’s inability to recapture the bulls near such resistance levels. Nevertheless, the pullback is not that severe, but can certainly extend towards the range support defined by $6,203. A breakout, on the other hand, puts the next resistance pressure on $6,600, followed by $6,750 and $7,000 in medium-term.

High Volume in BCH/USD Market

Unlike XRP and bitcoin, bitcoin cash is witnessing a surge in volume in the time of its pullback action. It should appear natural ahead of an impending fork event that would split the BCH blockchain into two separate networks. Traders are likely to hold BCH coins in hopes to receive airdropped tokens that may or may not have some value in the future.

SOURCE: TRADINGVIEW.COM

As of now, bitcoin cash is looking to attempt a breakout action above the latest medium-term descending triangle resistance. It would allow the pair to test $663 as its potential upside target while eyeing $788 to confirm a longer bullish bias. To the downside, an extended pullback would pull the value towards the 100-period moving average (sky blue), a support level, while setting $407 as the primary downside target.

Stellar Strongest among Top 10

SOURCE: TRADINGVIEW.COM

Stellar is comparatively stronger than the rest of the top coins, now trending sideways following the hint of a strong pullback action. The coin against the dollar has almost negated the losses it faced during the bearish correction. It is now hinting a sideways action while keeping its eyes on a potential selling action towards. Should that happen, the near-term rising trendline coinciding with the 100-period SMA could provide a decent support for a potential bounce back. A further break and the same pressure would fall on the medium-term support further below.

Disclaimer:  The author currently holds bitcoin, bitcoin cash, and stellar for both short and long-term investments.

Featured Image from Shutterstock. Charts from TradingView.

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Early Stages of a Mega Rally

It’s back to profitability for most altcoins as they register double digit gains. Leading the pack is XLM/USD and ADA/USD trading above important resistance levels. We expect most altcoins to keep expanding throughout this week as they reverse 2018 losses as price action form the foundation of a mega-rally.

Let’s have a look at these charts:

EOS/USD Price Analysis

At the back of strong gains, EOS/USD is up four percent in the last day and 12 percent in the last week. The result is clear and most importantly prices are edging higher towards the $7 buy trigger mark. But, before the $7 resistance mark is hit, today we might see the total reversal of Oct 11 losses. Once that prints, we suggest aggressive type of buyers to buy on dips with stops at the breakout lows.

However, risk reward considerations should be top priority and traders should take note not to risk more than they can earn. It’s for this reason that it is ideal for all traders to trade according to previous EOS/USD trade plan, buying on dips only when prices are above the $7 mark. Thereafter, first target would be at $9 and later $15.

LTC/USD Price Analysis

Moving forward, traders can margin trade BTC/LTC pair at OkEx. At the same time, it will be possible to send and receive Litecoin at Facebook messenger following their partnership with Lite.im. No doubt this partnership goes a long way in exposing Litecoin to more than 2 billion customers at Facebook who in turn could help steady LTC/USD due to increase in demand.

Lite.im uses a feature which allow coins to be sent and received through SMS. As such it is important for users to register using their valid email address and phone number.

LTC/USD Price Analysis

The expansion of LTC/USD is driving prices towards the $60 bull trigger line. Because of the last two days higher highs, it is likely that we shall trade within a bullish breakout pattern as prices race above $60 reversing Oct 11 losses for a larger three-bar bull of which the pin bar will be the small range bars from Oct 12 to Nov 3.

As such, we suggest risk-off traders to begin loading up at spot once prices close above the minor resistance trend line with first targets at $70.

XLM/USD Price Analysis

XLM/USD Price Analysis

After adding 15 percent in the last week, XLM/USD pair is now trading above 25 cents in a bear break out pattern. Since our last XLM/USD trade conditions are now live, we suggest buying on dips or at spot with first targets at 30 cents.

Note that $0.3 is an important resistance level and since prices are trending comfortably above Oct 11 highs, it is likely that bulls will drive prices higher rallying above 30 cents completing a major bull break out pattern. From there on, first target will be 50 cents as laid out in our last XLM/USD trade plan.

