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Bitcoin Price Analysis Feb.17: BTC Is Facing $3600 (Again) And Could Turn Short-Term Bullish

For the past nine days, Bitcoin has been consolidating between the tight range of $3550 and $3650.

The overall picture hadn’t changed and is still under bearish conditions. However, two signs could change the bigger picture for the near short-term.

Regarding the open short positions, after reaching the long-term trend-line, there was a possibility of a BTC price manipulation, as happened last time when the support was tested during January 6. In this field, since our past analysis, we’ve seen a slight recovery of the shorts.

The chances for a manipulation (or “Bart”) had decreased, but the possibility still exists.

Looking at the 1-day & 4-hour charts

  • Bollinger Bands are very tight. Hence, we are expecting a move soon.
  • The 4-hour chart is forming a bullish triangle for the past three days. The formation will play-out in case of a break-up of the $3600 level followed by a high volume of buyers. A more bullish mid-term move will be in case of breaking up the crucial 50-days moving average line on the daily chart (marked in white, currently around $3620).
  • The second bullish sign might be the daily chart’s RSI: After the RSI had reached support of the long-term descending trend-line, the direction had turned back up, facing now the critical 56 RSI levels. In case of a breakout, this could lead to a significant bullish move.
  • Support and resistance areas: From above, the $3600 – $3620 resistance area (as mentioned above), further lies the $3700 and $3850 levels.
  • From below: There is a nearby descending trend-line (currently around $3575), further down is the $3480 – $3500 significant support area. Below is the $3400 level.
  • The trading volume is average to the last period, not substantial.
  • As mentioned, BitFinex’s open short positions slightly increased to 23.70K BTC of open positions, following the analysis above.

BTC/USD BitStamp 4-Hour chart

btc_feb17_4h-min

BTC/USD BitStamp 1-Day chart

btc_feb17_d-min

The post Bitcoin Price Analysis Feb.17: BTC Is Facing $3600 (Again) And Could Turn Short-Term Bullish appeared first on CryptoPotato.

Source: Crypto Potato

Ripple Price Analysis Feb.16: XRP Is Trading In Consolidation – Waiting For a Decision

Ripple has seen a small price decrease over the previous week, down to around $0.30, at the time of writing. The market has now lost a further 7.5% over the past month as XRP/USD trades within a symmetrical triangle pattern.

After losing the second place, Ripple is currently ranked as the third largest crypto as it holds a $12.45 billion market cap value.

Looking at the XRP/USD 4-hour Chart

  • We can see that XRP/USD is trapped within the symmetrical triangle, as mentioned, while the coin trades in a consolidation, following Bitcoin.
  • A break above or below the triangle will determine the next direction for XRP’s short-term future.
  • From Below: The nearest support is located at the short term .886 Fibonacci Retracement level (marked in green) at $0.30, followed by support at the lower boundary of the triangle.
  • Support beneath the triangle is located at $0.2971 and $0.2927. This is followed with support at the medium term downside 1.414 Fibonacci Extension level (marked in lilac) priced at $0.2858. This level is the 2018 and 2019 price low for XRP.
  • From Above; initial resistance is the upper boundary of the triangle, followed by resistance level at the short term .786 Fibonacci Retracement (marked in green).
  • Further resistance lies at $0.3257, followed by resistance at the short term 1.272 ($0.3284), 1.414 ($0.3325) and 1.618 ($0.3385) Fibonacci Extension levels (marked in orange).
  • The 4-hour chart’s RSI indicator remains around the 50 level which indicates the indecision of the XRP market.
  • The volume remains steady and not significant.

