Monero (XMR) futures trading launched by a regulated Dubai-based BTSE cryptocurrency exchange that says it wants to “spark a conversation.”
Dubai-based multi-currency and spot/futures exchange, BTSE, unveiled its Monero (XMR) futures trading, Oct. 31. The move makes it one of the first and only exchanges offering futures contracts on the privacy-focussed cryptocurrency.
Bucking the trend of exchanges delisting privacy-focused coins
BTSE is a relatively unknown, low-volume exchange that is licensed by the Department of Economic Development, Government of Dubai and is under the regulations of the Central Bank of United Arab Emirates, according to its website.
The decision to list Monero comes at a time when the popular privacy coin is being delisted from several other exchanges. Despite having proved its longevity, its focus on anonymity entails potential regulatory risk.
Blockchain analysis firms such as CipherTrace, for example, are working with regulators and law-enforcement agencies to track an increasing number of cryptocurrencies, though privacy-focused Monero and Zcash are notably absent from the list of monitored tokens.
How to list privacy coins in a regulatorily-compliant fashion
But CEO of BTSE, Jonathan Leong, believes that privacy is an important aspect of a strong digital currency, and that listing Monero can provide authorities with a yardstick by which to assess best practices for listing such tokens.
“In listing Monero, we hope not only to provide our users with more choice when it comes to their trading needs, but to spark a conversation on how to list privacy coins in a regulatorily-compliant fashion.”
As Cointelegraph recently reported, cryptocurrency futures trading is rapidly catching up to spot trading in terms of volume.
Major crypto markets are forced to delist privacy coins as per FATF requirements, is it counterproductive or a step in the right direction?
As Japan and South Korea — two of the largest cryptocurrency exchange markets in Asia — are increasingly pressuring exchanges to delist privacy-focused crypto assets, and concerns are rising that it could lead to more markets, at least in Asia, to follow the trend of the two major countries.
Meanwhile, Blockchain analytics firms like CypherTrace appear to be developing technologies to better understand the structure of privacy-focused coins and to trace transactions initiated by cryptocurrencies. Speaking to Cointelegraph, a spokesperson for CypherTrace said that the company expects to see some progress by 2020 on privacy coins, stating, “We look forward to some results on privacy coins in 2020.”
But as things stand, analytics firms are still not close to finding a solution for tracing transactions processed by some privacy coins like Monero, which may make it more difficult for privacy coins to remain listed on strictly regulated exchanges that support fiat pairs.
The crypto exchange market in Asia and privacy coins
Japan and South Korea have essentially imposed a blanket ban on privacy-focused cryptocurrencies like Monero (XMR), Zcash (ZEC) and Dash (DASH), which, officers at the Japanese Financial Services Agency like to describe as the “three anonymous siblings.”
Throughout the past year, the G-7, an organization consisting of the seven largest economies, and the Financial Action Task Force (FATF), which operates under the G-7, have shown efforts to unify basic regulatory frameworks surrounding cryptocurrencies.
With the push of Japan, both the G-7 and the FATF and have pressured major markets to take action against privacy coins, leading large exchanges like UPbit and OKEx to delist Monero, Dash, Zcash and several other cryptocurrencies. On Sept. 10, OKEx Korea said in an official statement translated by Cointelegraph:
“According to the statement corresponding to FATF R.16, […] We have decided to take measures to end trading support for stocks classified as privacy-oriented cryptocurrencies, aka dark coins.”
As reported by Cointelegraph, UPbit, the largest cryptocurrency exchange in South Korea by volume, also delisted privacy coins due to money laundering concerns. UPbit said in a statement, “The decision to end trading support for the crypto-asset was also made to block the possibility of money laundering and inflow from external networks.”
Cryptocurrency exchanges in Japan and South Korea planned to support the stance of their respective governments to prohibit the trading of privacy coins prior to the meetings held by the FATF. However, the FATF released a document following its second plenary meeting entitled, “Outcomes FATF Plenary, 20–22 February 2019,” explicitly stating that entities described as virtual asset service providers will have to comply to the revisioned requirements of the FATF Standards.
Others to follow G-7 and FATF guidelines?
The revised requirements for virtual asset service providers could make it mandatory for all regulated exchanges located in G-7 countries to discard support for privacy coins, creating a more difficult environment to trade the digital assets.
Regulated exchanges in the United States like Coinbase and Gemini have not supported privacy coins since their inception, with the exception of Zcash in the case of Gemini. It remains unclear whether Zcash can be considered a privacy coin, as it provides users the option of processing transactions that are not private.
To process private transactions of Zcash, shielded transactions have to be initiated, and on most exchanges and wallets, shielded Zcash transactions are not processed. Due to the ability of Zcash to comply with local regulations, Gemini has supported Zcash since May 2018, and management at the Electric Coin Company has said on several occasions that ECC is working with OKEx and other South Korean exchanges to list Zcash.
Is there a solution?
For privacy coins that purely focus on being private, like Monero for instance, it may not be possible for blockchain analytics firms to establish an efficient method of tracing transactions. As a CypherTrace spokesperson told Cointelegraph:
“Monero in particular has a very privacy focused technology including ring signatures and mixing. Most coins have a much more transparent blockchain and are not actively trying to prevent analysis.”
Hence, for Monero and a select few other privacy coins, at least in the foreseeable future, regulated cryptocurrency exchanges that either don’t support privacy coins or have already delisted privacy coins are highly unlikely to list them again.
The Federal Ministry of Finance of Germany, which is a member of the G-7, released a report at the end of October entitled, “First National Risk Analysis 2018/2019,” stating that the growing usage of Monero on the darknet makes it more dangerous than Bitcoin. The report says:
“Due to the increasing popularity of Monero on the Darknet, it can be foreseen that this crypto asset, especially, will gain more practical relevance in the future in the area of securing and exploitation.”
It did not single out Monero, adding that other privacy coins like Zcash can also be used to launder money. The growing pressure from G-7 countries for exchanges to deal with privacy coins will further push the FATF to apply guidelines and standards to prevent money laundering, making it harder for exchanges to support privacy coins.
Zcash has the best chance, but does it count?
Given its selective privacy option that allows users or service providers like exchanges to choose whether to implement private transactions or not, combined with the support from a top U.S. cryptocurrency exchange in Gemini, Zcash seemingly has the best chance of being listed by exchanges operating in G-7 countries.
Like how Gemini supports Zcash, the FATF may likely require exchanges to be able to monitor and trace transactions as needed before privacy coins can be listed on major exchanges. Without such solutions, maintaining compliance with the FATF’s requirements could prove too challenging, particularly since they became stricter following the organization’s second plenary meeting in February 2019.
