The Leading Cryptocurrency Stories for 16th July 2018

The Leading Cryptocurrency Stories for 16th July 2018
July 16, 2018

The difficulty faced by Bitcoin (BTC) to stay above 6,300 levels has turned the entire cryptocurrency market bearish. Bitcoin’s trading range has steadily narrowed in the past few months. So, we may see a break out soon.  The direction of breakout may be on the downside, considering the overall weakness.

The overall bearish sentiment has resulted in a decline in the download rate of Coinbase application. When Bitcoin was trading near $19,000, Coinbase application topped the list of most downloaded financial applications. However, the application’s download rate has dropped to 40th place last month. Likewise, Coinbase website’s visitors fell from 126.5 million in January 2018 to 28.4 million in June.

Opera has released an Android browser with built-in cryptocurrency wallet, which can hold Ethereum and other ERC20 tokens. The wallet also allows sending and receiving cryptocurrencies by simply tapping the appropriate menu. It is the first browser to introduce such a facility. Other browsers may follow suit. Furthermore, both in desktop and mobile versions of the browser, the anti-mining feature is enabled by default. This safeguards a user from crypto-jacking issues.

India has been taking some harsh steps to curb cryptocurrency related activities, similar to China. The country’s central bank had instructed banks and financial institutions to avoid dealing with enterprises involved in some sort of cryptocurrency related activities. A law suit challenging RBI’s stance was dismissed in court. However, the government seems to be in a mood to soften its stance on cryptocurrencies. A finance ministry panel created to perform a detailed study may even advice the government to treat cryptos as commodities. The final decision is not yet announced. However, the leaked reports have given a glimmer of hope to several thousands of cryptocurrency investors.

One of the main issues faced by companies dealing with cryptocurrencies is the lack of support from banks and other financial institutions. To resolve this issue, blockchain-based fund raising platform Neufund and Binance, arguably the world’s largest cryptocurrency exchange by traded volume, are joining together to create Founders Bank, which will focus on providing fintech solutions to blockchain industry. The bank aims to bridge the gap between traditional financial business and crypto companies.

Shanghai Stock market, the world’s fourth-largest stock exchange, is planning to use distributed ledger technology (DLT) in securities transactions. China’s government has clearly segregated blockchain technology and cryptocurrencies. While the government does all it requires to crush cryptocurrencies and ICOs, huge encouragement is given to blockchain technology related projects that is aimed to improve the efficiency of organisations.

 

Litecoin (LTC)

Litecoin Foundation and TokenPay had faced difficulties in opening a bank account in the past as they are affiliated to cryptocurrencies. Both parties have now taken steps to resolve the issue. TokenPay is acquiring a stake of 9.9% in Germany’s WEG Bank AG. TokenPay intends to buy up to 80% of the shares after receiving regulatory approval. Once the deal gets completed, both Litecoin and TokenPay will not face any issues in launching a debit card. Read more here. 

 

Our Forex Trading Plan

Ethereum. Ethereum (ETH) is moving along a descending channel. The cryptocurrency is also facing heavy resistance at 460 levels. Therefore, it is our choice of asset to go short in the Forex market.

We may go short in the ETHUSD pair near 450 to gain from the probable decline of the currency pair. To minimise risk, we may place a stop loss order above 490. To finish setting up the trade, we will also place a cover order near 365.

Ethereum - Technical Analysis - 16th July 2018

 

Our Binary Options Trading Plan

Bitcoin. Bitcoin (BTC), which struggles to move past 6500 is our choice of crypto to trade in the binary options market. Technically, the next two major support levels for the cryptocurrency pair are at 5800 and 4800 respectively. The Willams % range indicator is in the bearish zone. Therefore, we anticipate the first support level of 5800 to be broken in the days to come.

We may invest in a put option to gain from the anticipated decline. While purchasing an option contract using a binary broker’s platform, we will select July 24th or around that day for option expiry. Additionally, the BTCUSD pair should be trading near $6350 in the cryptocurrency market.

Bitcoin - Technical Analysis - 16th July 2018

Disclaimer: The trading analysis offered here is our opinion. It is not provided as trading advice, merely an indication of our trading plan. We cannot guarantee success and we encourage traders to incorporate a strong money management strategy to limit losses. Please use this article as part of your own research before formulating strategies prior to trading.

Ian Maguire

Ian Maguire

Ian is our resident contributor to the latest going ons in the cryptomarket, keeping up to date with the latest icos and coins


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