Bitcoin drops further as 2018’s agony keeps going

Bitcoin’s painful 2018 crash continues, with the original cryptocurrency touching the lowest in more than a month on Monday.

Falling as much as 5.2% since the weekend, the largest digital asset in the space dragged the Bloomberg Galaxy Crypto Index to its worst decline in more than two weeks. Ether and Bitcoin Cash both fell more than 10%.

It’s been a disappointing start to the year for crypto investors, who hoped that the pain of the downturn was behind them. More than $400 billion in market value was wiped out in the past 12 months as widespread adoption failed to materialize, according to data from CoinMarketCap.com. The total market capitalisation is now about $113 billion.

Meanwhile, the economics of the industry has come under pressure, with so-called miners finding the average cost of producing Bitcoin was more than its value. More work is being done to identify money laundering using the asset class.

The technical outlook doesn’t bode well for the bulls. Based on the GTI VERA Convergence Divergence Technical Indicator, the largest cryptocurrency just entered a new selling trend today for the first time since mid-November.

The last time a sell signal was sent Bitcoin tumbled about 50% from $6,280 a coin to $3,156 over a nearly two-week span.

Business Tech Staff Writer 29 January 2019

Alan Zibluk Markethive Founding Member

Wall Street quietly shelves its bitcoin dreams

Squeamish from the start about pursuing profits in one of the darker corners of finance, established firms this year slowed their already halting efforts to make a business out of Bitcoin mania.

While none has thrown in the towel, and some continue to develop a trading infrastructure, most flinched as the value of virtual coins collapsed.

Take Goldman Sachs Group Inc., which sought to position itself at the cutting edge of digital assets that skeptics see mainly as a domain of day traders and anarchists. Progress has been so slow as to be barely noticeable, according to people familiar with its crypto business. Many in the industry now say it was quixotic to have expected last year’s frenzy to translate into a Wall Street crypto offering.

“The market had unrealistic expectations that Goldman or any of its peers could suddenly start a Bitcoin trading business,” said Daniel H. Gallancy, chief executive officer of New York-based SolidX Partners, which hopes to launch a Bitcoin ETF in the US. “That was top-of-the-market-hype thinking.”

Goldman remains a focal point for expectations of an establishment embrace of crypto. The firm was among the first on Wall Street to clear Bitcoin futures and people familiar with the matter said last year it was preparing a trading desk—the bank even provided its bankers to the New York Times for an interview on its plans. After considering a custody service for crypto funds, the firm invested in custodian BitGo Holdings Inc. It’s also offering derivatives on Bitcoin called non-deliverable forwards.

The bank has yet to offer to trade of crypto and has gained little traction for its NDF product, having signed up just 20 clients, according to people familiar with the matter. Justin Schmidt, who was hired to head its digital-asset business, said at an industry conference last month that regulators are limiting what he can do. Still, Goldman plans to add a digital-assets specialist to its prime brokerage division, the person said.

Courtesy- ET Alastair Marsh

Alan Zibluk Markethive Founding Member

Bitcoin – Triangle range about to end

• BTC stuck in a triangle trading range that is about to end.

• May continue earlier downward trend after breaking out of the range.

Bitcoin, the poster boy of cryptocurrencies, has been trading in a narrowing range of a triangle for last one month and now seems to be in the process of breaking out of this triangle which may result in BTC continuing its earlier southward journey.

BTC/USD is lower by two cents of a percent on day at $3,549 in just over one percent range for the day. On the six-hour chart of the largest crypto, BTC has been trading in a narrowing triangular range since last one month and is now closing in on breaking out of it, which would mean continuing the earlier downward journey which paused for a while.

This breakdown would also mean BTC would break lower of the $3k mark and may even inch closer to $2k mark.

BTC/USD 360-minute chart:

Manoj B Rawal

FXStreet

Alan Zibluk Markethive Founding Member

Bitcoin (BTC) Long Term Price Forecast- January 26

BTC/USD Long-term Trend: Bearish

• Resistance levels: $7,200, $7,400, $7,600

• Support levels: $3,500, $3,300, $3,100

The BTC/USD pair is now in a bearish trend zone. On January 1, the price of Bitcoin has an opening balance of $3,832.60. The crypto appreciated in value as the bulls took price to the high of $4,218. On January 10, after price retracement, the bears broke the 12-day EMA, the 26-day EMA and price fell to the low of $3,712.80. The crypto fell into the bearish trend zone and became range bound between the levels of $3, 500 and $3,800.

The price of Bitcoin had been fluctuating between these levels and the levels are yet to be broken. Presently, the BTC price is trading at $3,626 as at the time of writing. Meanwhile, the MACD line and the signal line are below the zero line which indicates a sell signal. The crypto’s price is below the 12-day EMA and the 26-day EMA which indicates that price is likely to fall.

