The total crypto market cap is currently recovering, but it is facing resistance near $220.0B.Bitcoin price is up around 5%, but it is also facing hurdles near $8,300 and $8,350.EOS price extended its gains above the $3.000 resistance and tested $3.200.BCH price is up around 5% and it is trading near the key $240 resistance area.Tron (TRX) price rallied 10% and broke the $0.0160 resistance level.Cardano (ADA) price rebounded 5%, but it is still well below the $0.0450 and $0.0500 levels.Bitcoin and the crypto market cap are rebounding, but facing hurdles. Ethereum (ETH), EOS, Tron (TRX), BCH, ripple, ADA and BNB are showing positive signs.Bitcoin Cash Price AnalysisAfter forming a support base above the $205 level, BCH price corrected above the $220 level against the US Dollar. The price even surpassed the $225 and $230 levels. The price is now testing the $240 resistance area, which is acting as a strong barrier for more upsides.If there is a downside correction, the price could test the $230 level. The main support on the downside is near the $220 level, below which the price could test the $205 support.EOS, Tron (TRX) and ADA Price AnalysisEOS price remained in a positive zone above the $2.850 support area. It broke the key $3.000 resistance and recently gained bullish momentum above the $3.100 level. The price is now testing the $3.200 resistance and it might correct a few points in the near term.Tron price started a strong rise above the $0.0150 resistance area. TRX price gained more than 10% and it recently surpassed the $0.0160 resistance area. The price tested the $0.0165 resistance and it is currently consolidating gains. The main supports on the downside are near the $0.0160 level.Cardano price started a slow recovery and it recently climbed above the $0.0400 resistance. ADA price is now trading near $0.0420 and it is facing a strong resistance near the $0.0450 level. If there are more gains, the price could test the key $0.0500 resistance area. The main support on the downside is near $0.0400 and $0.0395.Looking at the total cryptocurrency market cap 4-hours chart, there was a steady recovery from the $200.0B support area. The market cap climbed above the $208.0B resistance and a connecting bearish trend line on the same chart. However, it is now facing a strong resistance near the $220.0B level and the 100 SMA. If there is an upside break above the $220.0B resistance, there could be more gains in bitcoin, ETH, XRP, TRX, ADA, bitcoin cash, litecoin, EOS, stellar, IOTA, ICX, WAN, and other altcoins in the near term.
Archives for October 7, 2019
Ripple price remained in a positive zone and rallied another 5% above $0.2750 against the US dollar.The price is trading in an uptrend, but it is now facing a strong resistance near $0.2850.There is a rising channel forming with support near $0.2780 on the hourly chart of the XRP/USD pair (data source from Kraken).The price could correct in the short term, but it might find support near $0.2780 or $0.2750.Ripple price is up more than 5% against the US Dollar, and it recovered vs bitcoin. XRP price remains well supported on the downside near the $0.2750 level.Ripple Price AnalysisYesterday, we saw a nice upward move in ripple price above the $0.2560 resistance against the US Dollar. Later, Ethereum and bitcoin followed and started a nice upward move above $180 and $8,200 respectively. It sparked more gains in XRP/USD above the $0.2750 resistance and the 100 hourly simple moving average. Moreover, the price broke the $0.2800 and $0.2820 resistance levels.Finally, ripple traded to a new weekly high at $0.2853 and it seems like it could correct higher. The stated $0.2850 area is a major resistance, suggesting a possible downside correction. The price is currently trading below the $0.2820 level. Moreover, it broke the 23.6% Fib retracement level of the recent wave from the $0.2716 low to $0.2853 high.It seems like there is a rising channel forming with support near $0.2780 on the hourly chart of the XRP/USD pair. The channel support coincides with the 50% Fib retracement level of the recent wave from the $0.2716 low to $0.2853 high. If there is a downside break below the chancel support, ripple price could correct lower towards the $0.2750 support area. Any further losses may perhaps start an extended downside correction towards the key $0.2650 support (the previous resistance).On the upside, the key resistance area is near the $0.2850 level. If there is a clear break above the $0.2850 resistance, the price could rise another 5% and trade towards the $0.2920 and $0.2950 resistance levels.Looking at the chart, ripple price is trading nicely above the $0.2780 and $0.2750 support levels. However, the $0.2850 level is a key barrier for more gains. Therefore, there are chances of a short term downside correction towards $0.2780 or $0.2750. On the upside, a solid rally above $0.2850 could even set the pace for a move towards $0.3000.Technical IndicatorsHourly MACD – The MACD for XRP/USD is about to move into the bullish zone.Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is currently correcting lower towards the 60 level.Major Support Levels – $0.2780, $0.2750 and $0.2720.Major Resistance Levels – $0.2850, $0.2920 and $0.2950.