Would the delisting of Monero hurt chances of tracing?
Earlier this year, in February 2019, Kimberly Grauer at the crypto analytics form Chainalysis said that Monero is a top priority for the firm, and tweeted, “We can easily track the funds in and out of a DNM [darknet market]. If you ever want to convert your crypto into fiat, you’ll have to go through an exchange, which will force you to KYC, so there’s still hope.”
However, if Monero is delisted from exchanges and trades begin to be processed in a peer-to-peer manner, it will become almost impossible for blockchain analytics firms to find the identity behind the Monero transactions. Therefore, delisting of Monero from exchanges could hurt the chances of analytics firms tracing funds involved in criminal activities.
The German Federal Ministry of Finance has expressed concerns about using privacy tokens due to their association with criminal activities and difficulties to track them down.
The German Federal Ministry of Finance has expressed concerns about rising use of privacy tokens due to their association with criminal activities and difficulties in tracking them.
Published on Oct. 19, the ministry’s “First Money Laundering and Terrorist Financing National Risk Assessment” for 2018-2019 provided analysis aimed at the identification of existing and future risks in the field of anti-money laundering (AML) and terrorism financing (TF) in Germany. Among other challenges, the report examines circulation of cryptocurrencies in the darknet for criminal purposes.
Pseudo-anonymous vs. anonymous tokens
The report marks a distinction between pseudo-anonymous and anonymous tokens, noting that pseudonymity allows the analysis of transactions in public blockchains and the evaluation of suspicious movements, while fully anonymous tokens like Monero (XMR) and Zcash (ZEC) enable transactions to remain untraceable and are thus vulnerable to involvement in illegal activities.
In this regard, the Ministry urges oversight of anonymous cryptocurrencies in the future. Although the market capitalization of such coins is still relatively low, the report notes, they are gaining popularity and acceptance in the darknet and eventually may become a real alternative to Bitcoin (BTC).
Risks associated with stablecoins and cash
According to the report, use of crypto assets in TF is currently low. There is evidence of use of crypto assets in the fields of right-wing extremism and Islamism, however, there is no reliable evidence that cryptocurrencies have been used to a greater extent for TF.
Cryptocurrency volatility reportedly prevents its usage as a means of payment to some extent. However, stablecoins — which are pegged to an asset or fiat currency — can ensure stability of value, and thus could lead to an increase in laundering and TF risks, per the report. The report further reads:
“The use of cash, in contrast to the use of pseudonymous crypto assets, leaves no traceable footprint and is easy to handle, so it can be assumed that, for example, the transfer of funds in the field of terrorism financing alongside hawala and money transfer service providers currently continues mainly via cash couriers.”
On Oct. 21, the United States Financial Crimes Enforcement Network (FinCEN) Director Kenneth Blanco said that fintech firms offering cryptocurrency users anonymity must comply with AML laws “just like everyone else.”
A few of the top cryptocurrency performers of the past seven days are forming buy setups. What are the key levels to watch out for? Let’s analyze the charts.
While the fundamentals in the crypto space have been improving over the past few months, repeated opposition to popular projects like Libra has kept the sentiment subdued. Speaking at the International Monetary Fund and World Bank fall meeting, German Federal Minister of Finance Olaf Scholz vehemently opposed the idea of allowing Facebook to create Libra because, according to him, it is the “responsibility of democratic states.”
Similarly, the Financial Action Task Force also voiced its concern on Libra and other stablecoins when its president Xiangmin Liu said that successful creation of these stablecoins can lead to “new risks regarding money laundering and terrorist financing.”
The total market capitalization of cryptocurrencies has been stuck between $210 billion and $230 billion since Sept. 25. This consolidation is unlikely to continue for long. Traders should watch the key levels closely to benefit from the impending move. Let’s analyze the charts of the top five performers of the past seven days and see if find any buying opportunities.
Monero (XMR) has been the best performer of the past seven days. Does its rise from the recent lows indicate that the bulls are using the fall to buy? Is it ready to turn around? Let’s study its chart.
The XMR/USD pair continues to slide inside a falling wedge pattern. Though the bulls have held the support line of the wedge for the past three weeks, they have not been able to achieve a strong bounce off it. This shows that the bulls are not showing any urgency to buy even at these levels. A break below the wedge will be a negative sign that can sink the price to the yearly low of $38.83.
On the upside, a pullback from the current levels will face selling at the resistance line of the wedge. Both moving averages are also placed close to the resistance line of the wedge, hence, a breakout of it will signal that buyers are back in the game. Traders can wait for the price to sustain above the moving averages before initiating long positions. The first target on the upside is $97.9733 and above it $121.427.
After record sales of $251.51 million worth of XRP in Q2 2019, Ripple has drastically reduced the sales in Q3 2019 to $66.24 million, which is a drop of 73.66%. The company said that the XRP sale rate is similar to the inflation rate in Bitcoin (BTC) and lower than of Ether and Litecoin.
Ripple has tied up with Finastra, the third-largest financial services technology firm in the world. This partnership will benefit the existing customers of both companies. Will these positive developments boost XRP prices? Is it ready to start an up move? Let’s analyze the chart.
The XRP/USD pair broke above the 20-week EMA but is finding it difficult to sustain above it. However, it has been in the green for the last three weeks, which is a positive sign. The flattening 20-week EMA and the RSI just below the midpoint suggest that the sellers are losing their grip.
Above the 20-week EMA, a move to the downtrend line of the descending triangle is possible. This is an important level to watch out for because if the bulls can scale it, the bearish pattern will be invalidated. Failure of a bearish pattern is a bullish sign. Hence, if the pair can sustain above the downtrend line, a new uptrend is likely.
Long-term traders can buy on a close (UTC time) above the downtrend line and keep the stop loss just below the recent low. The target objective is a move to $0.76440 with intermediate resistances at $0.5050 and $0.5650.
Our view will be invalidated if the pair turns down from the current levels and plummets below $0.22. However, we give it a low probability of occurring.
Bitcoin SV (BSV) continues to be in the news due to statements by its backer Craig Wright. However, interest in the altcoin, measured by tweet volume, has dwindled down from its peak in May. Let’s look at its chart and see if we spot any bottoming formation.
The BSV/USD pair has been holding above the $80 support for the past three weeks. This is a positive sign as it shows buying closer to this support. On the upside, the relief rally can reach the previous support turned resistance of $107. We anticipate the bears to launch a strong defense at this level.
If the price turns down from $107, the bears will again attempt to sink it below $80. If successful, a drop to $66.666 is possible.
