The Leading Cryptocurrency Stories for 9th May 2018

The Leading Cryptocurrency Stories for 9th May 2018

During the weekend, at the annual shareholders meeting of Berkshire Hathaway, Warren Buffett called Bitcoin as ‘rat poison’, while his partner Charlie Munger compared crypto to “turds.” Their views were echoed by Bill Gates who stated that he would definitely go short in Bitcoin, if there is an easy way. Bitcoin, which was about to cross $10,0000, once again fell to about $9,000 levels. However, there were a lot of positive developments in the field of blockchain technology. The State of Colorado has successfully passed a legislation that encourages the use of blockchain to improve the government’s operations and cybersecurity. Colorado becomes the first state to pass the bipartisan Senate Bill 86, facilitating the use of blockchain technology for protecting important data in State records.

Thomas Kurian, Oracle Corp’s President of product development, has announced that it will launch a platform-as-a-service blockchain product later this month and decentralised ledger-based applications next month. Microsoft, in the meanwhile, has officially announced the release of Azure Blockchain Workbench, a blockchain app creation service. Azure is the cloud computing platform of Microsoft. Workbench will speed up the blockchain app development process by automating infrastructure setup. The company has also highlighted blockchain as a “key topic of interest” at the annual Microsoft Build conference to begin this week.

In Europe, BMW has finished a pilot together with blockchain technology startup DOVU. The project rewarded drivers to track mileage on their leased vehicles, in return for rewards in the form of DOVU’s ERC-20 token, DOV. 
 
 
Bitcoin (BTC)

According to a New York times report, the parent company of the New York Stock Exchange is building an online platform that would enable big investors to purchase and hold Bitcoin. The plans are kept confidential, but the news edition was able to have a look at the documents and emails related to the development of the platform. According to a research report from the San Francisco Federal Reserve, Bitcoin’s sharp decline from its peak near $20,000 was directly related to the launch of futures market by CBOE and CME. Read more here and here. 

 

Bytecoin (BCN)

Bytecoin is the first cryptocurrency created with CryptoNote technology. It is not a Bitcoin fork. Bytecoin allows users to make absolutely anonymous money transfers through the CryptoNote algorithm.  The cryptocurrency hit $0.90 yesterday, from a mere $0.01732 a day earlier. However, selling pressure brought it back to $0.02 levels. One of the main reasons for the uptrend is the cryptocurrency’s listing in Binance exchange. This seems to be a well coordinated pump and dump operation. Read more here. 
 
 

Our Forex Trading Plan

Litecoin. Litecoin (LTC) faces heavy resistance at 180 levels. Furthermore, the stochastic oscillator is declining from the bullish zone. The next major support for the cryptocurrency pair is only at 112. Therefore, we are expecting LTCUSD to move down further in the days to come.

We are planning to benefit from the current downtrend by going short in the LTCUSD pair near 170. A stop loss order will be compulsorily placed above $180, in case we are able to successfully open a short position. We would close the short position when the LTCUSD pair declines to a level of about $120.

Litecoin - Technical Analysis - 9th May 2018
 
 

Our Binary Options Trading Plan

Ripple. Ripple (XRP) continues to remain weak, despite signing agreements with several large financial institutions. The cryptocurrency has also crossed below its 50-day moving average. Furthermore, the stochastic oscillator is moving in the bearish zone. Therefore, we are anticipating the XRPUSD pair to decline further.

An investment in a put option contract will enable us to gain from Ripple’s decline. Before locking our surplus money in a put option contract, we will make sure that Ripple trades near $0.75 in the cryptocurrency market. Additionally, we will choose a contract, which remains valid for a period of one week.

Ripple - Technical Analysis - 9th May 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.


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