Michael J. Casey is the chairman of CoinDesk’s advisory board and a senior advisor for blockchain research at MIT’s Digital Currency Initiative.
The following article originally appeared in CoinDesk Weekly, a custom-curated newsletter delivered every Sunday exclusively to our subscribers.
The only certain thing to say about the implications of any isolated Securities and Exchange Commission case is that it’s risky to assume it sets a precedent. That goes doubly for those in which a settlement is reached with no admission of guilt.
That hasn’t stopped loads of people in the crypto community armchair-analyzing last week’s news of Block.one’s paltry penalty from the SEC over its 2017 sale of EOS ERC-20 tokens. As lawyer Stephen Palley put it over at The Block, “some commentary was useful and a whole lot of it was, well, the kind of blather one expects.”
But that’s not to say one can’t or shouldn’t try to read some tea leaves out of a decision as stunning and historically significant as this one. And while, I’m no lawyer, I am going to go out on a limb and say that, on balance, there are elements in here that the crypto industry should be happy with.
Happiness is not the way many are feeling about this result. A host of crypto commentators are royally angry about it.
It seems many folks don’t like the Block.one crew. In addition to their disdain for the EOS’s blockchain’s governance challenges andthe worrisome centralization of its network in China, many people also felt that the whopping $4 billion raised in the ICO was, well, obscene. To them, that fundraise tally was the high point – or more accurately, low point – of an ICO mania period that many in the community, rightly, want to put behind them.
Block.one’s $24 million payment — with no admission of guilt, and a waiver allowing it to continue to legitimately raise money through future securities issues — represented a mere 0.6% of the ICO’s gargantuan raise. Lined up against up the $225,000 infines and disgorgement that blockchain-based storage provider Sia also agreed to pay in relation to its much smaller $120,000 unregistered securities sale, it just seemed so unfair.
Good lawyers are worth it – if you can afford them
Naturally, the announcement got people’s minds spinning. Why?
Was the soft penalty because Block.one had put geofencing in place and tried to keep its tokens out of the hands of Americans? Maybe. (Some argued that the $24 million fine is possibly about as much was raised from U.S. investors.)
Was it because the SEC now implicitly recognized that EOS has evolved into a decentralized platform and that the new, on-platform tokens into which the ERC-20 tokens were swapped, were not securities? Maybe. (Was this an application of the de facto “Hinman doctrine?”.)
Was there some other, unwritten deal kept off the public record? Who knows?
The reality is that the only reliable conclusion to draw from Block.one’s “victory” is that it pays to get good lawyers. Proof of that lies in the successful waiver request that Cooley lawyer Karen Ubell submitted on the company’s behalf, detailing the lengths to which Block.One has since gone to up its compliance game and do the right thing by the SEC.
As legal commentator Katherine Wu put it in a scribbled comment that was included in another one of her extremely useful post-decision annotation exercises, “Fuck man, their lawyers are good.”
One cynical conclusion to draw, then, is that the crypto startup community is now following the same norms as the Wall Street banks it seeks to dislodge. Here too, it seems, money buys protection, if not from the law per se but from the impediments to business that adverse rulings have on those of lesser means. It’s a melancholy thought for those who want this technology to lower barriers to entry and give scrappy garage-based startups a chance to change the world.
Clues in cooperation
But I also think the negativity slung at Block.one in this instance is excessive. There’s too much desire for schadenfreude in this industry; when people are looking for blood and it’s not delivered, their disappointment is palpable.
A more upbeat view is possible. And it’s also formed from the waiver letter. While its words are those of a Block.one lawyer, not an SEC representative, the letter’s details hint at what the SEC could be looking for from token-issuing entities. Here, it’s important to note that the Cooley letter came, in Udell’s words, after “settlement discussions with the SEC” – a line that Wu annotated with the observation that the two sides had “def been back & forth for a hot minute….” That suggests its contents captured agreed-to-elements that formed the SEC’s implicit quid pro quo for its light touch.