Conversely, if the bulls push the price above $107 and sustain it, the pair might extend its recovery to $138.950 and above it to $188.690. We will wait for the pair to sustain above $107 before proposing a trade in it.
UNUS SED LEO (LEO) has risen close to 2% in the past seven days. During the week, it cracked into the list of top 10 cryptocurrencies by market capitalization. How does its prospect look on the chart? Can it rise further? Let’s find out.
Though the LEO/USD pair made a new low recently, the bears have not been able to capitalize on the breakdown. Buying at lower levels has resulted in a pullback that might face resistance in the $1.0075 to $1.0467 zone.
If the bulls can scale above this zone, the pair can move up to $1.35. Though there is a minor resistance at $1.1217, we expect it to be crossed. Aggressive traders can wait for the price to close (UTC time) above $1.05 before buying. The stop loss can be kept at $0.94.
Contrary to our assumption, if the price turns down from the current levels and plummets below $0.9410, it can correct to $0.866 and below it to $0.8278.
Binance Coin (BNB) has retained its place among the top five performers for the second consecutive week. The week was packed with various positive news flow that kept the price buoyant. Prominent was the launch of a BNB Exchange-Traded Product on a Swiss Stock Exchange, in partnership with a local Swiss startup Amun.
Binance burned 2,061,888 BNB in the latest quarter, worth about $36.7 million. The exchange burns about 20% of the profits it earns. Using this data, the quarterly profit turns out to be about $185 million. The exchange said that Binance Futures — launched on Sept. 13 — was well received by its customers and it reached the number four spot by trading volume in BTC futures on Oct. 8.
Binance CEO Changpeng Zhao said that with institutional participation increasing in the futures platform, the exchange has decided to offer a maximum leverage of up to 125x on Bitcoin futures. Has the fundamental news flow improved the technical picture? Let’s study its chart.
The pullback from the recent lows of $14.2555 has hit a roadblock at the previous support turned resistance of $18.30. We anticipate the bears to defend the zone between $18.30 and the resistance line of the descending channel.
However, if the bulls can propel in the BNB/USD pair above the channel, it will be a positive sign and will point to a change in trend. Therefore, traders can initiate long positions as suggested in our previous analysis.
Contrary to our assumption, if the bulls fail to scale above the resistance zone, the bears will attempt to sink the pair below the critical support of $14.2555. If successful, a drop to the support line of the channel is possible.
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk, you should conduct your own research when making a decision.
The market data is provided by the HitBTC exchange.
Nelson Minier, head of over-the-counter trading at cryptocurrency exchange Kraken, says its volume has increased twenty-fold since 2018.
Nelson Minier, head of over-the-counter (OTC) trading at major cryptocurrency platform Kraken, has stated that the OTC desk’s trades per month have increased by a factor of 20 since the beginning of last year.
Minier gave his remarks in an episode of The Block’s podcast, The Scoop, on Aug. 20. Minier further remarked that “Bitcoin and Ether are the big — the whales of our desk,” additionally estimating that Bitcoin (BTC), Ether (ETH), Bitcoin Cash (BCH), Monero (XMR), and Tether (USDT) were the top five cryptocurrencies traded by volume.
Minier also gave his projections on BTC price, saying:
“I don’t see demand for this asset going down. But I do know that supply is gonna get cut in half, some time May 2019. And I think another thing I know about Bitcoin is that higher price is the best marketing tool we have.”
Kraken’s lawsuit regarding OTC location
In April, former Kraken employee Jonathan Silverman sued the platform for upwards of $900,000. Silverman reportedly managed Kraken’s trading desk in New York, but was not compensated in accordance with an oral agreement with Jesse Powell, Kraken’s founder. Silverman additionally specified that Kraken was lying about not operating in New York. In his lawsuit, Silverman said:
“Misrepresenting to the public and government regulators that it was not operating in New York; when in reality, Kraken’s OTC practice, and OTC trading (including logging into the Kraken exchange and negotiating wire transfers) occurred almost exclusively in New York.”
However, a spokesperson for Kraken, Christina Vee, retorted that Silverman was “both lying and in breach of his confidentiality agreement.”
Kraken’s website troubles
As previously reported by Cointelegraph, Kraken has recently seen some troubles with its website and application programming interface (API). On Aug. 13, Kraken announced on Twitter that it was receiving reports of connection issues, both for the site as well as its API.
Bitcoin is leading a recovery. Is this a bull trap or will it result in a new uptrend? Let’s analyze the charts.
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.
Crypto enthusiasts despise fiat currencies while central banks have largely been against cryptocurrencies, as they consider crypto assets to be a form of competition to their existence. However, a new analysis has found that mere existence of cryptocurrencies benefits both society and the government.
Cryptocurrencies offer an opportunity for citizens to diversify their investments. They act as a competition to fiat and prevent central banks from debasing fiat currencies. Conversely, governments benefit by allowing and taxing crypto investments in the economy.
Though Facebook’s Libra project has hit rough waters, Binance has announced an open blockchain project dubbed “Venus” that will work with governments and various other corporations to launch localized stablecoins worldwide. Binance believes that the project will empower both developing and developed nations. It is banking on its existing compliance measures across various jurisdictions to help it gain the required regulatory approvals.
Bitcoin (BTC) is picking up momentum as it moves higher. This is a positive sign as it shows that bulls are not waiting for lower prices to buy. However, is this a bull trap that will suck in buyers and then turn around and plummet? Let’s analyze the chart.
Let’s look at the positives that point to a resumption of the rally on the chart. The BTC/USD pair has held and bounced sharply from its critical support of $9,080. This confirms that bulls jump in to buy when the price dips to the support as they expect it to hold.
Both moving averages are flattening out and the RSI is close to 50, which points to a range-bound action in the near term. The boundaries of the range might be $9,080 on the downside and $12,000 on the upside. A consolidation near the highs is a positive sign as it increases the probability of a breakout to new highs. So, as long as the price remains above $9,080, the pair is on target to make new yearly highs.
Our assumption will be invalidated if the price turns down either from the current levels or from $12,000 and plummets below $9,080. Such a move will hurt sentiment and signal a deeper correction to $7,451.63. It will also delay the next leg of the up-move. Though we have a bullish tilt, the chart patterns are not offering a trade with an attractive risk-to-reward ratio. Hence, we are not suggesting any fresh positions in it.
The bears could not capitalize on the breakdown below $192.45, which shows strong demand at lower levels. The pullback has reached the 20-day EMA, which is a stiff resistance. Nonetheless, if the bulls scale this overhead resistance, Ether (ETH) can move up to the 50-day SMA, which is close to the horizontal resistance of $235.70.
