Connect with us

Altcoins

Crypto Future: Seeking Rational Valuation

Published

on

All generalizations are stupid. These days there are loads of prognosticators calling crypto a huge scam, or predicting that Bitcoin will go to zero, or that Ether will become redundant. In a recent CNBC interview, the famous scammer Jordan Belfort claimed: “The whole thing is so stupid. This thing is going to evaporate like a mirage.”

Jordan is a convicted felon owing to his fraudulent stock manipulation schemes going back to the Dotcom days of nearly 20 years ago.  So you have to give him credit for spotting opportunities to cheat the public. But his opinion hardly adds anything new.

We all know there are crypto scams.  This is why it is so important to remember that all of the threat of regulation is not bad. It holds the benefit of cleaning things up so that everyday crypto users and investors don’t get whipsawed by pump and dump schemes.

But what is Jordan’s actual level of knowledge about the uses and technological benefits of blockchains and cryptocurrency? Not much I suspect. I know people that spend 12 hours a day on the topic.  In the absence of real understanding, generalizations come in handy.

Even serious minded and well informed crypto followers get carried away if, and when, they start believing some of the preposterous visions laid out in the average ICO whitepaper.

Just look at the so called Ethereum killers. EOS and several others start out as a Dapp on the Ethereum platform while building their own mainnet.  Before the launch, there was a lot of hype about how the EOS Mainnet was going to permanently change the game. Since then the story has changed due to the numerous network issues that followed.

EOS is currently trading near $6.50, comfortably above its $4.50 low of August but well down from the April high of $22.00.  This is not a condemnation of EOS or their Mainnet. Just like the Internet, the crypto world’s development takes lots of time and money.

We have to remember that EOS is well funded as one of the top 10 ICO’s of last year and they actually have something to show for their time and money. So treating EOS seriously is a smart move.

Here Is The Point

There is a provocative article with the headline: Cryptocurrencies Need to Die for the Market to Live from the folks at hackernoon.com. The author, Anthony Xie, points to a study by investinblockchain.com where only 36 of the 100 largest coins and tokens actually have a working product.  Xie suggests that the crypto market is too robust and that the trading in all 200+ cryptos are closely correlated.

For investors  Xie’s observation is dead right.  Why should all cryptos trade in such a fashion? After all, when you take away the complex technology we are dealing with the area of evaluating both the rationale for their business plan (whitepaper) and the likelihood of that any business with limited or perhaps no management experience being successful.  

We have mentioned on several occasions the venture capital investment model that assumes that only about 5% of their investment projects produce positive results. That usually takes 3-5 years for these deals to prove out.  Those that do, however, make up for a multitude of sins with the other 95%.

ICOs are certainly no more advantaged in most cases than venture capital projects. If we take the top 10 cryptocurrencies, how many have five years of building accomplished beyond Bitcoin, Ethereum, Ripple,Litecoin and Stellar: very few.

That being said why should the prices of all crypto trade in such a tight correlation? The answer is because the investment world is still applying generalizations to decisions. Overall, this will change in time and that will serve the larger more developed projects.   

Featured image courtesy of Shutterstock. 

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

Rate this post:

Important for improving the service. Please add a comment in the comment field below explaining what you rated and why you gave it that rate. Failed Trade Recommendations should not be rated as that is considered a failure either way.
0 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 5 (0 votes, average: 0.00 out of 5)
You need to be a registered member to rate this.
Loading...

4.4 stars on average, based on 115 rated postsJames Waggoner is a veteran Wall Street analyst and hedge fund manager who has spent the past few years researching the fintech possibilities of cryptocurrencies. He has a special passion for writing about the future of crypto.




Feedback or Requests?

Click to comment

You must be logged in to post a comment Login

Leave a Reply

Altcoins

Zcash Price Analysis: ZEC/USD Bears Back in the Driver’s Seat Despite Coinbase Incentive Program Support

Published

on

  • ZEC/USD is back within the control of the sellers, as the price has dropped around 9% within the past five sessions.
  • Coinbase announces that Zcash (ZEC) is supported on their learning incentive program. Users can earn $3 worth of ZEC by merely watching educational videos on the privacy coin.

ZEC/USD: Recent Price Action

The Zcash price has been cooling over the past few sessions after the bulls failed to sustain decent upside momentum seen earlier in the month. ZEC/USD has fallen over 9% in the previous five sessions, after hitting $56.75 on 13th February. The mentioned print was the highest seen since 14th January, with the buyers since losing ground.

ZEC/USD was moving within a descending wedge pattern formation; this was observed from 24th December up to the breakout on 8th February. As part of this mentioned push north, the price went on to gain a whopping 15%, rallying for five consecutive sessions. It was the longest run higher that observed since mid-December 2018.