With that in mind, the part of the letter that jumped out at me lay in the section detailing Block.one’s cooperative position with the SEC – one adopted in stark contrast with the team from Kik, who have angrily refused to settle over their ICO and are going to court with the SEC.
It’s the section where the Cooley team highlights Block.one’s work on “technological mechanisms” regarding the token it plans to issue for its decentralized media project, Voice.
These include mechanisms aimed at cutting-edge “identity verification and transfer restrictions that could be used to support compliance with securities laws” in the future, and others that could “ensure that future tokens are only provided to individuals in jurisdictions where it has been confirmed that implementation of such token will be fully compliant with all applicable regulations.”
On all these matters, the letter said, “Block.one is initiating a process of consultation and discussion with staff of the Division, including the SEC’s Strategic Hub for Innovation and Financial Technology (FinHub).”
Signs of openness to innovation
There’s a positive takeaway here about the SEC. The Commission has been maddeningly on the fence, or at least stubbornly silent, on how or whether it should embrace some of the more innovative compliance solutions for strengthening security while reducing friction in science.
Yet here, in a way, we have evidence that the SEC is not only open to innovation but willing even to reward transgressors who help them get their heads around that innovation.
Regulators are an unavoidable reality for startups looking to use blockchain technology to disrupt the old order. Their best hope is not to ignore them, fight them, or try to evade them, but to help them work with the crypto community’s developers to employ some of the incredible cryptographic solutions now at hand to design a more inclusive, less friction-filled financial system.
Block.one might well have gotten less than it deserves. But its approach with government is worth following.
SEC headquarters image via Shutterstock
ETH price is climbing higher and it recently broke the $175 and $180 resistances against the US Dollar.The price is currently trading near a crucial resistance area at $185 and $186.There was a break above a key bearish trend line with resistance near $175 on the hourly chart of ETH/USD (data feed via Kraken).The pair might correct a few points lower, but it is likely to climb higher towards $190 or $192.Ethereum price is up close to 10% versus the US Dollar, and climbed nicely vs bitcoin. ETH price could soon attempt to surpass $185 and climb towards $192.Ethereum Price AnalysisAfter forming a support base near $170, Ethereum started a decent rebound against the US Dollar. As a result, ETH price traded above the $175 and $180 resistance levels. Moreover, there was a close above the $180 level and the 100 hourly simple moving average. The price is currently up around 10% and it even tested the main $185 resistance, where the bears took a stand.During the rise, there was a break above a key bearish trend line with resistance near $175 on the hourly chart of ETH/USD. The price is currently consolidating gains below the $185 resistance. An immediate support is near the $182 level. Moreover, the 23.6% Fib retracement level of the recent rise from the $167 low to $185 high is also near the $181 level.If there is an extended decline or correction, the price could test the $178 and $175 support levels. The 50% Fib retracement level of the recent rise from the $167 low to $185 high is positioned near the $176 level to provide support in the near term. Any further losses might push the price back in a bearish zone towards the $170 support area.On the upside, the main resistances are near the $185 and $186 level. The current price action suggests high chances of an upside break above the $185 resistance. In the mentioned case, the price could test the $190 and $192 resistance levels. The next key resistance area is near the $198 and $200 levels.Looking at the chart, Ethereum price is trading with a nice bullish bias above the $180 level. Having said that, the bulls need to gain strength above the $185 and $186 resistance levels to push the price into an uptrend. If not, there are chances of a fresh decline towards the $175 level.ETH Technical IndicatorsHourly MACD – The MACD for ETH/USD is slowly losing pace in the bullish zone.Hourly RSI – The RSI for ETH/USD is currently correcting lower towards the 60 level.Major Support Level – $180Major Resistance Level – $185
In this edition of CoinDesk On Location reporter Diana Aguilar talks to Dante Galeazzi, country manager for Athena Bitcoin in Argentina. Athena is one of the first and biggest crypto ATM networks in the country. Athena has become a lifeline for many refugees and the ability to buy and sell bitcoin – and send it to other countries in Latin America – is picking up steam.
Galeazzi talks about the rise of the machines in Argentina and walks our reporter through the process and how the company localized the experience for the Argentine market.
