Pro 09

Bitcoin Price Analysis: BTC Bounces But Bears Still in Control

Bitcoin price just pulled off a nice 10% bounce with the next level of resistance at $3,700. Let’s take a look at what can happen next?


Bitcoin Price: Market Overview

Bitcoin price 00 dropped to a new yearly low at $3,210 and the overall market cap now rests at $110.6 Billion. Clearly, bears are still running the show for BTC and the SEC’s  final postponement of a Bitcoin exchange-traded fund decision didn’t seem to help.

Crypto-fanatics will now need to wait until January 24th for the launch of Bakkt and February 26th for a final approval or denial of a Bitcoin ETF from the SEC. If the cryptocurrency markets’ trend reversal is dependent upon either of these events then we’ve got a long way to drop waiting on the unpredictable outcomes of each of these events.

4-HR Chart

Bitcoin 00 broke below the $3,550 and $3,400 supports and the cryptocurrency will likely mean that $3,700 will post a stiff resistance to overcome. However, at press time, BTC price has managed to break above the $3,600 mark and now looks poised to test $3,700.

The bounce from $3,210 to $3,615 was pleasant and seems to have caused shorts to cover, but bulls couldn’t muster enough follow through to maintain the move and BTC’s failure to cross above any of the overhead exponential moving averages show bears are still running the show.

This is also backed up by the extremely high number of shorts on BTC/USD and the fact that they snapped right back into place after yesterday’s bounce.

BTC Shorts

After taking a glance at the daily and weekly RSI, Stoch, and MACD there’s not much positive to say about BTC short-term future. Perhaps the silver lining of all this will be that the bears are uber-confident right now and an all-time high amount of shorts can be forced to cover (like yesterday) when Bitcoin pulls off a 10% bounce.

In the past, Bitcoin has shown a propensity for weighty 20%+ rallies. A strong upside move would force shorts to cover and provide rapid gains for those trading BTC at the current range.

Daily RSI / Stoch / MACD

Weekly RSI / Stoch / MACD

Monthly Chart

Now for a dose of reality. If bears don’t let up, BTC can drop to 3,000, $2,545, and $1,400.

Safe trading friends and please remember to always use a stop loss. More cautious traders might want to wait until Q2 and Q3 of 2019 in hopes of a trend reversal.

[Disclaimer: The views expressed in this article are not intended as investment advice. Market data is provided by Bitfinex. The charts for analysis are provided by TradingView.]

Where do you think Bitcoin will go over the short-term? Share your thoughts in the comments below!


Images courtesy of Shutterstock, Trading View. Market data sourced from Coinbase.

Share
Pro 04

Binance to Launch Binancechain For ‘Millions of Coins,’ CEO Confirms

The world’s largest cryptocurrency exchange by means of traded volumes will be launching its own public blockchain in “a couple of months or so,” according to its CEO, Changpeng Zhao. 


‘There Will be Millions of Coins and Thousands of Blockchains’

Speaking at the stage of Forbes Asia Forum: Decrypting Blockchain, the CEO of the Binance Changpeng Zhao (CZ) revealed that the company’s public blockchain dubbed Binance Chain will be released very soon – within the next “couple of months or so.”

Covering CZ’s talk at the event was Forbes’ staff reporter, Michael del Castillo, who quoted the CEO saying:

We are launching Binancechain very soon, in a couple of months or so, and you will be able to issue tokens on that… I think there will be millions of coins and thousands of blockchains.

Naturally, CZ’s words immediately provoked a wave of users questioning the need of so many cryptocurrencies and blockchains. It’s will also be interesting to see how Binance will handle and vet the “millions of coins” given CZ’s previous statements. In August, Zhao stated:

We don’t list shitcoins even if they pay 400 or 4,000 BTC. [Ethereum, NEO, Ripple, EOS, Monero and Litecoin and more] listed with no fee. Question is not ‘how much does Binance charge to list?’ but ‘is my coin good enough?’ It’s not the fee, it’s your project! Focus on your own project!

Binance Tatoo Shows ‘Commitment’

CZ also refused to provide any predictions on the price of Bitcoin 00 under the pretense that his words will be taken as manipulation. He said:

I try not to predict the future bitcoin price because anything I say will be seen as manipulation. So I lost that part of free speech.

Meanwhile, Zhao revealed getting a tattoo of the Binance logo on his forearm as a sign of absolute commitment.

In a Medium post explaining the idea behind the logo and CZ’s decision to get the tattoo, he also shared his thoughts on listing coins on Binance and how founders’ dedication is one of the things they are looking for in order to have a coin listed.

Apparently, permanently marking one’s body and infusing it with ink with the Binance logo should inspire confidence that the CEO is committed and in it for the long haul.

What do you think of Binance chain? Don’t hesitate to let us know in the comments below!