By Azeez M – January 26, 2019

Alan Zibluk Markethive Founding Member

Four Major Crypto & Blockchain Strategies for Italian Businesses

Potential entrepreneurs think that in the 2019 framework, Italy will create economic value from distributed ledger technologies. Now, there are 4 potential entrepreneurial strategies, with various risk profiles and levels of value creation for the Italian scheme – in terms of acquisition, transfer of knowledge and job creation. The four strategies include:

1. Speculative investment in cryptocurrency

A large population in Italy has heard of crypto, especially Bitcoin (BTC), the flagship digital currency globally. Recently the news broke out on many media platforms claiming that “the BTC bubble has broken out,” since the market value of BTC and several other significant cryptoassets went through a strong collection in the past one year, which many people would dub a breakdown.

The crypto investor must know the golden rule of all investors, that is to say: invest only in something that is clearly known, of which the basis is understood.

The crypto market is still comparatively small. The present market cap of Bitcoin is around $63 billion USD, which is 1/10 of Apple’s cap and 100th of the gold market. Because of that, the market is vulnerable to manipulation by big actors and characterized by lofty volatility in comparison with the traditional assets.

Also, crypto asset trading is not regulated, hence making it very easy for risky inside trading manipulations.

Therefore, the value created in the Italian scheme by a clear speculative strategy is indeed close to zero: depleted acquisition of know-how & pathetic job creation
 

2. Creation of products & services where distributed ledger technology (DLT) adds value

The most lucrative opportunities for a dynamic entrepreneur now are those that are associated with the ‘tokenisation’ of products and services. In summary, tokenize a product means to form one or more DLT tokens which represent rights associated with the asset itself.

When an asset possesses a lucid market value but with low liquidity, connecting the ownership of the asset to a DLT token enables the buyers to expand significantly and can soar the liquidity of the asset.

Good examples of tokenisable products include software licenses, e-tickets, certificates of ownership of collectible & valuable tangible assets, and elements of video-games.

The commercial enterprise strategy leads to the development of innovative startups which leads to the creation of massive value in the Italian system.
 

3. Contribute to the operation & maintenance of blockchain tech

Contributions to the operation of a DLT, in particular, the dependable certification of transactions, are compensated in encryption. Taking part in these operations is thus a way of investing in the crypto option to direct financial investment.

Bitcoin and Ethereum (ETH) use a type of certification basing on the rationale of Proof of Work (PoW). In summary, the security of these cryptos is connected to the use of a huge computing power to execute certification. And since certification is too expensive, sets it to be virtually impossible to modify existing certified transactions.

The key selection criterion is a high level of DLT know-how and the potential to form important software to support users and offer great contributions to the enlargement of the ecosystem.

Accordingly, from the point of view of a startup interested in entering the decentralized proof of stake (DPOS) world, the ability to obtain know-how and form skilled jobs is very high.
 

4. Provide blockchain advice

Firms which will attempt to get knowledge and create value in the aforementioned strategies 2 and 3 will be positioned to benefit in the future from the market for the supply of training and advice in the DLT space.

The opportunity is tremendous: now, virtually all giant firms resort to outsourcing IT services & consulting.

The coming of DLT, in which financial institutions, exchanges and e-commerce bulls are investing huge amounts of funds, will cause a significant demand for training, consulting and management services in the blockchain technology field, according to a report by Econopoly, a local news outlet.

Read more news about blockchain and the cryptocurrency industry of Italy in the Italian language at www.it.coinidol.com

Jan 24, 2019 at 16:17

Author Coin Idol

Alan Zibluk Markethive Founding Member

Bitcoin (BTC) Price Analysis – More Downside Targets?

Bitcoin recently broke below a short-term rising trend line to signal that bearish pressure was very much in play. Price bounced off support around the $3,500 area but this seems to be a mere pullback from the breakdown.

Bitcoin hit resistance at the broken trend line, and the Fib extension tool shows the next potential downside targets. The 50% extension lines up with the swing low, which might be the first take-profit point for sellers.

Stronger selling pressure could take it down to the 61.8% extension at $3,422.80 or the 78.6% extension at $3,352.70. The full extension is located at $3,263.30

The 100 SMA is below the longer-term 200 SMA to indicate that the path of least resistance is to the downside. In other words, the selloff is more likely to resume than to reverse. Price is also treading below both moving averages, which means that these indicators could serve as dynamic inflection points from here. However, the gap between the moving averages is narrowing to indicate weakening selling momentum and a potential bullish crossover.

RSI is still heading south so bitcoin might follow suit. The oscillator has some room to go before hitting the oversold area, which suggests that selling pressure could stay in play for a bit longer. Stochastic already seems to have climbed out of the oversold region to hint that bullish momentum is about to return.

Rachel Lee by Rachel Lee January 24, 2019

Alan Zibluk Markethive Founding Member