After facing a sharp sell-off yesterday, Bitcoin was once again able to find support within the upper-$7,000 region, and its recovery back above $8,000 has triggered a notable XRP rally, which is sparking hopes that the next “altseason” is inbound.XRP’s rally today has led analysts to note that its technical strength is currently building, which could mean that significantly further gains are imminent in the near-future.XRP Surges Over 7% as Bulls RoarAt the time of writing, XRP is trading up nearly 8% at its current price of $0.275, which is up significantly from its daily lows of $0.25 – a region of significant support that has held strong for the past several days and weeks.It is important to note that analysts have previously explained that the $0.25 region had proven to be an incredibly strong long-term level of support that had been formed in 2018 after the crypto plummeted from its early-January highs of over $3.00, and its bullish response to its recent bout of consolidation within this region seems to confirm the fact that this is a critical support level.Today’s upwards movement has allowed XRP to begin forming some technical strength, and Josh McGruff, a popular crypto analyst on Twitter, noted in a recent tweet that he expects XRP to incur further gains in the near-future.“OBV downtrend has been broken, Guppy flipping to green should be on the horizon. Still inside the cloud, considered consolidation still. Breaking above the cloud, Kumo Twist, and breaking the 200MA, I’d consider this a complete trend shift from Bear to Bull. $XRP,” he noted.OBV downtrend has been broken, Guppy flipping to green should be on the horizon.Still inside the cloud, considered consolidation still. Breaking above the cloud, Kumo Twist, and breaking the 200MA, I’d consider this a complete trend shift from Bear to Bull.$XRP pic.twitter.com/fn4KOlt07C— Josh McGruff (@JoshMcGruff) October 7, 2019Will Other Altcoins Begin Incurring Bullish Momentum? Today’s XRP surge has come about as most major altcoins have posted slight gains and as Bitcoin’s dominance over the markets has begun to recede – dropping from monthly highs of over 70% to its current levels of 66%.Assuming that BTC’s dominance continues to drop, it is highly probable that more capital will begin flowing into major altcoins, which could be a catalyst for the next altseason.McGruff also spoke about this possibility in a tweet, explaining that most major altcoins are beginning to form bullish technical formations alongside Bitcoin’s dominance downturn.“$BTC dominance is at 66% but starting to see the major alts break into their 1D clouds and breaking their downtrend OBVs. Volume is coming into them. Would be exciting to see that dominance start to drop as folks get FOMO about the altcoin markets. $XRP $ADA $EOS $TRX,” he explained while pointing to the charts of the multiple altcoins listed above.$BTC dominance is at 66% but starting to see the major alts break into their 1D clouds and breaking their downtrend OBVs. Volume is coming into them.Would be exciting to see that dominance start to drop as folks get FOMO about the altcoin markets.$XRP $ADA $EOS $TRX pic.twitter.com/pZzmjGzCys— Josh McGruff (@JoshMcGruff) October 7, 2019Analysts will likely be closely watching to see how Bitcoin’s dominance trends in the near-term, as it could provide significant insight into whether or not altcoins will be able to extend their newfound momentum over the mid-to-long term.Featured image from Shutterstock.
General Electric (GE) has decided to freeze its pension plan, removing two of the key features that have come to be associated with retirement savings – secure and guaranteed – for tens of thousands of employees. GE isn’t the first company to pull the plug, but as one of the oldest traditional companies in corporate America, it sends a strong signal to employees that they can no longer bank on their employer for retirement benefits.
Now, instead of shouldering the risk for employees, GE will essentially shift that risk back to its workers by contributing a percentage of employee salaries into a 401(k) plan, whose investments are selected by the individual from a list screened by the employer. By heaping more risk on investors, companies like GE are doing their employees a favor by potentially sending them into the arms of bitcoin. If you’re going to inherit risk, you might as well choose an asset with an attractive risk/reward ratio, right? And with 115% year-to-date returns, no asset can touch bitcoin in 2019 so far – even factoring in the recent crypto market crash.
While there may not be any bitcoin ETF on the market just yet, which incidentally would make gaining exposure to BTC in a 401(k) plan that much easier, where there’s a will there’s is a way. And by taking a look at the returns of hedge funds this year, it’s clear to see why bitcoin is such a unique asset.