We anticipate a stiff resistance close to $235.70, because this level has stalled the rally on three previous occasions. If this level holds again, the ETH/USD pair might consolidate between $192.45 and $235.70 for a few days.
On the other hand, if bulls push the price above $235.70, the pair might quickly rally to $320.84. We will watch the price action above the downtrend line for a few days and make a call. Our neutral-to-bullish view will be invalidated if the pair reverses direction from current levels or from the 50-day SMA and breaks below $174.461.
We had anticipated XRP to plunge after it broke to new yearly lows, but that did not happen. Cherry-picking by aggressive bulls has helped the price rise above the previous support-turned-resistance of $0.27795. After the first batch of buyers, the real test starts now. Will the demand sustain at higher levels or will it falter?
The XRP/USD pair has not sustained above the 20-day EMA since breaking below it on June 27. Hence, this makes it a stiff resistance to overcome. If buyers push the price above the 20-day EMA, it will be the first sign that demand is not drying up at higher levels. The next level to watch will be the 50-day SMA and above it $0.34429.
However, if the bulls fail to scale the price above the 20-day EMA once again, we expect bears to sell aggressively and try to break down of the recent lows at $0.225. While it might look attractive to buy at these low levels, we do not have confirmation of a bottom yet, hence, initiating long positions might be a risky affair. We will wait for a new buy setup to form before recommending a trade in it.
Bitcoin Cash (BCH) has formed a large head and shoulders (H&S) pattern, but bears have not been able to break below the neckline of the pattern. The bearish setup comes into play only after a breakdown and close (UTC time) below the neckline.
However, the rebound from the neckline has been encouraging. It has quickly moved up to the moving averages. If the bulls push the price above $360, we anticipate a move to $428.54 and above it to $515.35. Therefore, we might suggest long positions after watching the price action closer to $360.
Contrary to our assumption, if the bears defend the moving averages, the BCH/USD pair might again slide to the neckline. We expect it to break below it in the next retest. Though the target objective following the completion of the H&S pattern is much lower, we will take it one step at a time and keep an eye on $166.98.
Litecoin (LTC) held the 61.8% Fibonacci retracement level once again on Aug.18. This is a minor positive as it shows a lack of selling at lower levels. The price can now pull back to the 20-day EMA, which is likely to act as a resistance. If this level is crossed, a move to the 50-day SMA is probable.
A breakout above the 50-day SMA will indicate that the downtrend is over. The first resistance is $105.676, above which, a retest of the recent highs at $145.6725 is probable.
Both moving averages are sloping down and the RSI is in the negative zone, which shows that bears are in command. If the price turns down from the 20-day EMA or the 50-day SMA and breaks below $69.9227, it can fall to $49.3305, which is the 78.6% Fibonacci retracement level. We do not find any reliable buy setups at the current levels.
Binance Coin (BNB) is trading inside a tight range of $26.202 to $32.50. The bulls are attempting to scale above the moving averages, which is a positive sign. The next stop is $32.50, above which we expect the digital currency to start a new uptrend. The first target on the upside is a retest of the lifetime highs and if it is crossed, the pair is likely to pick up momentum.
On the other hand, if the BNB/USD pair turns down either from the 50-day SMA or from $32.50, it can remain range-bound for a few more days. A breakdown of $26.202 will be the first sign that bears are back in the game. The trend will turn decisively lower if the support at $24.1709 cracks. We suggest traders wait for the pair to break out of $32.50 before buying.
EOS is attempting to bounce off the critical support at $3.30. Both moving averages are sloping down and the RSI is in the negative zone, which suggests that bears have the upper hand. If the cryptocurrency turns down from the 20-day EMA, bulls will try to sink it back below $3.30. A break below this level will be a huge negative that can drag the price to $2.20.
However, if bulls can push the price above both moving averages, the EOS/USD pair can move up to $4.8719. A breakout of this level might start a new uptrend, but if the price turns down from $4.8719, it will remain range-bound for a few more days. We suggest traders wait for a new uptrend to start before initiating long positions.
Bitcoin SV (BSV) might form a large trading range between $107 and $188.69. Both moving averages are gradually sloping down and the RSI is just below the midpoint, which shows that bears have a slight advantage.
Currently, bulls are attempting to breakout of the 20-day EMA. If successful, the BSV/USD pair might face some resistance at the 50-day SMA, above which it can move up to $188.69.
Conversely, if the pair turns down from either moving average, it can again correct to $107. As the range is large, traders can attempt to buy closer to the support of the range and sell near the resistance. In between, we do not find any reliable buy pattern, as the price action is likely to remain volatile. A breakdown of the range will be a huge bearish move while a breakout can push the price toward lifetime highs.
Monero (XMR) is range-bound between $72–$98.2939. Both moving averages are flattish and the RSI is close to the center. This suggests a balance between buyers and sellers. If bulls can propel the price above the moving averages, the cryptocurrency can rally to $98.2939.
A breakout of the range can carry the price to $120. There is a minor resistance at $107, but we expect it to be crossed. Conversely, if the XMR/USD pair turns down from the current levels, it might dip back to the support of the range at $72. A break below the support will be a bearish sign that can drag the price to $60. The price action inside the range can be volatile, therefore, we remain neutral on the pair. The traders can turn positive above $98.2939.
Stellar (XLM) broke below the critical support of $0.072545 on Aug. 14. Since then, the price has traded in a tight range. The bears have not been able to build on the breakdown and sink prices to new lows. Similarly, bulls have failed to push the price back above $0.072545.
The best breakdowns continue to plunge without giving many opportunities to traders stuck at higher levels to get out. If there is hesitation after a breakdown, it shows a lack of urgency by sellers at lower levels.
If bulls fail to break out of the 20-day EMA within the next three to four days, we anticipate bears to make another attempt to resume the downtrend. Conversely, if the XLM/USD pair climbs and sustains above the 20-day EMA, it will suggest that the latest breakdown was a bear trap. With both moving averages sloping down and the RSI in negative territory, the advantage is still with the bears, hence, we suggest traders remain on the sidelines.
The 25 largest crypto markets comprise roughly 94.40% of the capitalization of the combined market cap.
With Bitcoin regaining market dominance of over two-thirds of the entire combined cryptocurrency capitalization, discussions regarding market share of prominent altcoins have largely left the dominant cryptocurrency discourse. Here is a different outlook on the market and on how the top cryptocurrencies stack up with the rest.