Images courtesy of Shutterstock, Medium.com

Share
Pro 01

WePower (WPR) – Why It’s Poised to Outmuscle Bitcoin in December

WePower (WPR) is in the spotlight this week for bridging green energy and blockchain technology. WPR looks like a solid contender to outperform Bitcoin returns in December.


Niche Cryptocurrencies

Every week provides new opportunities to find undervalued cryptocurrencies. These cryptocurrencies can produce returns far in excess of BTC. As BTC looks to recover from recent slumps many altcoins should trend with it. This week is no different as WePower (WPR) stands out for numerous reasons.

Cryptocurrencies that solve an issue plaguing society by integrating the blockchain are the most successful. BTC 00 has been the dominant digital currency but many others have emerged that do specific things. These ‘niche’ cryptocurrencies have a tendency to provide the highest returns.

Here’s a look at what is expected of the top three digital currencies for the remainder of 2018, to help you make an informed trading decision.

Think Ethereum (ETH) going back a few years. ETH 00 was one of the original ICO platforms, which filled the niche of launching blockchain cryptocurrencies and projects. The presale ICO price was $0.30. That means every $30 ETH goes up from $0.30, the presale purchasers make 100x. At a price of $300, the ICO purchasers made 1000x. For every dollar invested they made $1000. Returns like this should not be anticipated. However, returns far in excess of BTC’s are more simple to attain if focusing on niche markets.

Previously cryptocurrencies like GoChain were highlighted and subsequently returned in excess of 200%. Many other niche cryptocurrencies were highlighted in the weeks prior and will be analyzed in weeks to come.

One thing became increasingly clear, niche cryptocurrencies, on large exchanges, with depressed market caps have a tendency to pump strongly against BTC.

This points to one specific cryptocurrency this week: WePower (WPR).

What is WePower?

 What is WePower? WePower (WPR) 00 is a blockchain based green energy trading platform. WPR fuels renewable energy production by enabling developers to raise capital by selling their production up front in the form of tradeable Smart Energy Contracts.

WPR is one of the few cryptocurrencies that enables corporate energy buyers to contract energy directly from green energy producers at below-market rates. What is most impressive is their next generation trading platform. Eventually, this platform will allow P2P (person to person) instead of just B2B (business to business) transactions.

To access the WePower platform, the native token WPR must be used. WePower created a niche market for the transmission of green energy and to interact with the platform the WPR token must be used. This creates actual utility for the WPR token. WePower has the platform, the utility, the niche, a market, and the necessity the world faces to counteract raising global temperatures.

Many complain that blockchain technologies are destroying our environment. Recent estimates predict more than 1% of global electricity is going toward ‘mining’ digital currencies. However, WPR is the blockchain niche that is different. They are facilitating the trading of green energy in a transparent manner.

Quarter 3 & Quarter 4

Quarter three saw WPR conduct a countrywide energy tokenization test across Estonia, successfully. The WePower platform also underwent significant testing in July and can now be interacted with online.

Quarter four is more exciting with WePower becoming operational in Spain, Estonia and Australia resulting in WPR soaring to above 700 Satoshis. BTC almost immediately fell and WPR corrected with it. The most important quarter four event and news is yet to come, which is specifically why WPR is in the spotlight this week.

WPR plans to distribute donated green energy amongst their token holders in December. For those interested in WPR the timing to accumulate would be prior to this event as it comes with ‘free’ green energy. WePower wants to demonstrate their platforms functionality and utility.

What better way is there than donating energy to token holders to demonstrate the actual utility of the WPR?

WePower’s team is composed of over 60 individuals and they are currently concentrating their business in Australia. Even as this bear market has stifled progress in the space, making financing increasingly difficult to come by, WPR has been hiring and building. Out of thousands of cryptocurrencies that let their projects become obsolete in prior months, WPR has done the opposite.

In the last two months, WPR has added a Chief Information Security Officer, Michael John, the former Director of Operations at the European Network for Cyber Security. The engineering team in Tallinn added Head of Products along with engineers from the top energy projects in Europe. Beyond engineers and security officers, WPR also added data scientists and advisors to guarantee they are prepared with their platform.

While most projects have remained stagnant through this bear market WPR has positioned themselves for success in December and quarter one of 2019. With WPR peaking above 700 Satoshis following operations beginning in Spain, Estonia and Australia this number should be well within reach as the date of energy distribution approaches.

WPR is one of the niche cryptocurrencies that if they can continue to meet their roadmap deadlines should see their minuscule market cap trend upward. With a target of 700 Satoshis by the end of December WPR could be in line for over a 50% climb in the short term.

Conclusion – WePower the Future 

When all the attention is focused on one aspect of cryptocurrency, divert yours to another. This week Floyd Mayweather and DJ Khaled made headlines for their promotion of ICOs. Individuals fascinated with cryptocurrencies have been puzzled with BTC’s retraction to under $4,000. This is the ‘news’ that is meant to distract.