xrp_usd_feb16-min

Looking at the XRP/BTC 1-Day Chart

  • XRP/BTC has also formed a descending triangle pattern as the market consolidates.
  • Price action is approaching the end of the pattern where a breakout is expected either to the upside or downside to determine the next short-term trend.
  • From below: The nearest support is located at the lower boundary of the triangle at the 8283 SAT level.
  • Support beneath can then be found at 8200 SAT followed by more significant support at the short term downside 1.272 (8000 – 8082 SAT) and 1.414 (7971 SAT) Fibonacci Extension levels (marked in pink).
  • From above: The nearest resistance lies at the upper boundary of the triangle. This is followed with resistance at the 8457 SAT level and the short-term .382 Fibonacci retracement level (marked in green) at 8543 SAT.
  • Further significant resistance is then expected at 8806 SAT, 8982 SAT, and 9141 SAT.
  • The 4-hour chart’s RSI has slipped below the 50 area which indicates that the bears have the momentum of the XRP-BTC market. However, the RSI is battling back toward the 50 levels.
  • The volume remains steady.

xrp_btc_feb16-min

 

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Source: Crypto Potato

Still Bearish: There Is Still Time For The Bitcoin Bear Market According to Recent Bitcoin Valuations

TL; DR

  • Bitcoins Valuation Charts reveal that we may still be a few months away from hitting the bottom of the market cycle
  • The charts show Bitcoins valuation metrics over the cryptocurrencies entire 10-year history, displaying the progression of each parameter about the market valuation of Bitcoin.

If one understands technical analysis and how to read between the lines, market charts can provide a whole range of exciting narratives about where prices have been and where they might be going next.

As the crypto markets begin to slowly mature, we are increasingly gaining access to more historical data that technicians can analyze to decipher patterns and predict the future.

One such example is a recent series of findings by crypto market analyst Willy Woo. Woo shared a variety of charts showing Bitcoin valuation metrics over the cryptocurrencies for its entire ten-year history (from 2009 to 2019). Each chart displays the progression of a metric about the market valuation of Bitcoin over the past ten years.  We’ve shared some of the most notable charts below:

The first metric is Realized Cap (RV), which approximates the aggregate value paid for coins in circulation.

p1-min

RV is the orange line, while the blue line is the market valuation of Bitcoin.

What this chart reveals is that during each bull cycle, we can see a fast climb from the orange line, which signals new investors jumping into the market and buying at the latest prices. The latest trend shows a flat line for RV, which has historically been a precursor to a surge in prices.

The second metric is Thermo Cap (the cumulative security spends by the network). This tracks the maximum amount of capital that has entered the market over time.

p2-min

The chart shows that we have not yet exceeded $10billion entering the Bitcoin market. This gives us a strong indicator of how early it could be for the crypto markets.

Delta Cap shows we may not yet be out of the bear market

The third (and possibly most interesting) metric is what comes out when combining the moving average of the Bitcoin’s market cap across the entire time range, and subtract it from its realized market cap. The result is called the ‘Delta Cap,’ which is a metric that also used to identify all of the historical market cycles’ bottoms for Bitcoin:

p3-min

When we add an oscillator setting, we get to see how the Delta cap shows what stage we are in the market cycle:

p4-min

Delta Cap is the purple dotted line in between the yellow (Realized cap) solid line and the red dotted line (Average Cap). Every time the Delta cap touches the Realized cap, Bitcoin’s valuation hits the top of the market cycle, and every time the Delta cap touches the Average cap, Bitcoin’s valuation hits the bottom of the market cycle.

Based on what we see in the late 2018/2019, we may still have a while to go before we hit the bottom of the current market cycle and start making our ascent upward.

Conclusion

Overall, charts like these are great examples of how traders can try to create predictions of future price action based on access to a broader history of the market data, pattern recognition and a solid understanding of technical analysis.

The post Still Bearish: There Is Still Time For The Bitcoin Bear Market According to Recent Bitcoin Valuations appeared first on CryptoPotato.

Source: Crypto Potato

What is Ethereum 2.0? We Reveal its Unclear, Uncertain, Yet Promising Future

For the past few months, Ethereum 2.0 has been a hot topic in the crypto space. People are patiently waiting to see how the second most popular cryptocurrency can showcase its new and improved speed, scalability, and security features through a series of updates.

The updates are aimed at addressing current scaling, mining and consensual protocol, and security issues include moving from proof-of-work to proof-of-stake, solutions like Beacon Chain, Casper FFG, Sharding, eWASM, Plasma, Raiden, and perhaps most anticipated, Serenity.