Hedge funds, which are known for their lofty two-pronged fee structure of 2 and 20 percent for management and performance, respectively, have delivered less than 5% returns in 2019 through September, according to data cited in Bloomberg. Even the stock market is up more than that at roughly 21%.
‘Central Bank Stimulus Distorting Financial Markets’
Meanwhile, a new Bank for International Settlements (BIS) report has uncovered something the crypto community could have told you all along. The ballooning of central banks’ balance sheets has been damaging to the soundness of the financial markets.
With so much uncertainty plaguing the global economy not to mention corporate America, it’s getting more difficult for investment officers to ignore bitcoin. They don’t have to shake up their entire asset allocation, as market leaders recommend starting with a modest exposure as low as 1%-2%. BTC may be a risky asset, causing eager investors to come back to earth after a recent market downturn, but as Twitter user Roland points out on Pomp’s thread:
“They can’t freeze bitcoin.”
Last modified (UTC): October 7, 2019 22:54
A London-based startup focused on reducing the barrier to entry for Bitcoin use has just announced an exciting new hire. Joining Azteco will be former Google manager Paul Ferguson.Ferguson has more than 15 years experience that he will bring to Azteco. The startup is trying to make getting exposure to Bitcoin as easy as topping up a mobile phone.Former Google Worker Turns to BitcoinAccording to a press release posted earlier today, the Bitcoin on-ramp startup Azteco has managed to poach talent from internet giant Google. The crypto startup is working towards making buying Bitcoin as easy as possible.I am really excited to go full time on #Azteco and help spread Bitcoin to every conceivable corner of the globe.@theonevortex @JWWeatherman_ @anthemhayek @cryptokelley @fundstrat @stacyherbert @maxkeiser @________jeremy @hhua_ @parabolictrav @sthenc @Beautyon_ https://t.co/3gXks2hDpR— Paul Ferguson (@paul_ferguson) October 7, 2019Ferguson boasts a career spanning more than 15 years in software development and product management. The new Azteco signing has led teams focused on advertising, reliability engineering, and Google’s own payment method, Google Pay. The release cites Ferguson’s “wealth of experience… in complex consumer-facing interfaces and high availability backend integrations” as being ideal for the Azteco business model. The former Google worker will reportedly work on vendor platform development, along with acquisitions of both products and vendors. The release reads:“His addition to the team will accelerate the growth of Azteco and their goal of helping the global switch to Bitcoin as the money of the Internet. Leaving Google for Azteco is a strong indication of how potentially impactful and profitable Azteco will be and the opportunity Consumer Bitcoin presents.”Azteco is a startup working on one of the most important aspects influencing Bitcoin adoption – the actual on-ramp itself. The company believes that a simpler way to pick up the cryptocurrency would make the digital currency much more attractive to the general public. It, therefore, seeks to create a system similar to the current, widely-used “pay-as-you-go” mobile phone top up procedure. Users would buy a voucher from a physical location – such as a supermarket – and use that voucher to “top up” a Bitcoin wallet. They can then transact Bitcoin from the wallet just as any other user would do.The service that Azteco offers, in terms of its simplicity, is not that dissimilar to that offered by growing numbers of Bitcoin ATMs around the world. The company will need to ensure that it prices itself much more competitively than these machines seem to be. It is not uncommon for the terminals to have a 10 percent or more price premium on the current market price of Bitcoin. Many people herald Bitcoin ATMs as a great indicator of increased crypto adoption. However, such fees associated with them seriously hinders their usage for pretty much anything except as a novelty or for criminal ends. Related Reading: BitMEX to Showcase Power of Bitcoin’s Lightning Network at Upcoming Crypto ConferenceFeatured Image from Shutterstock.
Japan’s oldest brokerage has formed a blockchain-focused partnership with the operator of the country’s most popular messenger.
In an announcement dated Oct. 4, Nomura Holdings, the parent company of Nomura Securities, said it made an investment in LVC, a subsidiary of South Korean-controlled Line, following an agreement signed on Sept. 24.
Terms were not disclosed.
Nomura said that the venture will be developing financial services utilizing blockchain technology. The partnership will make use of Line’s large user base—81 million in Japan—and well-developed user experience and Nomura’s financial experience and expertise.