Zcash Added to Coinbase Incentive-Driven Learning Program

U.S cryptocurrency exchange Coinbase announced Zcash has been added to its incentive program. Users will be able to learn about the privacy-based coin while having the benefit to earn from this program. The reward will be $3 worth of ZEC for watching the educational videos about the cryptocurrency.

Coinbase tweeted from its official account, “Earn $3 worth of Zcash with a new Coinbase Earn opportunity today. Check out the Earn ZEC page to view educational videos about Zcash and earn some along the way!” Users can sign up and start the program to receive their cryptocurrency rewards upon completing the educational series.

The program launched at the back-end of 2018, initially just featuring 0x. Earlier this month, Coinbase added Basic Attention Token (BAT) to the program. Zcash now being the latest is a massive step towards greater global awareness for ZEC by being supported on one of the world’s largest cryptocurrency exchanges.

Technical Review – ZEC/USD

ZEC/USD daily chart.

As detailed earlier, the price is heading south, which will likely see the above-detailed descending wedge pattern retested. Support is currently tracking around $47.00, which is where the upper trend line of the descending wedge sits. The mentioned support area coincides with a demand zone, seen from $50.00 down to $46.50. ZEC/USD last traded down at these lows in December 2018, a period when the general market bottomed, after heavy bouts of selling.

Should this support fail to provide necessary comfort, then a strong wave of pressure to the downside may likely be seen. The price may be forced to trade within the complete abyss, an area that has not been observed before. Unknown territory trading is something that is occurring across the industry within this current bear market.

Given the breach of the wedge pattern, there isn’t too much in the way of resistance until the $60 region. A supply zone tracks from $62 up to $65; the price saw several rejections here in January of this year and in December 2018. Further to the north, another likely target would be where the price peaked at the end of 2018, $73.95.

Disclaimer: The author owns Bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock.

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

Rate this post:

Important for improving the service. Please add a comment in the comment field below explaining what you rated and why you gave it that rate. Failed Trade Recommendations should not be rated as that is considered a failure either way.
0 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 5 (0 votes, average: 0.00 out of 5)
You need to be a registered member to rate this.
Loading...

4.6 stars on average, based on 124 rated postsKen has over 8 years exposure to the financial markets. During a large part of his career, he worked as an analyst, covering a variety of asset classes; forex, fixed income, commodities, equities and cryptocurrencies. Ken has gone on to become a regular contributor across several large news and analysis outlets.




Feedback or Requests?

Continue Reading

Altcoins

Ark Price Explodes with 89% Post-Upgrade Growth; Coin Added to Exodus Wallet

Published

on

The price of Ark (ARK) leapt 89% on Sunday, Feb 17th, and climbed to a new three-month high the process.

The rise in value came days after the Core V2.1 update to the Ark mainnet, and hot on the heels of the ARK coin being added to the popular Exodus Wallet.

ARK Price – ARK/BTC

As seen below, February has been a hectic month for ARK. The coin experienced four spikes in the last ten days or so, during which time the price rose 154% overall. Since the 18-month low on December 12th, the coin is up 195%.

On Sunday the coin moved from a value of $0.460082 up to a peak of $0.869728. That marked 89% growth for a brief moment, before the coin plunged again down to the $0.72 range, leaving Ark on net 52% gains for the day.

The ARK/BTC pair on Binance accounted for 20% of the daily turnover of $47 million. That’s a new one-year high for trade volume, not seen since the altcoin pump of January 2018.

Most of that has to be attributed to the Korean markets, as the ARK/KRW pair on UPbit made up close to 70% of the daily total, or around $33 million.

Ark Core Upgrade V2.1

The Ark Core upgrade V2.1 was released on February 11th. The main goal of which was a straight-up conversion of its programming language.

“The newest Core upgrade is primarily focused on changing the codebase from JavaScript to TypeScript. This means rewriting the entire Core to the TypeScript programming language. While this sounds unreal to accomplish in such a short period of time (the initial new Core v2 was released just over 2 months ago), TypeScript is a superset of JavaScript which makes the conversion easier.”

According to the accompanying release notes, TypeScript is a coding language that identifies syntax errors in real time, rather than waiting for when the app is already up and running. In this sense, V2.1 was an update for developers, but one which could pay off for holders in the long run.

The following is a description of Ark’s function according to the project website:

“ARK provides users, developers, and startups with innovative blockchain technologies. We aim to create an entire ecosystem of linked chains and a virtual spiderweb of endless use-cases that make ARK highly flexible, adaptable, and scalable.”

ARK Added to Exodus Wallet

On Feb 15th, Ark was added to the Exodus Wallet – a cryptocurrency wallet that houses around 90 different currencies at time of writing. The desktop wallet also features an in-built exchange, meaning users can trade from the security of their wallets. The Ark team announced:

“We are very excited to announce that ARK is now integrated into the Exodus cryptocurrency wallet. All Exodus wallet users now have the option to store ARK in one of the most popular and trusted universal cryptocurrency wallets in the industry.”

