The restoration of the cryptocurrency market: analysis of courses for July 16-20 and forecasts

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For cryptocurrency traders, it was a good week. The sudden bullish movement led to the increase in rate to 5-15%. Total market capitalization for the week increased by $28 billion.

Analysis of the rate of the TOP-5 of cryptocurrency

Bitcoin. Finally, bitcoin managed to break out of the downtrend channel and the red zone of risk. During the day, due to the positive news it rose by 11%. Total growth for the week amounted to over 18%. Support is at the level of $7200 and $7050, experts hope that in the cryptocurrency will be able to gain a foothold at $8000. Market capitalization of crypto-currencies is $126 billion.

Ethereum. The broadcast also overcame a prolonged bearish trend. Now there is a minor pullback, the overall growth rates for the week amounted to 5%. The nearest support lies on the line $440. Ethereum capitalization has grown to $46 billion.

Ripple. While bitcoin manages to recover position. For a week the rate has increased by 3.5 percent. Now the value of the asset falls. The immediate support is at the level of $0.45 and $0.43 per. XRP market cap is about $18 billion.

Bitcoin Cash. For the week BCH showed a good result, at the moment the rate has increased by 12%. Purchasing activity declined naturally after an intense growth and now the asset is trading at $784. The closest support is on the line $760 and $745. Market capitalization rose to $13.5 billion.

EOS. Cryptocurrency is still popular. For a week the rate has increased by 13%. Now on the market there was a slight pullback for 1 EOS give $8. The digital asset capitalization is $7 billion.

While stock indicators point to the beginning of the uptrend. Due to the sharp growth of all assets in the market should begin a natural rollback. After that, if buying activity is sufficient, the cost will go up again.

Previously on this topic in the news:

19.07.2018: Worldcore about summer “cryptostegia”: traders of the cryptocurrency market in the summer

A few weeks ago, bitcoin has updated annual minima, falling below the $5800 on major exchanges. Skeptics, more than 300 times declaring bitcoin dead, update posts, John McAfee, looking down, nervous. Experts from the international payment company and the stock exchange Worldcore about what’s happening on the cryptocurrency market.

A few weeks ago, bitcoin has updated annual minima, falling below the $5800 on major exchanges. Skeptics, more than 300 times declaring bitcoin dead, update posts, John McAfee, looking down, nervous. Experts from the international payment company and the stock exchange Worldcore about what’s happening on the cryptocurrency market.

The vast majority of predictions of bitcoin prices, the data in the 1st quarter of 2018 was wrong. The cryptocurrency market downturn was longer and deeper than it seemed six months ago. The price of bitcoin fell more than three times, and other major crypto currencies are losing their value 5-7 times. The market decline is comparable only to the global recession 2013-2015, analysts said the company Worldcore.

Figure 1. The visualization of the falling of bitcoin prices in different periods [1].

The global difference of the decline in 2018 from the previous one is weak the change in the index of dominance of bitcoin prolonged drop in the capitalization of the cryptocurrency market.
For example, in a recent study of the market of altcoins Worldcore(token WRC), are figures of the fall of the dominance of bitcoin is 10% for 2014 (from 88% to 78%), while for the 1st half of 2018 and the index insignificantly grew (from 38.6% to 41.6%) with a comparable increase in the number of cryptocurrencies. “The difference in the behavior of the dominance index shows the strengthening of the position of bitcoin as “digital gold” of the cryptocurrency market, – says Alexey Nasonov, the head of the company Worldcore, a total blur of a share of bitcoin on the stock market due to the emergence of new promising coins and tokens, the bulk of the trade passes through a pair of of btc. We see this primarily on our exchange worldcore.trade”.

Predictions about the future behavior of the cryptocurrency market are very different from each other and depend on the engagement of experts and the amount invested in this market. Punters hope for the best and talk about how much they earn by the end of the year, and skeptics, who had seen not a single market bubble, saying that the market will never return to its previous level. General opinion suggests that the recession is global, and the prerequisites for rally Nov 2017-Jan 2018 not yet been observed.

In a recent publication an eminent FundstratGlobalAdvisorsкасаемо breaking in June of the lower level of the April bitcoin prices mention of further price movement downward in the short term, but after about a possible rise to $25 000 by the end of the year. And before that, the company’s founder Tom Lee said that expanding bitcoin does not have a cause, and its apparent motion is a loss of 25% of the cost 355 days a year since 2010, so nothing to worry about.

“When you talk about predictions of bitcoin prices automatically mean the whole cryptocurrency market, – says Alexey Nasonov – the Movement of altcoins tenaciously connected with the main currency. Of course, the good news about any technical or marketing data related to the alternative cryptocurrencies raise the rate, but in a bear market is local trends, courses still go back to normal. Compare, for example, the rising cost Otvesnoy last year and the rising cost Esac ago.”

Alternative cryptocurrencies in the absence of news in the late spring – early summer, followed by bitcoin. But due to global events: the launch of the EOS mannitol(plus stop), Tezosv2, Lisk, Sonm, Oyster,Aion, Nebulas, and also a huge number of conferences of developers and marketers and other news about it, and market volatility remained high. While maintaining the capitalization of the market was the flow of assets from one cryptocurrency to another.

Despite the great activity of the participants of kryptonyte, still no change of trend. We can distinguish several reasons why this is happening.