Market dominance flows from alts to BTC since 2018
Market dominance between the top cryptocurrencies by market capitalization has changed over the last year. As of Aug. 19, 2018, as seen in the chart below, the three largest coins comprised 71.95% of the combined cryptocurrency market — an 8% difference to the figures seen now. Meanwhile, the top 15 cryptocurrencies of 2019 are still seeing more dominance than the top 20 of 2018, which represented 90.53%, and the top 25, which came to 91.53%.
One year ago, the 18 largest markets, comprising 1% of the 1,770 cryptocurrencies that were then-listed on CoinMarketCap, represented 89.85% of existing cryptocurrency wealth, while the remaining 99% comprised 10.15% — an 80% greater share than the 5.60% represented by 99% of the digital currency markets today. Compared with 12 months ago, the crypto markets show a redistribution of market dominance from altcoins back to Bitcoin (BTC), with the four largest altcoins among crypto assets posting the largest decline in market dominance.
Currently, the four largest altcoins comprise 15.7% of the combined crypto market cap, a 42% drop from the 27.07% represented by the top four altcoins in August 2018. Additionally, the market share represented by the fifth- to the 14th-largest alternative cryptocurrencies has slipped from 9.85% of the total crypto value to 8.03%, while the 15th- to 24th-largest altcoins has fallen from 2.97% to 2.26%
BTC, ETH and XRP comprise 80% of combined crypto market cap
Bitcoin currently boasts a capitalization of roughly $179.55 billion, comprising 68.41% of the combined crypto capitalization of $262.45 billion. BTC’s market cap is up by 60% from $112,03 billion 12 months ago, with market dominance gaining by roughly one-third from 51.64%.
Roughly $21 billion worth of BTC changed hands during the previous 24 hours, comprising 33.02% of the combined cryptocurrency trade volume and ranking it as the second most traded crypto asset.
Ether (ETH) is the second-largest market by capitalization, currently representing 7.55% of the combined crypto market cap with $19.80 billion. Ethereum’s market cap has fallen by 35% from $30.51 billion alongside a 46% drop in market dominance from 14.07%. During the last 24 hours, $7.88 billion worth of ETH was traded, ranking it as the third most traded cryptocurrency at 12.12% of all trades.
The third-largest market by capitalization, XRP, comprises 4.26% of the total combined capitalization, with a market cap of $11.18 billion. Year-over-year, XRP has posted a 17% drop in capitalization from $13.54 billion, and a 32% loss in market dominance from 6.24%.
Approximately $1.11 billion worth of XRP changed hands during the past 24 hours, representing 1.72% of all cryptocurrency trades and ranking XRP as the seventh most traded crypto asset. XRP is currently trading for roughly $0.26.
The five largest altcoins represent 17% of total crypto value
Bitcoin Cash (BCH) is the fourth-largest crypto asset by capitalization, comprising 2.10% of the combined crypto market cap with $5.25 billion. In one year, BCH has shed 44% of its capitalization from $9,86 billion, while also posting a 54% drop in market dominance from 4.54%. In the last 24 hours, $1.81 billion worth of BCH changed hands, representing 2.74% of all trades and ranking it as the fifth most traded cryptocurrency.
Litecoin (LTC) is currently ranked fifth by capitalization with $4.70 billion, comprising 1.62% of the total market cap of all cryptocurrencies. LTC’s market cap has increased by 40% from $3.36 billion over 12 months, alongside a roughly 4.50% increase in market share from 1.44%. Litecoin is the fourth most traded crypto asset, with a 24-hour trade volume of $3.18 billion, and with LTC pairings representing 4.92% of all cryptocurrency trades.
Binance Coin (BNB) has a market cap of $4.25 billion, representing 1.62% of the total value of all cryptocurrencies and ranking it as the sixth-largest crypto asset. Among the top-15 crypto assets of by market cap, BNB is the strongest-gaining market of the past 12 months, ascending 11 rankings amid a 338% increase in capitalization from $970 million and a 260% gain in dominance from 0.45%. BNB is the 13th most traded market, with $294 million worth of Binance Coin changing hands during the past 24 hours, representing 0.45% of all crypto trades.
BTC-USDT pairings account for 67% of all crypto trades
Tether (USDT) currently represents 1.55% of the combined cryptocurrency market cap, with a capitalization of $4.07 billion. Tether has gained one rank — from eighth to seventh — in the last 12 months, due to a 49% increase in market cap from $2.73 billion and a 24% increase in dominance from 1.25%. USDT is the most traded crypto asset, with a 24-hour volume of $21.6 billion. As such, USDT pairings represent 33.71% of cryptocurrency trades.
EOS is the eighth-largest cryptocurrency, representing 1.25% of the combined crypto market cap with a capitalization of roughly $3.29 billion. In 12 months, EOS has slipped three places from the fifth-ranked crypto asset amid a 31% drop in market cap from $4.81 billion alongside a 44% fall in dominance from 2.22%.
Bitcoin SV (BSV) is the ninth-largest crypto asset with a market cap of $2.41 billion, comprising 0.92% of all cryptocurrency value. BSV is the 12th most traded cryptocurrency, representing 0.51% of all trades and with $330 million worth of BSV changing hands during the last 24 hours.
Monero (XMR) currently ranks 10th by market cap, with a capitalization of $1.37 billion, comprising 0.52% of the combined cryptocurrency market cap. XMR has retained its ranking from 2018 despite a 15% drop in capitalization from $1.61 billion and a 30% drop in market dominance.
Some altcoins have lost market share since 2018
Stellar’s Lumen (XLM) is the 11th-ranked crypto asset by market cap, representing 0.51% of cryptocurrency value with a capitalization of roughly $1.35 billion. In one year, XLM has fallen five places from sixth amid a 68% drop in market cap from $4,18 billion and a 73% loss of market share from 1.92%.
Utility token Unus Sed Leo (LEO) comprises the 12th-largest crypto asset with a capitalization of roughly $1.21 billion. It was just launched in May 2019, equating to 0.46% of the combined cryptocurrency market cap.
Cardano’s ADA currently posts a market cap of $1.18 billion, representing 0.45% of the combined cryptocurrency capitalization and ranking ADA as the 13th-largest digital asset. In 12 months, ADA has fallen four places from the ninth-largest crypto asset alongside a 56% drop in market cap from $2.66 billion and a 63% drop in dominance from 1.22%.
Tron’s TRX is the 14th-largest market, representing 0.43% of the combined cryptocurrency capitalization with a market cap of $1.13 billion. TRX has slid two places since ranking 12th one year ago amid a 23% drop in capitalization from $1.46 billion. TRX has also posted a 36% drop in market share from 0.67%. TRX is the 10th most traded crypto asset, with TRX pairings equalling $481.63 million in 24-hour trade volume.
