Hot Topics

Advertisement

Advertisement

Bitcoin Begins Long Overdue Correction 

Bitcoin Begins Long Overdue Correction 

Bitcoin has finally begun the downtrend as we had earlier anticipated. This is now in line with our expectations and indicates that both cryptocurrencies and stocks could correct near-term before the next bullish advance. The reason I expect another bullish advance is because both markets have room for further upside and might not top out just yet. 

In the case of the S&P 500 (SPX), we could see a move towards the previous resistance turned support. There, it could find support to rally further but it is important to realize that neither stocks nor cryptocurrencies have much room to rally higher from here even after the upcoming correction. Bitcoin is expected to top out this year and will then have to begin its move towards $3k and subsequently lower. 

Near-term the Dollar Currency Index (DXY) might show further signs of strength. It could mislead traders into thinking that the stock market might plunge further into the red. Most retail traders in the cryptocurrency market have been restlessly shorting Bitcoin and altcoins like Chainlink (LINK). Unhedged shorts for Bitcoin has now reached a previous peak which indicates that many traders at this point are expecting a sharp decline and the market makers and whales might lead them on to believe that it might happen until it doesn’t and the market begins moving up again after the correction at which point it would be too late for them to get out.

You can share this post!

Advertisement

ETH/USD Rangebound After Recent Pullback: Sally Ho's Technical Analysis 27 November 2020 ETH

ETH/USD Rangebound After Recent Pullback: Sally Ho's Technical Analysis 27 November 2020 ETH

Ethereum (ETH/USD) weakened early in today’s North American session as the pair depreciated to the 504.89 area after trading as high as the 529.16 area in the Asian session, an improvement after trading as low as the 480.08 area earlier this week.  The pullback was also a test of the 479.03 area, representing the 78.6% retracement of the appreciating range from 439.77 to 623.22. One level that traders are carefully monitoring is the 503.57 area, a level that represents the 38.2% retracement of the recent appreciating range from 310 to 623.22Stops were elected below a series of retracement levels including 579.73, 563.58, 553.14, 531.50, 526.88, 509.85, 496.86, and 483.06. Larger Stops were elected below the 550.01 and 504.72 areas, retracement levels related to the wider appreciating range from 313.00 to 623.22.  The next downside retracement levels in this wider historical range include 468.11, 431.50, and 386.21.  Stops were recently elected above the 615.19 area during the climb higher, an upside price objective related to buying activity that originated around the 142.10 level earlier this year.  The pair’s next upside price objectives include the 637.79, 668.87, 679.78, and 698.88 levels.   Traders are also paying close attention to technical resistance around the 627.83, 638.28, and 652.36 areas. 

Stops were recently elected above the 583.59 and 592.24 areas during the ascent, retracement levels related to selling pressure that commenced around the 894.50 and 1419.96 levelsStops were also recently elected above the 519.16, 521.13, 524.97, and 540.64 areas during the ascent higher, preceded by Stops triggered above the 503.54, 508.69, and 510.22 levels.  During pullbacks lower, traders are paying close attention to the pair’s trading activity around the 461.31 area, an upside price objective related to buying pressure that emerged months ago around the 125.52 area.   Some additional downside retracement levels include 432.71, 431.36, 427.78, 424.14, 422.81, 419.74, 415.20, 411.91, and 408.12. Additional areas of potential downside support include the 400.56, 395.87, 387.62, 380.03, 377.17, 367.24, 366.72, 354.44, and 353.78 areas.  Traders are observing that the 50-bar MA (4-hourly) is bullishly indicating above the 100-bar MA (4-hourly) and above the 200-bar MA (4-hourly).  Also, the 50-bar MA (hourly) is bearishly indicating below the 100-bar MA (hourly) and above the 200-bar MA (hourly).

Price activity is nearest the 100-bar MA (4-hourly) at 503.62 and the 200-bar MA (Hourly) at 542.15.

Technical Support is expected around 417.60/ 388.49/ 366.72 with Stops expected below.

Technical Resistance is expected around 627.83/ 637.79/ 668.87 with Stops expected above.

On 4-Hourly chart, SlowK is Bearishly below SlowD while MACD is Bearishly below MACDAverage.

On 60-minute chart, SlowK is Bearishly below SlowD while MACD is Bullishly above MACDAverage.

You can share this post!