Looking forward, the next Ark Core update is due in March and will see a utilities library made available for Ark developers.

Disclaimer: The author owns Bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock.

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

Rate this post:

Important for improving the service. Please add a comment in the comment field below explaining what you rated and why you gave it that rate. Failed Trade Recommendations should not be rated as that is considered a failure either way.
0 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 5 (0 votes, average: 0.00 out of 5)
You need to be a registered member to rate this.
Loading...

4.5 stars on average, based on 145 rated postsGreg Thomson is a full-time crypto writer and digital nomad. He eats ICOs for breakfast and bleeds altcoins. Wherever he lays his public key is his home.




Feedback or Requests?

Continue Reading

Altcoins

Litecoin Price Analysis: LTC/USD Set for Another Potential Explosive Move North as Bulls Penetrate Pennant Pattern

Published

on

  • Litecoin price on Saturday is seen holding decent gains of over 3% at the time of writing, as the bulls continue their latest push north.
  • Fundamental prospects surrounding the Litecoin Foundation remain strong and supportive of the price recovery.

LTC/USD since last week has been on a decent push to the north; the price has gained well over 40% since 7th February. A breakout kicked-started the previous week after the bulls managed to escape a narrowing daily range-block. LTC/USD was contained within the tightening structure from 11th January right up to 7th February, which then saw an explosive move shortly after. In terms of the range, this was seen at a high of $35 down to a low $29.

Between 10-11th February, Litecoin managed to see its highest levels since 14th November, which demonstrated its recovery. Price action over the last few sessions has been somewhat consolidating while maintaining the new heights. As a result, LTC/USD has formed a bullish pennant structure following the long pole from 8th February gains. Given the current formation, the price does appear to be subject to further upside movements.

Adoption Progress – Litecoin

Earlier this week, Spend App announced iit would begin supporting Litecoin. The Spend App currently facilitates users to buy, sell and pay with Litecoin in more than 40 million locations, a massive step towards mainstream adoption. According to Spend’s official website, card transactions can be performed in 180 countries.

The company tweeted, “Litecoin is now available on the SpendApp. You can buy, sell and pay with Litecoin with your linked bank account. Spend LTC at 40+ million locations with the Spend Wallet by instantly converting to fiat with the Spend Visa Card!”

Pricing in Litecoin’s ‘Halving’

In August of this year, Litecoin is expected to see it’s second ‘Halving’. In a PoW, or proof of work blockchain, halving results in the miner’s reward being cut in half. Although the halving causes miners’ reward to be reduced, they tend to Bboost the price of an asset over the longer-term.

The inventor of bitcoin, Satoshi Nakamoto, introduced the halving feature to protect against inflation. Besides, he wanted to ensure that not all of the blocks were mined so soon. Similarly to bitcoin, Litecoin has a cycle of “halving”. What will happen is at predetermined blocks, Litecoin’s mining reward will reduce. It will be Litecoin’s second halving, as the first one occurred back on 25th August 2015. At the time miners rewards went down from 50 LTC to 25 LTC, this time round miners reward will be 12.5 LTC.

Technical Review – LTC/USD

LTC/USD daily chart.

As detailed earlier, LTC/USD is subject to an extended move higher should the market bulls breakout of the pennant pattern. The upper part of the structure can be seen tracking around $44.00; this must be broken down to see a more significant wave of buying pressure. Looking to the north, the next realistic target for the bulls will likely be the psychological $50.00 mark. The price has not been up at these heights since 14th November 2018.

In terms of support, it is observed at the lower acting trend line of the pennant structure, $41.50. If this fails to hold a complete reversal of the latest run of gains may be seen. LTC/USD would then likely be forced to return down to the low $30 region.

Disclaimer: The author owns Bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock.

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

Rate this post:

Important for improving the service. Please add a comment in the comment field below explaining what you rated and why you gave it that rate. Failed Trade Recommendations should not be rated as that is considered a failure either way.
0 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 5 (0 votes, average: 0.00 out of 5)
You need to be a registered member to rate this.
Loading...

4.6 stars on average, based on 124 rated postsKen has over 8 years exposure to the financial markets. During a large part of his career, he worked as an analyst, covering a variety of asset classes; forex, fixed income, commodities, equities and cryptocurrencies. Ken has gone on to become a regular contributor across several large news and analysis outlets.




Feedback or Requests?

Continue Reading

Recent Posts

A part of CCN

Hacked.com is Neutral and Unbiased

Hacked.com and its team members have pledged to reject any form of advertisement or sponsorships from 3rd parties. We will always be neutral and we strive towards a fully unbiased view on all topics. Whenever an author has a conflicting interest, that should be clearly stated in the post itself with a disclaimer. If you suspect that one of our team members are biased, please notify me immediately at jonas.borchgrevink(at)hacked.com.

Trending