Serenity is supposed to be an ‘all-in-one’ solution to fix the various problems highlighted by Ethereum 1.0. It combines most of the Ethereum upgrade ideas (Sharding, eWASM, Proof-of-Stake, etc.) together on a new parallel chain that would run alongside and be fully compatible with the existing chain.

Breakdown of Ethereum 2.0 solutions

  • Proof-of-Stake (PoS): Beacon and Casper are the 2 PoS solutions that aim to improve how new Ethereum coins are mined and how transactions are validated. In PoS, there is no mining which means there is no block reward; the block creators are called Forgers (instead of Miners as in PoW). They are only being incentivized with transaction fees. The Forgers of the next block are elected through a random procedure according to the Forger’s stake (amount of coins the Forger stakes) and age.
  • Sharding is the process where the entire state of the network is split into a number of partitions called shards that contain their own independent piece of state and transaction history. This addresses issues of scalability and transaction speed and stops one app from slowing down the network.
  • eWASM allows code to execute faster by expanding the coding options and capabilities for the Ethereum Virtual Machine.
  • Plasma is an extra layer that sits on top of the network to handle massive amounts of transactions. It is basically Ethereum’s version of Bitcoin’s Lightning Network.
  • Raiden, like Plasma, is categorized as an off-chain scaling solution, and therefore can also be compared to the Lightning Network. Rather than processing the transactions on the main blockchain, Raiden uses state channel technology to move transactions off-chain and open a separate payment channel.

We can see that the Ethereum development community clearly has their work cut out for them to bring these upgrades to life. However, according to a recent report published by Matt Slipper and Dan Tsui of Kyokan (a blockchain-native software consultancy based in the bay area), things don’t seem to be running very smoothly behind the scenes.

The main takeaways from the lengthy document are that:

  • Ethereum 2.0 has no person in charge of orchestrating the rollout of the upgrades.
  • Ethereum 2.0’s implementation has been stalled by the specification constantly changing, particularly over the past 6 months.
  •  There is significant miscommunication on timeframes occurring between research people and the rest of the team. People working outside of R&D are out of the loop regarding when new features are ready to roll out.
  • Implementers are concerned that perhaps there may be a funding shortage. The team is currently committed to working on Ethereum 2.0, but only as long as funding exists for development. If the funding dries up, then these teams may be forced to find other work.
  • The rate of change in the specifications of features is only discouraging the implementation team more.
  •  In response to the need for clarity, research has started to version segments of the specifications to show what is ready and what needs to be changed.
  • It is now believed that Ethereum 2.0 won’t be transformational for smart contracts until cross-shard communication is live and phase 0,1, and 2 of the release are complete.

The implications of this document are quite significant. A lot of pressure has been put on the Ethereum developer community over the years to achieve the kind of scalability that Bitcoin has failed to do so far. For Ethereum, achieving scalability is not just about making it easier to send and receive ETH, it’s about improving the speed in which the entire network operates so that it can handle huge traffic spikes that will inevitably occur as more Dapps get released on the Ethereum blockchain. It’s also about being able to securely scale smart contracts so that they can one day be used for more than just gambling applications, for instance, real-life financial transactions (such as loans or remittances).

There does seem to be some useful recommendations to improve the situation, such as:

  • Including “Product Context” In Public-Facing Media (Clearly communicating what will be delivered and when as well as how to prepare for the release of Ethereum 2.0)
  • Provide clear avenues for continued funding
  • Rigorously defining and enforcing a formal standards process

Ultimately, the long-term viability of the entire Altcoin market may very well depend on Ethereum 2.0’s ability to succeed.  Decentralization has its clear benefits when it comes to increasing transparency and security of complex networks that transfer valuable data between members. However, when it comes to advancing the development of these complex networks, it seems that a more centralized project management approach is needed to ensure the kind of streamlined workflow and maximized productivity that will allow the best version of the Ethereum network to see the light of day.

The post What is Ethereum 2.0? We Reveal its Unclear, Uncertain, Yet Promising Future appeared first on CryptoPotato.

