Premium Daily Crypto NewsletterAugust 16, 2018
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Crypto Market Commentary
Mav's Daily Commentary
Markets Bounce Around 200 Billion Mark
Bitcoin Continues To Go Sideways
The market played a tug of war today as it bounced between 200 and 210 Billion several times.
As we mentioned yesterday there wasn’t enough motivation in the markets to keep the bullish trend alive for more than a day, and even yesterday’s announcement of the Coinshares “soft ETF” in the Bitcoin ETN wasn’t enough to get the bulls to play along.
Coinshare’s Chief Strategy Officer discussed what’s behind the recent price movement and why the bear market has been good for crypto:
Coinbase finally revealed their plans to list Ethereum Classic today, giving the asset a huge boost compared to the rest of the pack.
Coinbase also revealed they will be reducing their management fees from 2% to 1% for the Coinbase Index Fund in an effort to attract more institutional investment.
Speaking of investment, Blockchain investment firm Pantera Capital recently launched its third cryptocurrency fund, known as Venture Fund III. They completed all necessary filings with the SEC, and so far the fund has raised over $71 Million from roughly 90 different investors, with targets for 175 Million.
While that’s interesting in of itself, what really caught our eye is that Pantera representatives say they’re planning to use the money to invest in Bakkt, a new platform from the Intercontinental Exchange (ICE).
As we’ve covered, Bakkt’s primary goal is to assist retailers in buying, trading and selling cryptocurrencies. Pantera’s work with Bakkt would make it a founding investor when Bakkt launches in November.
Meanwhile, Ripple (XRP) has partnered with Bittrex, one of the largest cryptocurrency exchanges in the US by volume. Bittrex will be using the XRP-powered platform xRapid for cross border transactions. Ripple also announced other partnerships:
“Today, we’re pleased to announce Bittrex will act as the preferred digital asset exchange for xRapid transactions that move through US Dollars. In addition, Bitso and Coins.ph will be preferred for Mexican Pesos and Philippine Pesos, respectively.”
“We’ve seen several successful xRapid pilots already, and as we move the product from beta to production later this year, these exchange partners will allow us to provide financial institutions with the comfort and assurance that their payments will move seamlessly between different currencies,” says Ripple chief marketing strategist Cory Johnson.
Ripple continues to show that it has intentions and motivations unique to their own brand of cryptocurrency, and they continue to help push the space forward.
On the regulatory front, the U.S. Senate is set to take another look at blockchain technology next week.
The Committee on Energy and Natural Resources will host a hearing on “Energy Efficiency of Blockchain and Similar Technologies” on August 21st. The stated goal is to better understand how blockchain technology might impact electricity prices and what benefits it can provide to the public.
“The purpose of the hearing is to consider the energy efficiency of blockchain and similar technologies and the cybersecurity possibilities of such technologies for energy industry applications,” the announcement said.
The event will ask the question, “should we expect electricity prices to increase from rising electricity demand in blockchain applications?”
This should be interesting to watch, especially given that blockchain’s energy usage has already started to be mitigated through alternate methods of consensus and more efficient networks.
Still, these are questions worth posing and discussing on such a national stage.
What’s interesting is that all of the forces discussed today are more or less positive.
As we can see on a logarithmic chart of Bitcoin’s price, Bitcoin’s price is very unlikely to go below $4,000 at this point, and in a few short months that price floor will be $6,000. Any movement to the downside at this point will be short-lived.
There’s simply too much that’s happening in the background to let prices sink much further. While late August and September may be some rough waters, once we’re into November and early 2019, there is definitely an interesting horizon before us.
If you were not able to join us for the recent webinar “Ten Steps to Building Your Portfolio” webinar, the replay is available here.
We’ve started to produce episodes for The ReadySetCrypto Podcast; all of our episodes are posted on our blog (and on iTunes) and episode eight is now available. Episode Eight is an interview with Andrei Polgar, the author of the book “Age of Anomaly” which speaks to anticipating negative market events. Look for more episodes shortly as we comb the crypto space for valuable interviews, and create valuable content to keep you in the loop!
See you tomorrow!
Doc's Daily Commentary
Our Weekly Livestream
Our next Premium-Only Livestream is scheduled for 8/16/2018 at 8 PM EDT (UTC/GMT -4 hours). Invite & link to follow.
