Connect with us

Cryptocurrencies

RIP Repeal & Replace

Published

on

The political situation in the United States just went from bad to worse and I’m not even talking about North Korea, I’m talking about something the market cares about much much more, legislative reform.

The window of opportunity to repeal and replace Obamacare has now closed on the White House as Congress shut out the draft. Speaking as a person who has family in the United States I can tell you that the price for medical insurance and treatment is currently ridiculous. Most politicians agree that it needs to be changed but few can agree on how.

For now, the plan to fix America’s healthcare has been tabled as the government looks to focus on something that the stock markets care about most, reforming the tax code.

@MatiGreenspan
eToro, Senior Market Analyst

Market Overview

As escalation continues between North Korea and the USA, many analysts confuse the surge in Gold and stronger Japanese Yen as a flight to safety. Though these analysts love to group assets into bundles and assign a single narrative, all movements can easily be explained independently.

Correlation =/= causation!!

The fact is that the markets have not shown any strong signs of correlating to the warmongering rhetoric of the aforementioned leaders. They have been batting insults at each other constantly over the last few weeks, yet the stock markets remain higher than they were since this started despite two missiles flying over Japan.

As we can see, on the days of both missile tests (yellow circles), the Dow Jones went up.

The Japanese Yen strength sometimes does indicate a flight to safety. However, in this case, it’s probably better to attribute it to the snap elections that were called yesterday in Japan. Prime Minister Shinzo Abe is a man who tries forcefully to weaken the Yen. The prospect that he may be replaced could certainly change the outlook quite drastically.

The surge in Gold is no big surprise either. The shiny metal has been one of the best performing assets since the beginning of the year and though the timing of yesterday’s surge correlates loosely with the DPRK’s statement it also correlates with a surge in Crude Oil, which began three hours prior.

Notice how the blue line began its journey up well before the white line and well before NK’s threats to down US planes.

The surge in Oil is most likely due to the expectation that the Kurds in Iraq have overwhelmingly voted for independence. The ballots are still being counted but so far it seems very strongly in favor of a yes vote.

Modest declines in the US Stock markets should be seen as a reshuffling of investor portfolios. The surge in Oil sent the energy sector up by about 1.3% while tech stocks fell about 1.4%.

Yellen Tonight

Thought this will not be an official FOMC statement, it will be important for the markets. The speech is titled: Inflation, Uncertainty, and Monetary Policy

In her last press conference, Yellen admitted that she does not fully understand inflation. According to the Fed’s best models, they should be hitting their target of 2% by now but are still coming up short.

Today’s speech should give us some insight into the Fed’s next move. Expectations of when the next rate hike will be are shifting at a rapid pace!

In this chart, we can see the implied probability of a rate hike in the December meeting going from 22% on September 7th all the way to 63% today.

So much for forward guidance!

Crypto Without China

Yesterday we saw some welcome surges in the alternative market. The question of course is where do we go from here?

We know now that most volumes from China have been shut down or shifted to neighboring countries. The loss of 13% of volumes is not insignificant but also not a show stopper.

In this graph from Cryptocompare, we can see that at the beginning of the year China was indeed the driving force of this market. However, by March the US and Japan have pretty much taken over.

The great experiment of bitcoin is now taking place in Japan where, as of April it has been declared as a legal currency and is now accepted in many stores throughout the country.

We also await news from Russia, where the Finance Ministry and the Central Bank are already drafting a law to legalize cryptocurrencies by the end of the year.

One more chart for you…

This shows us the total value of all cryptocurrencies in circulation. The black line extends from the peak on September 2nd until today.

As we can see the black line has now been broken. So according to technical analysis on this chart, the breakout could certainly indicate the beginning of a new trend depending on how things progress.

This content is provided for information and educational purposes only and should not be considered to be investment advice or recommendation.
The outlook presented is a personal opinion of the analyst and does not represent an official position of eToro.

Past performance is not an indication of future results. All trading involves risk; only risk capital you are prepared to lose.

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 135 rated postsSenior Market Analyst at Etoro.com.




Feedback or Requests?

1 Comment

1 Comment

  1. embersburnbrightly

    September 27, 2017 at 7:21 am

    Very good analysis on all fronts; thank you!

You must be logged in to post a comment Login

Leave a Reply

Cryptocurrencies

This Week’s Crypto Winners

Published

on

The past week worked out to generally be a down market for most cryptocurrencies, but we saw several experience massive increases over the last 7 days.

Nasdacoin

Nasdacoin increased a whopping 158.75% to reach a price of $2.47 as of the date of publishing. Ranking as #93 in terms of market capitalization, much of this change seems to be attributed to the team announcing that Nasdacoin would be listed on several new exchanges.

CREX24, BTC-Alpha, and MERCATOX all announced plans to list NSD on November 12th, and the result was a quick run-up in the price of the coin. From looking at the whitepaper, there doesn’t seem to be anything special about the coin, and it is easy to conclude that the recent increases are mostly the result of an improvement in accessibility, rather than a notable change in fundamentals.

Animation Vision Cash

Animation Vision Cash (AVH) is a content trading platform that underwent a significant spike on November 19th for an as yet unconfirmed reason. The platform differentiates itself among others by being an adult content trading platform. Content providers prefer this market mechanism a lot more, and the goal of the platform is to create a dialogue between producers and consumers. The recent 71% jump in price is likely the result of recent announcements.

On.Live

ONL, the coin of On.Live, went through a 70% spike in price to approximately $0.12. This is a true altcoin, with a market capitalization of approximately $2.4 million. The company is devoted to the idea of revolutionizing how video broadcast and remote consultations are executed. The ONL token is what would power the entire economy of the platform, however no new significant news has been released that explains this jump in price.