TRX/USD Tron Price Analysis

Thanks to Tron-Dice and other gambling dApps, Tron’s on-chain transactions are on the rise smashing through the one million mark.

It’s a new milestone and goes demonstrating how Tron is emerging as a smart contracting platform that is ready to take on Ethereum replacing it on matters governance, technology and execution.

TRX/USD Price Analysis

Like other altcoins, TRX/USD is on the rise building on their bull momentum from the Oct 31 pin bar. Though prices are yet to break and close above Sep highs, the general upbeat expectation in the space would easily buoy prices lifting them above key trigger line.

Anyhow, because of prevailing sentiment, traders can ride with the tide loading at spot prices with stops at 2.2 cents and first targets at 3 cents and later 4 cents. The only move that cancels this projection is if TRX/USD sink below 2 cents closing below the support trend line of this ascending wedge.

ADA/USD Price Analysis

ADA/USD Price Analysis

Not only do we have a bull break out line as prices bounce off 7 cents, but odds are our ideal trade conditions will be met. But, as prices race towards 9.5 cents or Oct highs, traders can begin buying at spot prices with stops at 7.5 cents.

As laid out in our last ADA/USD price analysis, moves above 9.5 cents mean prices will most likely break above 12 cents cancelling the bear break out pattern of early August.

All Charts Courtesy of Trading View

Disclaimer: Views and opinions expressed are those of the author and aren’t investment advice. Trading of any form involves risk and so do your due diligence before making a trading decision.



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Could Bitcoin Cash Price Surge Any Further after Weekend Rally?

Ahead of its hard fork, Bitcoin Cash surged as high as 29 percent during the weekend trading session. All the eyes are now on whether the altcoin can swell any further, especially when it promises to offer holders free tokens after its blockchain splits.

Trading Sentiment around Coin Forks

Traders tend to behave bullishly whenever a forking event is nearby. To them, a fork signifies free coins on the top of what they already hold. For instance, when the main Bitcoin blockchain forked and conceived Bitcoin Cash, the same chain, Bitcoin holders received an equivalent amount of BCH tokens. Traders could claim the free BCH tokens by creating new Bitcoin Cash wallets. And when the crypto exchanges added BCH to their list of tradeable crypto assets, the free coins suddenly had a value of $555.

A fork is a reason to earn free rewards – at least for speculators.

Bitcoin SV vs Bitcoin ABC

In the case of the upcoming Bitcoin Cash fork, known as Bitcoin ABC, a blockchain split will result in the formation of Bitcoin SV. The new blockchain, though not well-supported by the community, is still led by people with big pockets. Many big mining pools have extended support to the forked chain, reportedly because of their owners’ close relationship with the chain’s mastermind Craig Wright. Also known as the fake Satoshi, Wright has support from Coingeek, BMG Pool, and his own SV Pool.

In addition to the above, Squire Mining, a crypto mining firm with a $49.5 million market cap, is also backing the Bitcoin SV chain. It means that Wright’s new version of Bitcoin could gain adequate hash support despite the lack of community support. There is this explicit institutional support which could be the reason why traders went on a BCH buying spree during the weekend and might continue to do so before November 15, 2018, the day of the BCH fork.

SOURCE: TRADINGVIEW.COM

There is historical evidence available to prove traders’ behavior around coin forks. In October 2017, the original Bitcoin had reached a new all-time high, hitting $6,200, five days before the Bitcoin Gold fork. It also happened when the main bitcoin blockchain split into two to create Bitcoin Cash. At that time, the Bitcoin price against the dollar increased as much as $1,200.

The Next BCH Price Action

In reality, the potential adoption rate of Bitcoin SV could attest to the price action of BCH/USD post the fork.

SOURCE: TRADINGVIEW.COM

The BCH/USD price could witness a surge towards its September 2 high at $660 – or less – if traders find potential in SV. According to the Fibonacci retracement swing from 661-high to 410-low, the price is now testing $565 as its range resistance. A clear breakout signal will bring $661 in view as the next potential upside target.