The first reason is the expectations of market participants for the contraction of the cryptocurrency bubble. No one wants to go in a falling market, and finding a “second bottom”. Everyone is waiting for the all global bottom price of bitcoin to be able to jump from it and fly up. The change of trend in this case – pure stock speculation. The bulls are hiding and waiting, as one jerk to lift the bears horns.

The second reason is a global crisis of confidence. In another study, the company Worldcoreговорится about the share Scam projects among all ICO2017-2018 from 59% to 81% according to different estimates. In such circumstances, the entrance of capital market comparable with the loss in 2/3 of the cases. This immediately is a stop-factor for any investment as long as the system will be developed for assessment of projects and teams, as well as the system of prosecution of unscrupulous developers.

The third reason, immediately adjacent to the second, is the uncertainty of the legal status of projects associated with cryptocurrencies. Sopaka in many countries are legally uncertain action, often do not fall under the regulators that equates the purchase token to transfer money with unknown return period and uncertain returns, depending on the mood and success of the project team. Not surprisingly, in the absence of the influence of crowdfunding on the final product, it is impossible to calculate the competence of the team, the amount of several thousand tokens of altcoins is the current ceiling of investment attractiveness of the stock market compared to the equity market.

“Summer trends 2018 – consolidation of participants around increasing the transparency of the market – sums up Alex Nasonov, testing different approaches to the infrastructure of the blockchain – EOS, Tezos, Nebulas, Sarasaparilla, EmeraldЭфириума classic. Any major changes in market position is unlikely, all waiting for the fall. Historically, all growths of the market are connected with the end of the year, so during the summer you can relax and identify the most promising object of investment”

[1] Source of data – exchange Bitstamp(BTC/USD), the processing and graphics – howmuch.net

News

18.07.2018: Why increased bitcoin? – analysis of rate for 18 July and forecasts

This week, the cryptocurrency market have been revived. Today there is an intensive growth rate of all digital assets. The leader of bitcoin, it increased by almost 11%. The market capitalization of the top cryptocurrency has increased by $12.5 billion. Why is the bitcoin? There are several reasons.

Why increased bitcoin?

The first news that intensified bullish movement in the market it is the intention of the Fund BlackRock to enter the cryptocurrency market. Foundation specialists are already studying blockchain technology and features of digital assets. Given that the assets of the BlackRock trillions of dollars to market can significantly change the situation. Also this week, the hedge Fund of cryptocurrency and blockchain Autonomus Partners invested in the company by billionaire Steven Cohen.

Further news about the program change financial CFA Institute. In 2019, the leadership of the CFA intends to add to the curriculum “cryptocurrency” and “blockchain”.

On the growth of other cryptocurrencies affected by the news that the exchange is CoinBase adds 5 new assets. Among them Cardano (ADA) and Stellar (XLM) is the day they grew by 18 and 24% , respectively.

Forecasts of the exchange rate of bitcoin

The day the cryptocurrency was able to reverse the bearish trend and finally get out of the area at risk. Twice a month bitcoin tested the level of $6730 and finally broke it. Early in the morning the price of the asset increased to $600 and continues to rise. Daily trading volume grew to $6 billion.

The currency pair BTC / USD got support at $7200, serious resistance is at the level of $7550. Its breakout will open the way cryptocurrency to $8000 and above. Indicators point to the beginning of a new uptrend. A slight pullback after intensive growth, and the resurgence of bullish movement.

News

26.06.2018: Why fall cryptocurrency? – 5 reasons

Last year the digital asset has grown by leaps and bounds. During the year the capitalization of the cryptocurrency rose from $17.7 billion to $613 billion, a growth of 3300%! In 2018, the virtual currency fell to a minimum, and there are 5 reasons.

5 reasons for the fall of cryptocurrency:

  • Technologies are not yet popular. The most important technology in the cryptocurrency is the blockchain, a decentralized block chain, which is responsible for processing, conducting monetary transactions and saving data. Blockchain technology can be implemented in the field of transportation, medicine, Finance, logistics, but experts do not hurry. While businesses and organizations are not willing to use unproven technology that has not demonstrated the ability to scale. News of intentions go out every day, but real examples yet.
  • Cryptocurrencies have no purpose. There is no catalyst, or the need for investors to switch to digital currency. That is Fiat money and traditional translations in the foreseeable future will dominate. Take the bitcoin. Most often it is bought in exchange for other digital assets and quick profits, but not in order to use in real life. Without the expressed usefulness of the cryptocurrencies are unlikely to be popular.
  • A hacker attack. Breaking the Bank is unlikely to collapse the price of gold or currencies with cryptocurrencies it is not so simple. According to the analysis of Carbon Black just for 5 months was stolen cryptocurrency worth more than $1 billion. This is followed by important consequences: firstly, it is an indication that the blockchain and cryptocurrency is not as protected as the developers say, secondly, without additional precautions it is impossible to obtain the trust of retail investors and financiers on wall street.
  • The interdependence of cryptocurrency. Regardless of how many crypto currency is your portfolio most of the assets follows the movement of bitcoin. No traditional fundamental indicators that investors can use to assess asset. Long-term course of cryptocurrency to predict, no one can.
  • The disinterest of institutional investors. Most investors on wall street are sitting on the fence. They are not eager to invest in decentralized assets, because of the high risk of theft or fraud. Companies that have already reached the cryptocurrency market, actively manipulate the course and contribute to its further decline. Thus, in particular, occurred after the introduction of futures on bitcoin.
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