Source: Crypto Potato

BitMEX Recorded $1 Trillion in Trading Volume (Notional Annual)

TL: DR

  • BitMEX achieves $1 trillion in notional annual trading volume from averaging 8.6x leverage per trade
  • Despite their success, BitMEX insurance to notional trading volume ratio is far too small for the level of activity on the exchange
  • The sheer size of volume created by leverage trading calls into question what the primary utility for Bitcoin is at the moment

 

When we look at the top exchanges in the crypto space, BitMEX seems to exist in a category of its own.
While Binance, Coinbase, and OKEx are continually announcing new partnerships and pushing the barrier to help cryptocurrencies achieve mainstream adoption, BitMEX sticks to the lane it carved for itself as a platform for speculating for or against the price of Bitcoin and other major cryptocurrencies. In addition to providing some of the most high-quality market research in the industry, the exchange has quietly dominated the trading side of the market by offering sophisticated financial products (like futures and margin leveraged trading) to the mass market of risk-taking retail traders.

Average leverage of 8.6x: $1 trillion notional volume

Just today, some statistics were released that demonstrates how successful this model of sophisticated trading for the masses has been for BitMEX. It was reported on their blog that BitMEX notional annual trading volume is around $1 Trillion (!). Yes, you read that correctly, $1 trillion in notional trading volume.

Now you might be wondering why that doesn’t make BitMEX by far the most dominant crypto exchange. Well, the key word to focus on is notional value. The trillion dollars in volume doesn’t accurately refer to the value flowing through BitMEX, but rather incorporates leverage, of which the average leverage used on BitMEX is an astounding 8.6x.

So this means the average trader on BitMEX is buying and selling Bitcoin with 8.6 times more money than on any other exchange. If we take away the 8.6x average leverage per trader, we get about $116 billion in annual trading volume on BitMEX (divide 1 trillion dollars by 8.6 = $116billion).

Although this is still incredibly high, it would fall below the annual trading volume of Binance, which is estimated to be about $198 billion (based on the last 30 days average volume).

Little-to-no insurance backs BitMEX high Notional trading volume

This $1 trillion number was stated in the context of how much money exists in the BitMEX Insurance fund. Currently, the BitMEX insurance fund has 21,000 Bitcoin (or $70 million at current BTC price). This represents 0.007% of BitMEX notional annual trading volume of $1 Trillion. Although this ratio is slightly better than the insurance to trading volume ratio at CME’s exchange, it shows that BitMEX winning traders are actually more exposed to risk because the BitMEX ratio is based on notional trading volume, while the CME ratio is only based on trading volume.

Could Bitcoins primarily utility be margin trading?

The implications of the $1 trillion annual notional trading volume are quite significant. With an average of 8.6x leverage, this makes BitMEX one of the heaviest single users of Bitcoin. It also implies that despite the push by organizations all over the world to make Bitcoin a medium of exchange or store of value, this data suggests that one of the most significant use cases for Bitcoin is the settling of bets between traders regarding Bitcoin itself. Ultimately, BitMEX is honest about its role as an exchange for speculative trading.

Despite what the critics may say about margin and futures traders ruining the markets, these type of trading models are bringing unprecedented levels of volume into the crypto markets, and may very well be responsible for propelling us into the next bull cycle.

The post BitMEX Recorded $1 Trillion in Trading Volume (Notional Annual) appeared first on CryptoPotato.

Source: Crypto Potato

If You Can’t Beat Them, Join Them: JP Morgan Creates Its JPM Cryptocurrency

TL; DR

  • JP Morgan has created JPM Coin to settle transactions between clients of its wholesale payments business instantly.
  • After initially criticizing Bitcoin, the companies have changed their opinion and is quickly embracing blockchain technology
  • This is the first time a major US bank is creating its cryptocurrency, which will have ramifications for the entire banking industry.

 

JP Morgan, one of the world’s biggest banks, whose CEO Jamie Dimon once referred to Bitcoin as a “fraud” has now decided to get into the digital currency space by creating its currency which will be used to settle transactions between clients of its wholesale payments business instantly.