Meanwhile, a sharp pullback could take place around or after the BCH hard fork event (represented via a vertical line in the chart above). Again, $660 only represents a potential target – the price can reverse anytime before hitting the said level. The market nevertheless is bullish near-term, providing adequate upside opportunities to traders looking to go long on BCH/USD.

 

Image from Shutterstock

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Potential Factors Behind its Rally




XRP, the native cryptocurrency of the Ripple network, has surged by more than 12 percent over the last 24 hours.

Cryptocurrency traders and technical analysts generally expect the positive price movement of XRP to continue in the short-term,  given the sheer magnitude of the asset’s recent upward run.

What Has Caused Ripple to Rally?

Throughout the past week, Ripple has seen some progress in regards to the adoption and integration of its blockchain-based liquidity products.

At the Global Islamic Economic Summit 2018, Ripple’s global head of infrastructure Dilip Rao disclosed the company’s plans to expand into the Middle East by establishing an office in Dubai, as CCN reported.

“I think the UAE government saying that 50% of all government transactions will be on distributed ledger technology by 2020 is a fantastic way to encourage innovation, to bring Fintechs to your market and then to then build the capability locally to iterate on those solutions that the Fintech bring to you.”

Rao stated that financial institutions in Saudi Arabia, Kuwait, Bahrain, and Oman have already started to utilize XRP to process cross-border payments or run pilot tests on the Ripple blockchain network.

“We now have three banks in Saudi Arabia, two in Kuwait… one in Bahrain, one in Oman… a couple in the UAE [United Arab Emirates]… and it really is out fastest growing marketplace,” said Rao.

Progress in the plans of Ripple Labs to expand its reach throughout Asia and encourage the adoption of XRP could have contributed to the short-term rally of the digital asset over the past several days.

But, more importantly, while Ethereum (ETH), Bitcoin Cash (BCH), Cardano (ADA), and other major cryptocurrencies experienced fairly large gains throughout the week, XRP remained stable in its low price range.

The stability of XRP following a three-fold increase in value in late September could have allowed the asset to initiate a delayed corrective rally.

At the time, billionaire investor Mike Novogratz said that new buyers likely entered the market, possibly due to some of the announcements Ripple made such as the firm’s high profile partnership with Banco Santander to use XRP as the base currency for the banking giant’s new mobile app.

“They’re building a great business. Full disclosure — we’re (Galaxy Digital) a 1% owner in Ripple the company, not the coin… They have a good story. When something jumps 3x, I don’t understand it. [Maybe] it’s a short squeeze to a degree, as I’m sure some people were short, but there were [likely] new buyers.”

Will XRP Continue its Run?

According to Hsaka, a cryptocurrency trader, the strong run of XRP is not necessarily unexpected due to the 20-day consolidation period it experienced.

But, while the momentum of XRP remains strong, the analyst stated that it remains uncertain whether Ripple can extend its run throughout the next 12 to 24 hours.

“Broken past the second target, XRP on a rampage here. I’m not surprised about the strength of this move given the 20 day long consolidation it went through.”

Featured Image from Shutterstock. Charts from TradingView.

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Ripple Price Analysis: XRP/USD Rally Gains Pace Above $0.50

Key Highlights

  • Ripple price surged higher recently and broke the $0.4700 and $0.5000 resistances against the US dollar.
  • There is a short term connecting bullish trend line formed with support at $0.5000 on the hourly chart of the XRP/USD pair (data source from Kraken).
  • The pair is currently placed nicely in a bullish zone and it could accelerate above $0.5140.

Ripple price rallied recently against the US Dollar and Bitcoin. XRP/USD is currently correcting, but dips remain well supported near $0.5000 and $0.4950.