New to Cryptocurrencies? Check out our archived classes “Intro to Cryptocurrency Trading”, “How to Find Your Next Big Cryptocurrency: Intro to Fundamental Analysis,” Mav’s class on “Security and Wallets” and Doc’s classes, “Introduction to Technical Analysis” and “Short Term Trading Strategies” which are now all available for immediate purchase in our Store, and seconds away from viewing in the Premium Member’s Home. View more about them at our online store by CLICKING HERE.
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Offense – Adding Trades
Offensive Actions for the next trading day:
- None today.
Defense – Managing Risk
Defensive Actions for the next trading day:
RSC Managed Crypto Fund
- ETH/USD 2% added 8/10/2018 @ $363.14. (12% more to add)
- LTC/USD 2% added 8/10/2018 @ $62.56. (6% more to add)
Technical Analysis Research
This past weekend we introduced a new “fund” project that we’ll be creating over the next few months, in piecemeal form. I will be slowly and methodically creating a “fund” with (currently) 23 assets that we will do “live” or at least very plainly indicate where we intend to enter portions of assets. As long as the market continues grinding down in a bear, we will use sentiment-based entries to hopefully secure a better entry. In today’s video I discuss the signal that I’m looking for to potentially enter our XMR segment. Here are the recent swings that we’re tracking in the portfolio below; :
- DGB/BTC – long @ .00000608 (7/23). My target exit is .000008BTC.
- WTC/BTC – Long @ .00155980BTC (4/23). My target exit is at .002BTC.
- ADA/BTC – Long @ .00003931BTC (5/1) My target exit is at .00005BTC.
- ONT/BTC – long @ .0008905 (5/20) My target is .0013BTC.
Please keep in mind that if you want to follow these trades, I am using FIXED RISK POSITION SIZING. This means that I am using a fixed amount of risk capital that is based on my account size, like 2%. I am assuming that the trade will burn to the ground and that I will lose that entire capital position! Only in this manner can one effectively manage a position the way that you have to. If you’ve every checked your blockfolio nervously every 5 minutes when you’re underwater, this will prevent that. I will track these positions in this area and not in the main portfolio section. I will use a public portfolio tool to do so, which you can access by clicking below:
I hope you all got a chance to catch my webinar class from earlier this year; if not, the replay is available here. If you missed my earlier webinar, “More Profits in 2018; Ten Ways to Chart Like a Pro.” then you can catch the replay here. My new class “Introduction to Technical Analysis” is now available via our online store.
If you go to buy any of our courses at our online “store” you can receive $10 off the street price with your member’s “coupon code” of member18crypto..
Coinigy is a great tool for determining prices on each exchange, however I may not have access to the full suite of tools on TradingView charts. I am currently not using it as a front-end GUI for my exchanges, which it supports.I also use Blockfolio and/or Delta to give me a quick snapshot of my holdings, and find that it does an excellent job to aggregate all of my holdings into one easy-to-read snapshot of my cryptocurrencies, which are typically located in many different places.
I am also trialing the Profit Trailer and CryptoHopper trading apps which are working well in this choppy market.
Fundamental Currency Research
For flipping Good.
For long-term holding Neutral.
What is it?
What is our verdict?
What we like: A good iteration on DApp development with several built-in features that will make DApps faster and more feature-rich
What we don’t like: No alpha, Public GitHub Repo, MVP, or Whitepaper. Looks like it will be fairly centralized to start with hand-picked nodes.
- Project name: Chromapolis
- Token symbol: CHROMA
- Website: https://chromaway.com/ (website of the parent company ChromaWay, website for Chromapolis coming soon)
- White paper: TBA
- Hard cap: $15 million (private sale contributors will own 15% of the total token supply)
- Conversion rate: TBA
- Maximum market cap at ICO on a fully diluted basis: $100 million
- Bonus structure: TBA
- Private sale / white list: TBA
- ERC20 token: Yes (will be switched to native tokens when the mainnet is launched)
- Countries excluded: TBA
- Timeline: Unconfirmed whether the project will have a public crowdsale at the moment
- Token distribution date: October 2018
2017- 2018Q2 Portfolio (Discontinued)
How to read this portfolio: Please click on the Chart Key tab above for definitions and color codes. The colors correspond to our 7 categories in the graphic below.