The release also mentions LVC’s Bitmax exchange, which went live on Sept. 17, less than two weeks after receiving approval from Japan’s Financial Services Agency (FSA).
In January 2019, the companies announced that they were engaged in negotiations on the deal with a March target for final agreement. The earlier disclosure mentions that LVC’s capital will be increased through a placement of new shares to Nomura.
In the January announcement, LVC’s capital is listed as 1.21 billion yen ($11.3 million) as of Jul. 31, 2018. In the recent release, the company’s capital is listed as 5.06 billion yen as of Oct. 4. 2019, suggesting that Nomura may have invested almost 4 billion yen in the company.
Shinjuku, Tokyo-based Line is 73.36-percent owned by South Korea’s Naver, a listed technology conglomerate.
Nomura has been on a tear for some time in terms of blockchain investment. In May 2018, it formed Komainu with Ledger and Global Advisors to develop digital custody solutions. In July this year, the company invested in San Francisco-based Quantstamp, a smart-contract security company, and in September this year, it set up Boostry with Nomura Research Institute. The venture is developing blockchain solutions for trading securities. Just last week, Nomura and five other brokerages formed a self-regulatory organization (SRO) for crypto offerings.
While Japanese regulators have been cautious due to the 2014 collapse of Mt Gox and the 2018 hack of Coincheck, recent signs suggest they are warming crypto. In addition to approving new exchanges, the FSA has issued guideline on fund investment in crypto.
Image via Shutterstock.
After briefly dipping into the $7,000 region yesterday, Bitcoin (BTC) has once again been able to maintain this region as a strong level of support, as it has now climbed back to $8,100 during a strong move that followed its drop to lows of just under $7,900.Analysts are now noting that bears are still in control of Bitcoin, which could point to the possibility that it will incur significantly further downwards pressure in the near-term before it is able to find enough support to spark the next noteworthy uptrend.Bitcoin Climbs Back Above $8,000 as Bulls Fight BackAt the time of writing, Bitcoin is trading up just under 2% at its current price of $8,150, which marks a slight climb from its daily lows of under $7,900 which were set yesterday after BTC lost its foothold above its previous key support level at $8,200.Bitcoin has been caught in a tight trading range between roughly $7,800 and $8,300 for the past several days, and its latest price action appears to further confirm the near-term strength of both the upper and lower boundaries of this range.It is important to note that BTC’s bounce in the upper-$7,000 region may prove to be a technically positive thing for the crypto in the near-term, as analysts are noting that it is currently forming what appears to be a reversal formation.“$BTC – Trying to build momentum above $8K on a reversal candle combo TD 9 on the 12hr #bitcoin chart,” Big Chonis, a popular cryptocurrency analyst on Twitter, explained in a recent tweet.$BTC – Trying to build momentum above $8K on a reversal candle combo TD 9 on the 12hr #bitcoin chart… pic.twitter.com/lJ1RJDqbLZ— Big Chonis⚔️Flux Trading Group🚀 (@BigChonis) October 7, 2019Will BTC’s Bulls Defend Against Further Downside in the Near-Term?Although Bitcoin is currently forming a bullish reversal formation on its 12-hour candle chart, other analysts still believe that bears will continue to have an edge over bulls in the near-term, which could mean that the crypto is gearing up for a movement down towards the mid-$7,000 region.Josh Rager, another popular crypto analyst on Twitter, spoke about this in a recent tweet, explaining that the crypto is still caught in a bearish descending triangle despite its upwards movement overnight.“$BTC Update: After the close below sub $8k yesterday, Bitcoin has pushed back up over $8k but price rejected at resistance As you can see on the 4-hour chart, Bitcoin is currently in a descending channel. I’m currently short and waiting for the price to hit $7600s,” he noted.$BTC UpdateAfter the close below sub $8k yesterday, Bitcoin has pushed back up over $8k but price rejected at resistanceAs you can see on the 4-hour chart, Bitcoin is currently in a descending channelI’m currently short and waiting for the price to hit $7600s pic.twitter.com/hXA0ce10XN— Josh Rager 📈 (@Josh_Rager) October 7, 2019The coming days will likely prove critical for determining which direction Bitcoin will trend throughout the rest of 2019, as a failure to garner any notable upwards momentum could mean that lower lows are imminent.Featured image from Shutterstock.