Ripple Price Analysis

Yesterday, we discussed that dips remain supported near $0.4560 in ripple price against the US Dollar. The XRP/USD pair formed a solid support near $0.4500 and later started a major upward move. It rallied above the $0.4560 resistance and the 100 hourly simple moving average. Moreover, there was a break above yesterday’s discussed declining channel with resistance at $0.4535 on the hourly chart of the XRP/USD pair.

The pair surged above the $0.4700 and $0.5000 resistance levels and moved into a bullish zone. A new weekly high was formed at $0.5140 before the price started consolidating gains. It recently declined below the 23.6% Fib retracement level of the last wave from the $0.4780 low to $0.5140 high. However, there is a decent support formed near the $0.5000 and $0.4950 levels. There is also a short term connecting bullish trend line formed with support at $0.5000 on the same chart. Besides, the 50% Fib retracement level of the last wave from the $0.4780 low to $0.5140 high is at $0.4960 to prevent losses.

Looking at the chart, ripple price is trading nicely in an uptrend above the $0.4950 level. The price is likely to continue higher and buyers could make an attempt to push the price above $0.5200 in the near term.

Looking at the technical indicators:

Hourly MACD – The MACD for XRP/USD is placed nicely in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is currently near the overbought levels.

Major Support Level – $0.5000

Major Resistance Level – $0.5140

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Altcoin Rally Inevitable in Q4 2018

Altcoins are flat lining as bulls accumulate in lower time frames. As we can see from the charts, XLM/USD is bullish and that might spill over to today while LTC/USD, ADA/USD and EOS/USD range above important support lines. If anything, this is a waiting game and once we see rapid gains in the direction of Oct 15 bulls, then we shall recommend buying on dips.

Let’s have a look at these charts:

EOS/USD EOS Price Analysis

On average, the EOSIO blockchain attracts 60,000 unique daily users thanks to a 500 percent surge in user activity taking their accounts to 450,000 as the platform popularity balloon. Coincidentally, this come at a time when the platform is facing issues around it’s block producer centralization, governance issues and later accusation of block producer collusion.

Back to price and EOS/USD is stable at the weekly and daily time frame. In the last week it is down 0.6 percent and up 0.3 percent in the last day meaning volatility is low as prices range. Therefore, considering how price action is laid out, our last EOS/USD trade plan is valid. Regardless of the ranging market, we hold a bullish outlook because of Oct 15 bulls from where current prices are moving inside of and the simple fact that prices are down +90 percent from 2017 peaks. Any breakout above $7 ignites bulls aiming at $9 while dips below $4.5-$4 support cancel this bull projection.

LTC/USD Litecoin Price Analysis

LTC/USD Litecoin Price Analysis

Overly, we remain neutral on LTC/USD partly because of the momentum shaping ranging market and secondly because of the price action proximity of $50. Like in all our LTC/USD price analysis, our trade plan relies mostly on price will react at $50 where by movements below support might end up pushing prices towards $30. On the flip side, should this accumulation lead to breaks above $55 or $60 then odds are Litecoin will be bottoming out. In that case prices would easily expand igniting aggressive traders aiming at $70 and later $90.

XLM/USD Stellar Lumens Price Analysis

XLM/USD Stellar Lumens Price Analysis

Yesterday’s bulls could be the launching pad that drives Stellar Lumens prices above 25 cents and later 30 cements validating our last XLM/USD trade plan. Like we keep on saying, at the back of dropping trade volumes, XLM slide provides an opportunity for savvy traders as long as prices are trading above Oct 15 high lows. It’s an effort versus result scenario and the realization that prices need to recover after this year’s deep correction. Therefore, if anything, we remain bullish and once XLM cross then 25 cents mark, traders can pick up the asset on dips with first targets at 30 cents. Any declines below the main support at 15 cents-20 cents cancel this projection.