How Ethereum 2.0 good see strong recovery for ETH

How Ethereum 2.0 good see strong recovery for ETH

Quick Take

1 minute read

  • As we come to the end of the year, there are numerous things occurring in the crypto space that no one could have predicted. 
  • With bitcoin jumping in value over the past few weeks/month, the alternative crypto market is quietly making gains simultaneously.

As we come to the end of the year, there are numerous things occurring in the crypto space that no one could have predicted. With bitcoin jumping in value over the past few weeks/month, the alternative crypto market is quietly making gains simultaneously.

Joseph Young, an analyst on Twitter has said that the second biggest cryptocurrency in the space, Ethereum has been performing extremely well over the past two months.

The upcoming Ethereum 2.0 deposit contract announced that the network upgrade would go live on the 1st of December. This has more than likely had a big impact on that open and how it has flourished in value over the past few months.

With the release of Ethereum 2.0, it would remove minors as the proof of work model is substituted for the proof of stake protocol. From here, users will be able to collectively verify transactions on the network without any need for a third-party to get involved.

You can see the tweet here from Joseph below:

Experience for users on the platform is more than likely going to change following the increase of the transaction capacity across the overall network.

The co-founder of Ethereum, Vitalik Buterin has confirmed that what was once a 15 transaction per second on chain processing speed could be increased to somewhere up to 5000 transactions per second on the blockchain upgrade.

The stagnation for Ethereum has technically allowed for the network to consolidate above significant moving averages and will be good for the future of the project.

For more news on this and other crypto updates, keep it with CryptoDaily!

© 2020 CryptoDaily All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

You can share this post!

ETH/USD Profit-Taking Sees Massive Drop: Sally Ho's Technical Analysis 26 November 2020 ETH

ETH/USD Profit-Taking Sees Massive Drop:  Sally Ho's Technical Analysis 26 November 2020 ETH

Ethereum (ETH/USD) gained back some lost ground early in today’s North American session as the pair appreciated to the 526.39 area after trading as low as the 480.08 area in the European session, a test of the 479.03 area that represents the 78.6% retracement of the appreciating range from 439.77 to 623.22.  After trading at a fresh multi-year high of 623.22, ETH/USD came off and Stops were elected below a series of retracement levels including 579.73, 563.58, 553.14, 531.50, 526.88, 509.85, 496.86, and 483.06. Larger Stops were elected below the 550.01 and 504.72 areas, retracement levels related to the wider appreciating range from 313.00 to 623.22.  The next downside retracement levels in this wider historical range include 468.11, 431.50, and 386.21Stops were recently elected above the 615.19 area during the climb higher, an upside price objective related to buying activity that originated around the 142.10 level earlier this year.  The pair’s next upside price objectives include the 637.79, 668.87, 679.78, and 698.88 levels.   Traders are also paying close attention to technical resistance around the 627.83, 638.28, and 652.36 areas. 

Stops were recently elected above the 583.59 and 592.24 areas during the ascent, retracement levels related to selling pressure that commenced around the 894.50 and 1419.96 levelsStops were also recently elected above the 519.16, 521.13, 524.97, and 540.64 areas during the ascent higher, preceded by Stops triggered above the 503.54, 508.69, and 510.22 levels.  During pullbacks lower, traders are paying close attention to the pair’s trading activity around the 461.31 area, an upside price objective related to buying pressure that emerged months ago around the 125.52 area.   Some additional downside retracement levels include 432.71, 431.36, 427.78, 424.14, 422.81, 419.74, 415.20, 411.91, and 408.12. Additional areas of potential downside support include the 400.56, 395.87, 387.62, 380.03, 377.17, 367.24, 366.72, 354.44, and 353.78 areas.  Traders are observing that the 50-bar MA (4-hourly) is bullishly indicating above the 100-bar MA (4-hourly) and above the 200-bar MA (4-hourly).  Also, the 50-bar MA (hourly) is bearishly indicating below the 100-bar MA (hourly) and above the 200-bar MA (hourly).

Price activity is nearest the 100-bar MA (4-hourly) at 501.91 and the 200-bar MA (Hourly) at 540.21.

Technical Support is expected around 417.60/ 388.49/ 366.72 with Stops expected below.

Technical Resistance is expected around 627.83/ 637.79/ 668.87 with Stops expected above.