JPM Coin will be the first digital currency created by a major US bank. It shows that Executives at the bank have made a complete 180 degrees on their opinions regarding crypto.

Although Jamie Dimon did criticize Bitcoin in September 2017, calling it a “fraud that will eventually blow up,” he changed his opinion four months later, regretting having called Bitcoin a fraud and saying that “the blockchain is real”. We can only assume that he and other executives at the bank had done their research on the blockchain utility as a cheaper, faster and more secure alternative for settling payments between individuals and institutions within the bank.

JP Morgan Chase and Co

KYC costs for Banks make business highly inefficient

Everybody is familiar with the perils of having to wait 3-5 business days to receive some funds sent from another country. This time delay is caused by the fact that all banks in the U.S. use the same clearinghouses for ACH (automatic clearing house) transactions, which is the Federal Reserve or EPN.

The processing time is, therefore, the same for all banks. ACH operates as an overnight batch system, and functions only on business days, meaning if you send money to someone on Thursday through your Bank, they will have to wait until at least Monday or Tuesday before receiving the funds.

Having a cryptocurrency that exists on a shared ledger means that the funds can be transferred and settled between parties on the same ledger within minutes or maximum a few hours. The costs of processing each transaction are significantly lower as well because the blockchain infrastructure ensures the transparency and security of the transaction, while also providing an immutable account of the amount sent and received.

Additionally, it was reported that some major financial institutions spend up to $500 million annually on KYC processes and customer due-diligence, according to Thomson Reuters.
These costs would significantly be reduced by having a shared ledger in which information relating to the identity of bank participants can be securely exchanged between banks and clearinghouses, removing the need for redundant ID verification processes.

Just the beginning?

JP Morgan embracing blockchain is ultimately great news for the adoption of blockchain technology. JP Morgan currently banks 80% of the Fortune 500 companies, which means that these companies can now also plug into their blockchain network and utilize JP Morgan coin to settle payments faster and cheaper.
Once these major companies are on the blockchain, there’s no telling how much value it could create directly or indirectly for Bitcoin and the rest of the cryptocurrencies.

 

The post If You Can’t Beat Them, Join Them: JP Morgan Creates Its JPM Cryptocurrency appeared first on CryptoPotato.

Source: Crypto Potato

Ethereum (ETH) Price Analysis Feb.14: Ethereum Consolidates Around $120. What’s Next?

Ethereum has now seen a modest price increase totaling over 16% throughout the past week. The cryptocurrency currently trades for approximately $120, after suffering from a 30% price fall over the past 90 days. This consolidation is aligned with the recent price moves of Bitcoin.

Looking at the ETH/USD 1- Day Chart:

  • After bouncing from support level at $105.41, ETH/USD had experienced a price surge that drove the market up to a high of $127.36.
    The market had reached resistance at a bearish .382 Fibonacci Retracement level (marked in red). This Fibonacci Retracement is measured from the high of January 2019 to the low of February 2019.
  • Price action has now formed a trading range between $127.36 and $120.85, from below.
  • The nearest support is located at the bottom of the above range at $120.85, whereas the next short-term support at .618 Fibonacci Retracement level (marked in green) located at $115.15.
  • Support below this lies at $105.4, $102.98 and psychological level of $100.
  • From Above: The nearest resistance is located at the top of the trading range at $127.36.
  • This is followed with resistance at a short term 1.272 Fibonacci Extension level (marked in orange) located at $130, and the bearish .5 Fibonacci Retracement level (marked in red) located at $135.
  • The RSI indicator remains above 50 which indicates that the bulls are still in control of the market’s momentum.
  • The trading volume is slowly decreasing over the past few days.

eth_usd_feb14-min

Looking at the ETH/BTC 1-Day Chart:

  • The price action had found support at the 0.030143 BTC level, and from there rebounded throughout February 2019.
  • The rebound brought the coin up to resistance at the 0.034 BTC level. This resistance extends back to November 2018 and also resistance from a bearish .382 Fibonacci Retracement level (marked in red).
  • The market has now established a tight trading range between 0.034212 BTC and 0.033112 BTC.
  • From Below: Support lies at 0.032292 BTC and then 0.032000 BTC.
  • Further support beneath can be located at the .618 (0.031425 BTC) and .786 (0.030683 BTC) Fibonacci Retracement levels (marked in green).
  • From Above: Resistance above the range lies at 0.035089 BTC and 0.035543 BTC.
  • Higher resistance lies at the short-term 1.414 Fibonacci Extension level (marked in orange) at 0.035999 BTC and the bearish .618 Fibonacci Retracement level (marked in red) at 0.03696.
  • The RSI remains above 50 as the bulls maintain control of the market momentum. However, the RSI looks very fragile.
  • Trading volume remains at a steady average level.

eth_btc_feb14-min

The post Ethereum (ETH) Price Analysis Feb.14: Ethereum Consolidates Around $120. What’s Next? appeared first on CryptoPotato.

Source: Crypto Potato

CZ, CEO of Binance: A Major Exchange Attacked Us When We Were Small

Binance’s CEO, Changpeng Zhao, recently explained how the largest crypto exchange in the world deals with attacks from other exchanges. In a personal post, Zhao states that various exchanges have targeted Binance for different reasons since and especially it’s early days.

CZ lists several reasons why other exchanges picked on Binance; those include the fear of Binance’s rapid progress, fame-seeking, attempts to use the exchange for their growth, or even pure jealousy.

However, CZ also argues that these exchanges who originally wanted to either harm or use Binance, actually helped Binance grow bigger.

This personal post was published just a few days after Binance Coin (BNB) broke its all-time high against Bitcoin.

Binance used the attention to gain momentum

During its early days, when Binance was still quite young and unknown, a major exchange saw it as a threat and attempted to damage its developing reputation. However, Binance’s management used this attemp to its advantage.

cz_binance2
CZ, CEO of Binance. Source: Cryptopotato

“When a big exchange attacks a small new one,”, CZ says, “there must be some threat (and credibility) posed by the newcomer. They also have a higher reach than us back then. It was great to have them spread the word for us…
Our approach always: ignore, and work hard to become more successful ourselves. Best response!”

CZ continues to argue that bad news travel a lot faster than the good ones, and as soon as the exchange was involved in something like this, it started attracting endless attention. He also points out that every PR is good, especially for a young business that is trying to become relevant.

He was not worried about Binance’s reputation, as he thinks the public is smart, and they will not be so easily fooled. Such attacks on Binance brought new members to its community, while they united the existing ones.

CZ also mentioned the behavior of some crypto projects that went against Binance in the past, stating that they attacked because Binance would not list their token.

After refusing to cooperate, Binance was often called a “scam,” or even “illegal,” which led to the question: Why did they want their coins listed on an “illegal” exchange in the first place?

The post CZ, CEO of Binance: A Major Exchange Attacked Us When We Were Small appeared first on CryptoPotato.

Source: Crypto Potato

BTC Short Positions Are Reaching Historical Long-Term Support: Bitcoin Price Analysis Feb.14

For the past five days, Bitcoin is trading sideways around the Fib level 38.2% retracement ($3575). The bulls, that were expecting to see a reversal, or at least a breakout of the important 50-days moving average line of the daily chart, are still waiting.

We pointed out two days ago an option that the last $300 daily gains of BTC might end up as another Bart Simpson’s head pattern. This scenario is still valid.

Also, the past movements in the BTC short and long open positions set up to support the Bart option. However, there is always the other side, which in my opinion, has lower chances to take place.

Bitcoin Short Positions Are Reaching Long-term support

Over the past 24 hours, BTC the short positions had trimmed by nearly 10%. This is very odd. Whoever did that made sure that the price of Bitcoin wouldn’t move much. At the same time, the BTC long positions had gained momentum.

When looking at the following chart of the BTC shorts (on BitFinex), we notice that the short positions have reached their long-term support trend-line. This line was formed at the beginning of 2018, hence, more than a year ago.

btc_shorts_feb14-min

Unlike common sense, when the amount of open shorts is low (and longs are high) – expect a long squeeze. When the amount of open shorts is high – expect a short squeeze.