TRX/USD Tron Price Analysis

TRx/USD Tron Price Analysis

Technically TRX/USD prices are everywhere. However, what we can observe is that as prices drop so are volumes. In fact we cannot compare the volumes of the last 10 days with that of Oct 15 meaning bulls have an upper hand as Oct 15 bull bar reflect. As such, the bar’s high low is important in our analysis. In that line therefore, surges above Sep highs at 2.5 cents-3 cents level validates our bullish projection and bulls should aim at 4 cents. However, if bears confirm their presence like they have been doing in the last 10 months and cause prices to dip below 2 cents then we shall recommend sells on pullbacks.

ADA/USD Cardano Price Analysis

ADA/USD Cardano Price Analysis

All things constant, a dip in ADA/USD should provide an opportunity for traders to buy on dips in line with our iterations. Even though sellers are in control from a top down approach, losses below 7 cents will quash out bullish ambitions as bears would have been successful in reversing Oct 15 losses. The high volume bull bar anchors our analysis and as long as prices are within its high low, risk-off traders can buy on dips with stops at 6.8 cents—Oct 14 lows with first targets at 12 cents—our main resistance and buy trigger line.

Disclaimer: Views and opinions expressed are those of the author and aren’t investment advice. Trading of any form involves risk and so do your due diligence before making a trading decision.

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Is Bitcoin Primed to Initiate a Rally Above $7,000 After Weeks of Stability?


Throughout the past ten days, the Bitcoin price has remained in a tight range from $6,300 to $6,500, rarely initiating a noticeable movement.

The 1-day price chart of Bitcoin, as shown below, demonstrates nearly two weeks of stability in the lower price range of the dominant cryptocurrency, unable to engage in a short-term upside movement to confirm a breakout above a major resistance level.

In the past 24 hours, the volume of BTC has fallen back to $3.1 billion from $3.5 billion, by more than 10 percent. The lack of trading activity in the cryptocurrency exchange market can be attributed to the tendency of traders to prevent the initiation of high-risk and high-return trades in a period of extended stability and low volatility.

Breakout Expected

According to prominent cryptocurrency trader and technical analyst Peter Brandt, the price trend of BTC throughout the past ten days demonstrates a classic Wyckoff hinge, which suggests that buyers are in control in the market that has been dominated by bears and sellers since early 2018.

“Wyckoff would classify these past 10 days as classic hinge behavior,” Brandt said.

However, for the hinge to materialize, an abrupt increase in the price of Bitcoin to the $6,800 to $7,000 range to breakout of the $6,800 resistance level is required, which traders are observing at this time.

Due to the low volume and trading activity of the cryptocurrency exchange market, a sudden breakout of Bitcoin in a higher price range is becoming increasingly unlikely, at least in the short-term.

As for technical indicators and minor price movements of Bitcoin, since August 9, the asset has barely made any movement outside of the $6,300 to $6,800 range, portraying the lowest rate of volatility in recent years.

Often, the stability in the price of BTC leads to an increase in value of small market cap cryptocurrencies and tokens. But, the low volume of the crypto market has prevented traders from engaging in risky trades in a market that is highly unpredictable.

Most tokens including Wanchain, Golem, Funfair, Aelf, and Zilliqa have made 2 to 8 percent gains across the board over the last 24 hours.

Positive Development Out of China

Throughout the past several months, with the imposition of a ban on Alipay in settling cryptocurrency-related transactions, the government of China has cracked down on the crypto market, strengthening the existing blanket ban on the asset class.

On October 26, CnLedger, a trusted cryptocurrency source in China, reported that a local court ruled Bitcoin to be a property and protected under law, reaffirming the legality of owning and holding BTC.

“Chinese court confirms Bitcoin is protected by law. Shenzhen Court of International Arbitration ruled a case involving cryptos. Inside the verdict: China law does not forbid owning & transferring bitcoin, which should be protected by law because of its property nature and economic value.”

While the ruling of the court does not change the inability of investors in China to legally invest in BTC, it is possible to rely on over-the-counter (OTC) markets to purchase crypto and hold onto them.

Featured image from Shutterstock.

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Ethereum Token BAT Continues Breakneck Rally, up 56% This Week


Ethereum token BAT continued its dramatic week-long ascent on Monday, bolstered by positive fundamentals related to its role in Brave’s web browser ecosystem and speculation that the cryptocurrency will soon be listed on Coinbase.