Factom

Factom has experienced a 51% run-up in price over the last 7 days, reaching a price of $6.49 at the time of publishing. Factom currently has a market capitalization ranking at 74 ($57.8 million), and this could continue to grow with the good news that has been published. On the 14th, it was announced that Equator would be incorporating Factom’s blockchain-as-a-service technology into their mortgage software. Generally, huge partnerships like this are seen as major successes, and help the public perception, as well as the economic case.

Birake

Birake had their BIR token appreciate 45% in the last week. Currently trading around a price of $0.12, Birake has a tiny market capitalization of $2.4 million. As a white label cryptocurrency exchange, they have a fairly unique offering, and it is natural that they have the occasional spike in price.

As you can see, there is a wide variety in the coins that were the biggest winners of the week. Some were in the top 100, and others weren’t even in the top 500. While this doesn’t negate the bear trend of the broader cryptocurrency market, it shows that there are still winners in our midst.

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...

4.2 stars on average, based on 48 rated posts




Feedback or Requests?

Continue Reading

Cryptocurrencies

How Did Nasdacoin (NSD) Avoid the Crash? Game Changer or Ponzi Scheme?

Published

on

Nasdacoin (NSD) began its sudden ascension into the market cap top hundred just as the market crash struck last week. From Nov 14th through Nov 15th, Nasdacoin went on a 429% growth surge, while the rest of the market was bleeding out in what proved to be only the first dip of a two-pronged fall.

Since then the surge cooled somewhat, but NSD remains parked in the market cap top hundred, and remains in the green for a day in which several altcoins lost 30% of their value in a flash.

But what is Nasdacoin? And how has it avoided the gravitational pull of late which caused the rest of the market to come crashing to the ground?

What Is Nasdacoin?

Well, the project’s whitepaper sounds much like any other, and summarizes itself thus:

“Nasdacoin is an encrypted and decentralized virtual, open source, peer-to-peer currency, developed with the scrypt algorithm in the POW/POS Hybrid format, allowing people with entrepreneurial and passionate financial and technological market profile to store and invest their wealth in a safe currency…”

But delving deeper into the whitepaper immediately causes some alarm bells to sound, particularly when we arrive at the part where you invest your money in return for a guaranteed daily percentage return.

Another worrying sign is the mention of an affiliate programme, where users are paid percentage gains for every new ‘level’ of affiliate membership they achieve.

Furthermore, the whitepaper details a ‘Binary Bonus’, which is paid out every day to the most active affiliate creators, and has a payout ceiling of “infinity”.

In what may be a first for a crypto project, the ‘Team’ section of the whitepaper contains a photo of the co-founder which appears to be a selfie taken while sitting in his car.

Why Nasdacoin?

We’ve covered the warning signs without being too judgemental, but just why did Nasdacoin pump all of a sudden?

The source of the pump may have something to do with the coin’s listing on multiple exchanges, as announced on the day the pump began by the Nasdacoin team:

“We came to make History. NSD is Available in: CREX24 | BTC-Alpha | MERCATOX. Trade now!”

Of those exchanges, CREX24 handled close to 90% of the coin’s trades on Monday, processing close to $300,000 worth of NSD/BTC trades. The coin opened the day at a price of $2.39, and stands at $2.45 at time of writing.

Despite Bitcoin falling below the $5,000 mark, and all the major altcoins taking a tanking, Nasdacoin remains untouched by whatever’s fuelling the selloff.

According to the Nasdacoin explorer, 25 wallets hold 72.5% of the funds, while the top fifty addresses hold close to 83%.

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...

4.4 stars on average, based on 92 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: One Last Safety Net Ahead of $20 Territory

Published

on

 

  • Litecoin has been further slammed, dropping 35% over the past two weeks of trading.
  • Should near-term demand area of $35-33 fail to hold, it will be very punishing.

The Litecoin price remains firmly on the back foot, one of the standout under-performers in this current bear market, against some of the other major altcoins. LTC/USD has dropped a chunky 35% over the past going on 2 weeks now. Market bears have been pilling in since the big rejection, after trying to escape out of a bearish pennant pattern. This was attempted on 7th November, the upper trend line of the pennant proved to be too tough.

LTC/USD daily chart

Just a few sessions ago, LTC/USD collapsed through the lower support on the above-mentioned pattern. This was seen around the $49 mark, where the bears came pilling through to further crumble Litecoin. The price plummeted through a strong prior acting demand zone. It was tracking from the big psychological $50 area, down to $47 territory. Bulls had propped LTC/USD on occasions in August, September and October, leading the price on to make decent gains from the noted zone.

LTC/USD 4-hour chart

Between 15-18th November, price action did enter a temporary form of consolidation. As mentioned in the previous article , LTC/USD was trading within a range block, which was very much vulnerable to a breakout south, having since proved to be the case. It was eyed also as a bearish flag pattern set up, where sellers took a deep breather, ahead of the continued deep move south. LTC/USD lost over 15% from that consolidation area to current levels.

Key Support

LTC/USD weekly chart

Looking to the downside, eyes are locked in on the price range of $35 down to $33. The LTC/USD pair had consolidated within this area from June to August 2017, before being off on its journey north. In September 2017 this demand area proved required support for the bulls to continue their stampede higher. A failure to hold here will be very punishing to say the least. LTC/USD could be forced back down to $29 territory. The price was last seen here in June 2017.

Upside Barriers

There are now some big challenges ahead for LTC/USD, if it wants to return to heightened levels. During this bear market observed throughout this year, price action has formed new areas of resistance. It has all been uncharted territory, and unlike the 2017 bull run, there will be barriers that need to be broken for greater upside. The gains seen last year were not too challenging to achieve, as there was no history there for the bulls to deal with.

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...

4.4 stars on average, based on 55 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