I’m not advising, but let’s look at the last time this set-up occurred:

January 6, 2019, just five weeks ago: The shorts touched the long-term line, longs were gaining momentum, following Bitcoin gains to $4090. But, it didn’t take long for the manipulation to play out, as Bitcoin recorded a low of $3503 on January 10.

The above is Bart’s head we’ve pointed out on the previous price analysis. Let’s see if this situation will end-up the same.

Looking at the 1-day & 4-hour charts

  • The daily chart’s RSI: The RSI has reached support on the long-term descending trend-line. It seems fragile, but the line is still supporting. Stochastic RSI oscillator had recently crossed over on the overbought area. This might be a signal for a correction down for the mid-term.
  • Support and resistance areas: Bitcoin had failed to break-up the key-level of the 50 days moving average line (on the daily chart, marked in white). This level currently lies around $3600. A breakout here and the settings might change.
    Breaking it up could lead BTC to retest higher resistance levels of $3700, $3800 and $3850.
    From below, the support area of the current price at Fib level $3575 seems to hold. The next support lies around $5325 with the cross between the 4-hour 50 days moving average and the 200-days moving average lines. The mentioned cross might be a positive sign for Bitcoin. The next significant support area is the $3480 – $3500 strong resistance turned support zone. Further lies the $3400 level.
  • Another thing to mention is the amount of volume. It seems that the volume is quite high, keeping in mind the consolidation of Bitcoin.
  • As mentioned, BitFinex’s open short positions sharply decreased to 22.50K BTC of open positions, following the analysis above.

BTC/USD BitStamp 4-Hour chart

btc_feb14_4h-min

BTC/USD BitStamp 1-Day chart

btc_feb14_d-min

 

The post BTC Short Positions Are Reaching Historical Long-Term Support: Bitcoin Price Analysis Feb.14 appeared first on CryptoPotato.

Source: Crypto Potato

Crypto Adoption Ahead: NASDAQ to Add New Bitcoin (BTC) and Ethereum (ETH) Indices

  • NASDAQ stock exchange adds Bitcoin Liquid Index (BLX) and Ethereum Liquid Index (ELX) to their trading services
  • These indices will be joining 40,000 of Nasdaq’s indexes (including Nasdaq 100 and Nasdaq Composite) through their GIDS data feed.
  • The continued integration of Bitcoin into traditional stock market trading services is a clear sign of mainstream adoption

In the past year, the NASDAQ stock exchange has increasingly become fascinated with cryptocurrencies.  From publishing reports analyzing the Bitcoin and the crypto markets to teaming up with VanEck launch of Bitcoin futures despite the bear market, NASDAQ sees that Bitcoin is here to stay and the opportunities are large enough for traditional stock traders to take advantage of.

Recently, NASDAQ has made another step in bringing Bitcoin to Wall Street by offering two new indices tied to the crypto market on its existing platform of indexes.

Bitcoin Liquid Index (BLX) and Ethereum Liquid Index (ELX) are created by Brave New Coin, and will provide a “real-time spot or reference rate for the price of 1 BTC and 1 ETH respectively, quoted in USD, and based on the most liquid ends of their markets” as stated on the alert published.

BLX and ELX work by capturing data from multiple exchanges to provide a single price point for BTC and ETH, which helps traders, get in and out of a given position.

BLX and ELX will now be joining 40,000 of Nasdaq’s indices (including Nasdaq 100 and Nasdaq Composite) through their GIDS data feed. The GIDS (or Global Index Data Service) is NASDAQ’s premier real-time data feed that consolidates all NASDAQ indexes and ETF valuation data as well as third-party partner data.

A definite step toward mainstream adoption

This move is another example of how NASDAQ is eagerly embracing cryptocurrencies as a tool to expand their trading services.

NASDAQ is the premier exchange for institutional investors, and so the more they shine a spotlight on Bitcoin, Ethereum and other major cryptocurrencies down the road, the more we can expect that institutional investors will begin flushing their money into the crypto markets via these traditional stock trading channels.

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Source: Crypto Potato