BAT (short for Basic Attention Token) increased 14 percent against the dollar on Monday, briefly eclipsing $0.30 before settling down to a current value of $0.287. The token’s weekly return now stands at 56 percent, which is far and away the best return among top 50 cryptocurrency assets.

ethereum token BAT price
BAT/USD | Binance

As CCN reported, the rally may be partially connected to the recent overhaul of Brave’s desktop browser, which gave BAT a more central role on the platform and also advanced the cryptocurrency rewards program into beta.

Another popular theory is that BAT, one of five cryptocurrencies that Coinbase explicitly said it was “exploring” adding to its cryptocurrency exchange and/or brokerage service, is surging on speculation that it will be listed on the platform soon. Coinbase added the first of those five cryptocurrencies, 0x (ZRX), on its order-book exchange earlier this month, and the listing catalyzed a phenomenal ZRX price rally.

Each of the remaining for cryptocurrencies — BAT, cardano (ADA), stellar (XLM), and zcash (ZEC) — has outperformed the wider altcoin market during the past week. However, none of these coins has managed to climb more than 8 percent, much less the 56 percent gain seen by BAT. That may have something to do with the vast differences in the market caps of these cryptocurrencies.

Even after this week’s breakneck rally, BAT ranks just 31st in total market cap with a circulating valuation of $281 million, while the remaining three coins all rank inside the top 20, and two of them — cardano and stellar — rank inside the top 10. Consequently, the “Coinbase bounce” could have an outsized effect on BAT versus the others.

Moreover, the fact that Coinbase recently listed 0x, which — like BAT — is an Ethereum token programmed to the ERC-20 standard, could have speculators believing that BAT has fewer barriers to a Coinbase listing than the other three higher-priced coins.

Featured Image from Shutterstock. Charts from TradingView.

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Novogratz Says Cryptos Are Safe, Expects Bitcoin to Rally In Q1 2019


Mike Novogratz, a prominent cryptocurrency investor, and CEO of Galaxy Investment Partners has toned down his optimism, reiterating that he doesn’t expect a price surge in the price of Bitcoin until institutional adoption occurs, which could happen in the first half of next year.

Speaking with Bloomberg’s Erik Schatzker on “Bloomberg Markets: The Close,” the Galaxy Investment Partner who is known for his optimism about the future of cryptocurrencies, notably Bitcoin, said the price of bitcoin wouldn’t break $10,000 in 2018.

“One thing you learn in this process is that everything takes a little longer than you hoped it would. I don’t don’t see us breaking $10,000 by the end of the year,” he told the network.

Novogratz also spoke on Fidelity Investments’ decision to release a custodial solution tailored to institutional investors that were particular about the safety of the digital assets they purchase. He believes this move by Fidelity would favor the market, but he was a bit cautious about how much mass interest it can garner and how quick it can achieve it.

He went on to add that Fidelity won’t start “seeing institutional flows into purely crypto assets late first quarter [or] early second quarter.”

Just last month, Novogratz told CNBC that he sees bitcoin price increasing by 30 percent by the end of the year. He also said once the price rebounds to the $10,000 range, institutions will have an “‘all clear’ sign for people — big institutions and pension [funds] — to start investing.”

Novogratz has emphasized the need for a long-term rally, which he believes could lead the crypto market to a $20 trillion valuation. He also remains optimistic about the market’s ability to surpass all heights achieved in the past. He said the crypto market will bounce back from the major corrections being experienced in 2018 and surpass the previous all-time highs.

“[Cryptocurrency] is a global revolution. The internet bubble was only a US thing. It was rich US people participating. [Cryptocurrency] is global. There are kids in Bangladesh buying coins. It is monstrous in Tokyo, in South Korea, in China, in India, and in Russia. We’ve got a global market and a global mania. This will feel like a bubble when we’re at $20 trillion,”

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