Dash (DASH) comprises the 15th-largest crypto asset, representing 0.32% of the total crypto capitalization with a market cap of nearly $842.36 million. In 12 months, Dash has slipped one position, while posting a 34% drop from 1.28 billion and a 46% reduction in market dominance from 0.59%. Dash pairings equate 0.26% of all cryptocurrency trades, with a 24-hour trade volume of roughly $170.28 million.
BNB and LINK post strongest 12-month performance among top cryptos
Chainlink (LINK) is the 16th-largest crypto asset with a capitalization of $809.02 million, representing 0.31% of the combined cryptocurrency market cap. Of the top 25 cryptocurrencies by capitalization, Chainlink has posted the strongest performance since August 2018, gaining roughly 665% in market cap from $105.79 million alongside a 532% gain in dominance from nearly 0.05%.
The 17th-ranked cryptocurrency by market cap, Tezos (XTZ), represents 0.30% of cryptocurrency value with a capitalization of $780.90 million. Tezos has gained one rank in 12 months despite a 6% loss in market cap from $833.02 million and a 21% reduction in dominance from 0.38%.
Neo (NEO) has a market dominance of 0.26%, ranking as the 18th-largest cryptocurrency with a capitalization of approximately $682.52 million. In one year, Neo has fallen three ranks from 15th to post a 46% drop in market cap from $1.27 billion and a 55% reduction in dominance from 0.58%. NEO is the 14th most-traded crypto asset, with Neo’s 24-hour trade volume of $294.80 million accounting for 0.44% of all cryptocurrency trades.
Iota’s MIOTA is the 19th-largest cryptocurrency, representing 0.25% of the combined crypto capitalization with a market cap of nearly $663,83 million. Since August 2018, MIOTA has fallen eight positions from the 11th-largest crypto asset amid a 56% slide in capitalization from $1.50 billion and a 64% drop in dominance from 0.69%. MIOTA is the 77th most traded cryptocurrency, with Iota’s 24-hour trade volume of $6.13 million.
Ethereum Classic (ETC) is the 20th-ranked crypto asset by market cap with a capitalization of $622.12 million, comprising 0.24% of the total value of the combined cryptocurrency markets. ETC has fallen seven positions from 13th alongside a 55% drop in capitalization from $1.39 billion and a 62.5% reduction in market share from 0.64%. ETC pairings represent 0.75% of all cryptocurrency trades, with ETC ranking as the ninth most traded digital asset with a 24-hour trade volume of $479.51 million.
The cryptocurrencies that are ranked 20-25 in the list (ATOM, XEM, MKR, USDC and CRO) represent 0.9% of the total cryptocurrency market value with a capitalization of just over $2,339 million. Their 24-hour trade volumes come to around $320 million.
Over 2,425 crypto markets represent less than 6% of total cap
Of the 2,450 cryptocurrencies currently listed on CoinMarketCap, the 25 largest cryptocurrencies, comprising 1% of the total number of crypto assets, represent 94.40% of the combined value manifest in the total combined digital currency markets. As such, the remaining 99% of all crypto assets comprise just 5.60% of the total value currently manifested in the cryptocurrency markets.
One year ago, 99% of altcoins comprised over 10% of the entire crypto capitalization, signalling that many alternative cryptocurrencies have struggled to regain strength following the 2018 bear market. Further, the 10 largest altcoins have given approximately one-third of their market share back to BTC, dropping from 34% of the combined crypto capitalization to roughly 22% today.
Is the fall in Bitcoin over and should investors buy now, or will it plunge below $9,000? Let’s analyze the charts.
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.
The global amount of debt with negative yields ballooned up to $15 trillion, according to Deutsche Bank. Though yields in the United States are still in the green, President Donald Trump has been pressing the Fed to cut rates aggressively. If the US also joins the negative yield bandwagon, cryptocurrencies are likely to surge.
Coinbase CEO Brian Armstrong said that institutional investors are taking a great interest in cryptocurrencies. According to him, $200–$400 million in crypto deposits are made every week. This is only a very small portion of the institutional money, but if global geopolitical issues and currency wars escalate, we expect a greater inflow down the line.
Fundstrat Global Advisors’ Tom Lee believes that Bitcoin (BTC) “is just resting,” and potentially could make a dash toward new highs by the end of 2019. Bitcoin’s uncorrelated nature to equities and bonds nature makes it an attractive bet for anyone who wants to hedge their portfolio. So, should traders buy the current dip or will prices fall further? Let’s analyze the charts.
Bitcoin (BTC) bounced back from $9,517.57 on Aug. 15, which is a positive sign. It shows that bulls are keen to buy on dips closer to strong support. While aggressive bulls might have purchased the first dip, it would be interesting to see whether the rebound withstands or fizzles out.
If the BTC/USD pair does not scale above both moving averages within the next couple of days, we might see another dip to $9,080. Repeated dips to a support level weaken it. If this level cracks, the next level to watch on the downside is $7,451.63. Such a move will dampen sentiment and might delay the next leg of the upward movement.
However, if the next dip to $9,080 will be aggressively bought, we might suggest long positions once again because it will offer a low-risk buying opportunity. The first target on the upside is $12,000, above which a retest of the yearly high is likely to happen, but if bulls fail to scale above $12,000, the cryptocurrency might remain range-bound for a few days. Both moving averages are flat and RSI is just below 50, which suggests a balance between buyers and sellers. Hence, we are currently neutral on the pair.
Ether (ETH) broke below the critical support of $192.945 on Aug. 14. This is a bearish sign because it opens the door for a fall to the next support at $164. Both moving averages have turned down, and RSI is close to oversold levels, which suggests that bears are in command.
Currently, bulls are attempting to propel the ETH/USD pair back above $192.945. An attempt to recover will face resistance at 20-day EMA and later at 50-day SMA. If both of these resistances are crossed, the pair can move up to $320.84. We will watch the price action for the next few days and recommend a long position if we find that buyers are back in action.
XRP plummeted below the critical support of $0.27795 on Aug. 14 and fell to a new yearly low of $0.225 on Aug. 15, which is a bearish sign. This shows that bulls anticipate even lower levels in the future, hence, they are not buying aggressively.
Both moving averages are trending down, and RSI is in oversold territory, which shows that bears are firmly in command. However, after breaking down a major level, we usually see a pullback rally. If bulls can quickly push the price back above $0.27795, it will indicate that the current breakdown was a bear trap and it might offer a buying opportunity. Nonetheless, if the XRP/USD pair turns down from $0.27795, it is likely to resume its downward movement toward its target objective of $0.19.
