Premium Daily Crypto NewsletterOctober 7, 2018
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Crypto Market Commentary
Mav's Daily Commentary
Week In Review
Mild Volume Week Leads To Slow Decline In Market Cap Despite Overall Good News
Last week was another relatively boring week in terms of price action. The overall cryptocurrency market cap decreased 1%, while Bitcoin dropped 1% as well. Bitcoin dominance rose 1% to 52%.
Retail interest in cryptocurrency has tapered off. According to a Zerohedge article, crypto trading volume tumbled to 17-month low this week as “bitcoin becomes boring”. Searches on Google for “Bitcoin” also dropped to 1-year low
“This could be a signal that the cryptocurrency market is maturing,” said Nigel Green, founder of DeVere Group, a financial advisory organization.
“This is a maturing market, so volatility should continue to decline,” said Mike McGlone, Bloomberg Intelligence commodity strategist. “When you have a new market, it will be highly volatile until it establishes itself,” he said. “There are more participants, more derivatives, more ways of trading, hedging and arbitraging.”
What’s interesting is how stable the market is right now despite this week’s major news in the industry, including institutional investments, and an update from the SEC on their highly-anticipated Bitcoin ETF decisions.
“Good news”, such as TD Ameritrade moving into crypto with ErisX and Yale University’s endowment fund (which are normally invested into very conservative assets) investing into two crypto funds, are related to investment and speculation.
Perhaps news of this kind isn’t moving the market like it used to because over the last 10 months we’ve re-tooled the market to be geared towards adoption and real-world-usage. In short, the market itself has shifted from speculative value to utility value while the underlying assets are still in the transition phase.
What gives me confidence in the emerging market is how different the landscape is regarding major institutions. A year ago we saw many companies toeing the water or simply waiting for other companies to make the first move. These days it seems the narrative has completely changed, and companies are racing each other to be dominant.
This, combined with some macro trends, could really prove that crypto is in “the right place at the right time”.
It’s no secret the world is getting richer. Over half the world — 3.6 billion people — are part of the global middle class, and that figure is poised to reach 5.3 billion by 2030, according to the World Data Lab. Much of these gains have taken place in Asia.
Meanwhile, wealth in the U.S. is splitting apart. The gap between low- and high-income areas in the U.S. has begun to widen, the Brookings Institution reports.
Given the shaky equities market this week, it could spell increased uncertainty in the global markets. Crypto’s developments of late have poised it to become a serious contender in the global power struggle for the world’s wealth.
Crypto is certainly a long way from finding recognition as a global currency or even one of many, but the trend is certainly consistent.
Essentially, in a time of uncertainty, crypto will play a pivotal role in the days to come. If faith in the value of a sovereign nation’s currency is predicated only by its ability to collect taxes, perhaps the world needs a currency that is transient of both borders and creeds.
Take solace in the fact that by placing your capital and faith in this space, you are essentially making a bet on the future. That, I think, is a very solid bet indeed.
We’ve started to produce episodes for The ReadySetCrypto Podcast; all of our episodes are posted on our blog (and on iTunes) and Episode Thirteen is now available. Episode Thirteen is our interview with the CEO of Internxt about his upcoming beta of distributed storage services using Xcloud. (like a Dropbox). 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
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Offense – Adding Trades
Offensive Actions for the next trading day:
- Ripple(XRP) is showing positive activity but we don’t want to chase after it unless it moves back into a primary uptrend.
Defense – Managing Risk
Defensive Actions for the next trading day:
RSC Managed Crypto Fund
How to read this portfolio: Please read through the FAQ tab
- ETH/USD 2% added 8/10/2018 @ $363.14
- ETH/USD 2% added 9/9/2018 @ $200.50 (10% more to add)
- LTC/USD 2% added 8/10/2018 @ $62.56. (5% more to add)
- XMR/BTC 2% added 9/21/2018 @ .018BTC
RSC Altcoin-Exclusive Crypto Fund
Technical Analysis Research
In today’s video I talked about how the price volatility is completely collapsing, which normally precedes “expansion” of the range again. Set your price alerts and buckle up, folks.
In August 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. All that I saw were bear flags tonight; we are close to some good entries on coins showing positive divergence on the RSI. Going forward into the end of this year my plan is to do a LOT more swing trading; what would really help is a decent derivatives exchange. I am looking for big things from Digitex in this regard, which will be a commission-free futures platform however all trades must be made in DGTX as the base currency. Put yourself on the waitlist for this platform by clicking here. I have started to acquire DGTX tokens at Mercatox in anticipation of them turning up their platform, and this looks to be a good candidate for a pump prior to the production event. 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.
- ETP/BTC – long @ .000522BTC (9/21) My target is .00072BTC
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: Supernodes are very interesting. No trading commissions for users.
What we don’t like: There are many exchanges already on the market. Transaction mining isn’t currently solvent.
- Project name: Bgogo Exchange
- Token symbol: BGG
- Website: https://bgogo.com
- White paper: https://bgogo.com/assets/white-paper/BGG-Token-Whitepaper-v1.8EN.pdf
- Hard cap: 17,000 ETH (15,000 ETH during private sale and to supernodes, 2,000 ETH during public sale) for 10% of total tokens
- Conversion rate: Private sale: 1 ETH = 66,666 BGG; public sale: 1 ETH = 69,999.3 BGG.
- Maximum market cap at ICO on a fully diluted basis: $51 million based on current ETH price of $300
- Bonus structure: Whitelisted public sale participants have a 5% bonus over the private sale price, with no lockup period.
- Private sale: The private sale has already been completed with 10,500 ETH raised from 21 supernodes and 4,500 ETH from strategic investors.
- White list: Bgogo’s public sale will be a Genesis Mining event (exact date to be confirmed) that will start 24 hours before mining is officially opened to the public. Only whitelisted users can participate. Details on the Genesis Mining event can be found here: https://bgogo.com/announcement?link=mining.
- ERC20 token: Yes (will be switched to native tokens when the mainnet is launched)
- Countries excluded: TBA
- Timeline: TBA
- Token distribution date: TBA
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.