On 4-Hourly chart, SlowK is Bullishly above SlowD while MACD is Bearishly below MACDAverage.

On 60-minute chart, SlowK is Bullishly above SlowD while MACD is Bearishly below MACDAverage.

You can share this post!

ETH 2.0 Confirmed, Is ETH Prepared To Hit ATH?

ETH 2.0 Confirmed, Is ETH Prepared To Hit ATH?

ETH 2.0's beacon genesis is scheduled to launch on Dec.1, after the ETH 2.0 deposit contracts performing a parabolic gain in the past few days. 

The ETH 2.0 accepted deposit on Nov. 4, but to the worry of many investors, only 106,240 ETH had been deposited by November 20, while the launch of ETH 2.0 required 524,288 ETH. 

As the cut-off date drew close, the deposits spiked and hit the target 9 hours before the deadline. To date, 16,384 validators have made deposits and 583,552 ETH have been staked. Following the breakout, ETH gained over 10% in the past day and rose to as high as $622, its new year-to-date high, while Bitcoin remained stuck in $18K. ETH started off the year with $135, now it has gained nearly 350%.

What Is ETH 2.0?

Ethereum 2.0 is an upgrade aiming to enhance the network's scalability, programmability and security. After its completion, the Ethereum blockchain will fully adopt proof-of-stake(PoS) to secure its network, while ETH 1.0 employs a consensus mechanism known as proof of work (PoW). The whole process is divided into 4 phases and is expected to last for at least 2 years.

As the second largest cryptocurrency by market cap, ETH is infamous for its high transaction fee and constant congestion. This is because ETH 1.0 could only handle around 30 transactions per second. But with the launch of ETH 2.0, up to 100,000 transactions could be processed each second thanks to the shard chain. 

Consider driving a car to the other part of the city and the only way to do so is through a bridge. During rush hours, everyone would need to queue to cross the bridge and you are getting more and more annoyed. You don't know it would be minutes or hours before you arrive home. Suddenly, the bridge splits and extends, and you soon find the long queue before you disappear. The journey that used to take you a few hours now could be made in a dozen minutes.Shard chain works similarly to this way. Sharding is the process of distributing data to reduce the network congestion by creating new chains, AKA shards. 

ETH 2.0 is also more sustainable and could transform the whole ecosystem. The network of ETH 1.0 is highly energy-intensive because it requires all miners to solve complex mathematical puzzles and verify new transactions, and the first miner to solve the block problem will be rewarded with crypto. Instead of working together and winner-takes-all, the PoS system chooses the creator of a new block based on the stake and other validators who attest the block will get the transaction fees proportionately. Therefore, PoS requires less computing power and is more of a fair play.

Another advantage of PoS is that it makes a 51% attack almost impossible, or not sensible to the bad actor. That is because in order to launch a 51% attack, a person must stake at least 51% of the total amount of ETH in circulation. Buying such a significant amount of crypto would no doubt attract the attention of the market, not to mention the extremely high cost. 

What would happen to ETH's price?

The final phase of ETH 2.0 is expected to launch in 2021 and it is not the end for Ethereum blockchain. With the release of ETH 2.0, users could utilize ethereum in a much cheaper and efficient way, while getting more security. The increase of usage comes with greater demand that could send ETH's price to new heights.

“By the time ETH 2.0 and rollups work together there will be 100,000 transactions per second capacity. That’ll mean a completely seamless experience for the next billion people,”said Jamie Anson, founder of Nifty Orchard and organizer of Ethereum London.

ETH is holding nicely at the $600 and it is currently consolidating gains. The new main support area is $600-$605. The new resistance is $625 and this is a level that could attract take-profit. ETH could face some minor corrections but the long-term trend remains bullish.

Despite the black swan of COVID-19 at the beginning of the year, the end of 2020 is a springboard for cryptocurrency to go higher. With vaccines on the way, a clear election result and the sliding dolla, the next question for ETH is: how high can ETH go?

Bexplus is a Bitcoin-based trading platform offering 100x leverage and contracts for BTC, ETH, EOS, LTS, and XRP. Registration requires no KYC and takes 60-seconds. A Bexplus account grants you access to trading simulators, built-in charting software, up to 30% annualized interest bitcoin wallet and 100% deposit bonus.

© 2020 CryptoDaily All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

You can share this post!