The failure to break out of $345.8 on Aug. 14 attracted sellers, and Bitcoin Cash (BCH) fell to the neckline of the head and shoulders (H&S) pattern, triggering out suggested stop loss. Though bulls defended the neckline, failure to push the price above 20-day EMA might attract another round of selling. The next drop to the neckline is likely to break it.
If the BCH/USD pair breaks down and closes (UTC time) below the neckline, it will complete the H&S pattern. Though the target objective of this bearish pattern is much lower, we expect some buying close to $166.98. Contrary to our assumption, if the pair breaks out of $360, it is likely to move up to $428.54 and above it — to $500. We would wait for the cryptocurrency to sustain itself above $360 before recommending the long positions again.
Litecoin (LTC) broke below the critical support of $76.7143 on Aug. 14. Though it held 61.8% Fibonacci retracement level of the rally, bulls have not been able to push it back above $76.7143, which is a bearish sign.
Both moving averages are trending down, and RSI is close to oversold territory, which shows that the path of least resistance is to the downside. On a drop below $69.9227, the LTC/USD pair can slide to $58.
Our bearish view will be negated if the pair reverses direction from current levels and breaks out of 20-day EMA. That will be the first sign that levels have become attractive for buyers again.
Binance Coin (BNB) has entered into a consolidation in an uptrend. Though it is below both moving averages, the bears could not break it below the minor support of $26.202, which is a positive sign. This shows that investors are not dumping their positions yet.
However, if the BNB/USD pair breaks down of $26.202, it can dip to $24.1709, which is a strong support. If this support gives way, some traders might dump their positions. The next support on the downside is at $18.3.
On the other hand, if the pair bounces off $26.202 or from $24.1709, it can rally to $32. We will turn positive if bulls propel the price above $32.5. We will wait for the uptrend to resume before recommending a long position in it.
EOS is consolidating in a downtrend. The bulls purchased the dip to the critical support of $3.3 on Aug. 15, which is a positive sign. However, unless the price quickly bounces above 20-day EMA, we anticipate bears to make another attempt to break below the support. The downsloping moving averages and RSI close to oversold zone show that bears are in the driver’s seat. If the support at $3.3 cracks, the downtrend can extend to $2.2.
Contrary to our assumption, if bulls defend the support at $3.3, the EOS/USD pair might move up to 20-day EMA and above it to the top of the range at $4.8719. We will turn positive if the price breaks out and sustains above $4.8719 as it will indicate the start of a new uptrend. Until then, we remain neutral on the cryptocurrency.
Bitcoin SV (BSV) broke below the support of $136.89 on Aug. 14, but bears have not been able to sink the price to $107 as we had anticipated. The bulls purchased the dip to $123.67 and are attempting to push the price above $136.89.
If successful, the BSV/USD pair might remain range-bound between $136.89 and $160.35 for the next few days. A breakout of $160.35 can carry the price to $188.69. On the other hand, if the price turns down either from $136.89 or from 20-day EMA, it can slide to the critical support of $107. We suggest traders wait for the trend to turn bullish before buying.
Monero (XMR) broke below the ascending channel and plunged close to the next support of $72 on Aug. 15, thus triggering our recommended stop loss of $77. The previous support line of the channel is now likely to act as a resistance.
If bulls fail to re-enter the channel within the next couple of days, the XMR/USD pair will again decline to $72. If this support breaks, the next level to watch on the downside is $60. Both moving averages have started to slope down and RSI has also dipped into the negative zone, which suggests that bears have the upper hand.
Conversely, if support at $83 holds, the pair might remain range-bound for the next few days. On the upside, a breakout of the moving averages can carry the price to $98.2939. We will wait for a new buy setup to form before proposing a long position in it once again.
Stellar (XLM) has broken down from the critical support at $0.072545. Both moving averages are sloping down and RSI is in the oversold zone, which shows that bears are in command.
If the price sustains below $0.072545, the digital currency will start a new downtrend that can extend the slide to $0.05.
Our bearish view will be invalidated if the XLM/USD pair quickly turns around and climbs above $0.072545, which will indicate buying at lower levels. In a downtrend, though the price might look attractive, it is difficult to predict where the bottom will form. Usually, downtrends don’t end without panic selling. Therefore, we suggest traders wait for the decline to end before turning positive.
A cybersecurity firm has discovered a new strain of Monero mining malware, which contains code that hides the miner from Task Manager.
Cybersecurity company Varonis has discovered a new cryptojacking virus, dubbed “Norman,” that aims to mine the cryptocurrency Monero (XMR) and evade detection.
Varonis published a report about Norman on Aug.14. According to the report, Varonis found Norman as one of many cryptojacking viruses deployed in an attack that infected machines at a mid-size company.
Hackers and cybercriminals deploy cryptojacking hardware to use the computing power of unsuspecting users’ machines to mine cryptocurrencies like the privacy oriented coin Monero.
Norman in particular is a crypto miner based on XMRig, which is described in the report as a high-performance miner for Monero cryptocurrency. One of the key features of Norman is that it will close the crypto mining process in response to a user opening up Task Manager. Then, after Task Manager closes, Norman uses a process to relaunch the miner.
The researchers at Varonis concluded that Norman is based on the PHP programming language and is obfuscated by Zend Guard. The researchers also conjectured that Norman comes from a French-speaking country, due to the presence of French variables and functions within the virus’ code.
Additionally, there are French comments within the self-extracting archive (SFX) file. This indicates, according to the report, that Norman’s creator used a French version of WinRAR to create the SFX file.
Another cybersecurity company uncovered an unsettling update to a strain of XMR mining malware last week. Carbon Black discovered that a type of malware called Smominru is now stealing user data alongside its mining operations. The firm believes that the stolen data may be sold by hackers on the dark web. In its report, Carbon Black wrote:
“This discovery indicates a bigger trend of commodity malware evolving to mask a darker purpose and will force a change in the way cybersecurity professionals classify, investigate and protect themselves from threats.”
Bitcoin has broken down of a tight range. Will it weaken sentiment and drag a few major altcoins to new yearly lows? Let’s analyze the charts.
The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.
Nicholas Colas, co-founder of DataTrek Research, believes that the performance of Bitcoin in the past few days shows that it is working like a geopolitical turmoil indicator. He points out that Bitcoin predicted Hong Kong protests and some capital flight out of Hong Kong and China.
Both in Argentina and Hong Kong, investors paid a premium for Bitcoin to protect their capital during periods of crisis, but as trade war tensions between the United States and China abated, Bitcoin prices cooled off. However, Murad Mahmudov, chief information officer at cryptocurrency hedge fund Adaptive Capital, believes that investors should think big. He expects Bitcoin to hit $100,000 in the future.
Bitcoin did not react to the SEC’s decision of postponing its ruling on three Bitcoin exchange-traded fund proposals, which shows that crypto markets have matured. Is the current weakness in the crypto space a buying opportunity? Let’s find out.
Bitcoin (BTC) has dipped back below the downtrend line and the moving averages. This has triggered our recommended stop loss on the long position. The failure of bulls to build up on the gains following a breakout of the downtrend line is a bearish sign as it shows profit booking at higher levels. With no major support in sight, a drop to the critical support of $9,080 looks likely.
The support at $9,080 has held twice earlier, hence, we anticipate bulls to defend it once again. A bounce from the support will face resistance at the downtrend line and the moving averages. We expect the BTC/USD pair to pick up momentum above $12,000.
On the other hand, if the pair breaks down of $9,080, it will become weak and can drop to $7,451.63. Considering the weakness in the short term, we suggest traders wait before buying again.
Ether (ETH) turned down from the uptrend line on Aug. 12, which is a bearish sign. The failure of bulls to push the price above the uptrend line and the 20-day EMA shows a lack of buyers at higher levels.
The bears will now try to sink the ETH/USD pair below the critical support of $192.945. If this support breaks down, the next stop is at $164, but if that support also gives way, the decline can extend to $150. Both moving averages are trending down and the RSI has dipped into the negative zone, which shows that bears have the upper hand.
Our bearish view will be negated if the pair bounces sharply from $192.945. A breakout of the 20-day EMA will increase the probability of a range bound action with resistance at $235.70. We will wait for the price to break out and sustain above $235.70 before recommending a trade in it.
XRP is again correcting toward the critical support of $0.27795. Repeated retests of a support level weaken it. Both moving averages are sloping down and the RSI is in negative territory, which shows that bears are in command. If $0.27795 cracks and the price sustains below it for three days, it will signal the start of a new downtrend. The next support to watch on the downside is $0.19.
Our assumption will be invalidated if the XRP/USD pair bounces sharply from $0.27795 and rises above the 20-day EMA. If the price sustains above the 20-day EMA, it will attempt to move up to the 50-day SMA. A breakout of $0.34229 will increase the probability of a move to $0.45. We suggest traders wait for the digital currency to show signs of a revival before attempting to buy it. Until then, it is best to remain on the sidelines.
Bitcoin Cash (BCH) broke above the overhead resistance of $345.80, but it turned down from the 50-day SMA. A failure to scale the 50-day SMA has attracted selling that has dragged the price back below the 20-day EMA. The next drop towards $300 is likely to break it and challenge the neckline of the head and shoulders pattern.
Conversely, if the BCH/USD pair bounces off current levels and breaks above the 50-day SMA, it can move up to $428.54. Above this level, the rally can extend to $500. Therefore, we suggest traders keep the stop loss on the long position at $300. We will raise this in the next analysis because the 20-day EMA is flat and the RSI is just below 50, which suggests a balance between buyers and sellers. Let’s reduce the risk when sentiment across the asset class is not very positive.
Litecoin (LTC) has plummeted below the immediate support of $83.65 and is now threatening to break below the support at $76.7143. Both moving averages are sloping down and the RSI is in negative territory, which shows that bears are firmly in the driver’s seat.
If the decline does not stop at $76.7143, the next support is at $69.9227, which is the 61.8% Fibonacci retracement of the rally. Below this, we expect a drop to $58. If $76.7143 holds, the LTC/USD pair might remain range-bound for a few days. We suggest traders remain on the sidelines until a new reliable buy setup forms.
Binance Coin (BNB) has broken down of the 20-day EMA, which is a bearish sign. There is a minor support at the trendline, below which a drop to $24.1709 is possible. The flattish moving averages and the RSI just below 50 indicate a consolidation in the short term.
The support is at $24.1709 and resistance is at $32.50. A consolidation in this range would be a positive sign. If the BNB/USD pair stays in a range for a long time and then breaks out of it, the probability of a new high increases. On the contrary, if the pair breaks down of the range, it can slip to $18.30. As the sentiment has turned bearish, we have withdrawn the buy recommended in an earlier analysis.
After being stuck between the 20-day EMA and $3.8723 for the past few days, EOS has now broken down of the support. This shows a lack of demand even at these levels, which is a bearish sign. The downtrending moving averages and the RSI in the negative zone suggest that bears have the advantage.
If the price does not bounce above the 20-day EMA soon, the next support at $3.30 might also break down. Conversely, if bulls defend $3.30 and push the price above the 20-day EMA, the EOS/USD pair can rise to $4.8719. A breakout of this level can start a recovery that can carry the price to $6. Hence, we might suggest a long position if the price sustains above $4.8719. Until then, we remain neutral on the pair.
Bitcoin SV (BSV) has been trading between $160.35 and $136.89 since July 28. A breakout of this tight range can carry the price to $188.69, above which the digital currency is likely to pick up momentum.
On the other hand, if the BSV/USD pair breaks below $136.89, it can drop to $107. This is an important level to watch because if this breaks down, the next support is at $85.338. The 20-day EMA is flattening out and the RSI is just below 50, which points to a consolidation in the near term. We will wait for a new reliable buy setup to form before suggesting a trade in it.
Monero (XMR) has broken down of the moving averages and the support line of the ascending channel. This is a negative sign. Both moving averages have started to turn down and the RSI has dipped below 50, which shows that bears have a slight advantage in the short term.
A breakdown of the channel can drag the price to $77 and below it to $72. Therefore, traders can keep the stop loss on the long position at $77. We are not recommending a closer stop loss, because sometimes the price falls only to collect all the existing stops before turning back up.
If bulls can force a turnaround from current levels and propel the price above the moving averages, the XMR/USD pair will make another attempt to break above the overhead resistance of $98.2939. Above this level, we expect the recovery to pick up momentum.
The bulls are trying to keep Stellar (XLM) inside the range while bears are attempting to start a new downtrend. The downtrending moving averages and RSI in negative territory show that the bears have the upper hand. They will now try to sink the price to new yearly lows. If successful, the fall can extend to $0.05.
Our negative view will be invalidated if bulls defend the yearly low and propel the price back above the 20-day EMA. That will be the first indication of a trend change. If the XLM/USD pair sustains above the 50-day SMA, it will increase the probability of a rise to $0.145. That will offer an attractive risk-to-reward ratio. Hence, we might suggest a long position on a breakout of the 50-day SMA.