The next few months have major events including almost every major U.S. exchange getting involved in the trading of Bitcoin and cryptocurrencies. Now is the time to DYOR (do your own research) and find the needle in a haystack cryptocurrency.

The needle in a haystack found this week was WPR. One of the few cryptocurrencies poised for success with a functioning platform, impressive team, continuous expansion, and an actual niche market.

There are plenty of sh*tcoins and scams in crypto. Instead of spreading animosity in the space it is better to focus on strong products with teams that represent leadership in the blockchain industry.

WPR demonstrates leadership in both blockchain and green energy.

To read the Crypto King’s prior articles or to get in contact directly with him, you can on Twitter (@JbtheCryptoKing) or Reddit. The King is the founder of ANON and actively trades cryptocurrencies.

[Disclaimer: This views expressed in this article do not reflect the views of Bitcoinist and should not be taken as financial advice.]


Images courtesy of Shutterstock, Bitcoinist archives

Share
Lis 24

Cryptocurrency Winter Special: Two to HODL and One to FODL

This week provides another opportunity for a cryptocurrency HODL vs. FODL analysis. With Black Friday having just passed this is the perfect opportunity to do some shopping.


Cryptocurrency Winter is Here

BTC 00 having fallen more than 30% in the prior week has brought many cryptocurrencies lower with it. However, with a lower BTC comes cheaper cryptocurrencies. This week two cryptocurrencies are highlighted as HODLs: DOCK and VET. With DOCK likely to have the most significant gains of those on this list in the short term. Unfortunately, Bitcoin Gold is highlighted as the FODL of the week.

As the cryptocurrency market progresses through 2018 it is important to distinguish which cryptocurrencies are HODLs (acquisition targets) vs FODLs (possible sells).

The prior months have seen niche market cryptocurrencies trading on major exchanges highlighted. This week 2 HODLS are highlighted: a small cap cryptocurrency and larger cap both in their own respective niche market.

DOCK is one of the smallest market cap cryptocurrencies on Binance providing platform users with ownership of their data. VET is a Top 20 Cryptocurrency by market cap, which specializes in supply chain management.

Both of these coins represent the HODLs of the week. DOCK with a market cap a fraction of VET is likely to post higher returns than VET. VET is the ‘safer’ play while DOCK is more ‘high risk, high reward.’

Bitcoin Gold represents the FODL of the week. BTG is a hardfork of Bitcoin, which allows GPU miners to ‘mine’ the BTG fork instead of the ASICs that are used to mine BTC. GPU mining capability is the predominant benefit of BTG, though that is not enough to keep it relevant in the crypto space.

When analyzing cryptocurrencies, it is important to determine if they are acquisition targets (HODL) or if they are relatively irrelevant in the space (FODL).

DOCK would be the cryptocurrency for those wanting a higher risk, very high reward potential coin. VET is a much lower risk given its substantial list of partnerships but is likely to return a lower percentage based on its market cap. BTG seems to be fading into irrelevancy as their sole purpose is GPU mining of a Bitcoin fork.

DOCK

DOCK 00 has landed on the HODL radar for a plethora of reasons. With a $5.5 million market cap, DOCK has one of the lowest market caps on Binance. DOCK was added to Binance at the end of July during the height of the bear market. It is almost as if the public did not even notice.

When DOCK was added to Binance the price shot up to over $0.07. With the price currently hovering around $0.01 that is an 86% correction since July 30, 2018. Having corrected such an astronomical amount in just the last two months DOCK seems to be poised for a breakout.

What makes DOCK qualify as a niche coin among many cryptocurrencies is what their platform stands for. DOCK gives individuals ownership of their data, specifically rewarding them in DOCK. This allows the user to connect multiple social media accounts through one portal while securely storing your personal data in the cloud. The information you wish to share from the cloud will be rewarded based on what it is.

Currently, we provide free internet data to many corporations by just browsing. Why not be paid for that same data?

The benefits of the DOCK platform are not just for the user. Yes, it is more simple to have all your social media accounts logged in via one platform. Yes, it saves time to be able to pick and choose which aspect of your data can be seen by the public wishing to pay for it. However, the benefits are far greater than one would imagine.

Advertisers can tailor adverts to their consumers without wasting money on uninterested demographics. Users will not be bombarded with adverts unrelated to their lives. Time and money are saved by all parties with platform users receiving the most benefits.

DOCK is an ERC-20 token that has found a way to pay users for the data they had previously shared anyways. It is essential to be able to protect your private information in the cloud, DOCK not only protects it, but it also allows you to profit from of it. If there was a high risk, high reward cryptocurrency to accumulate prior to the bull run, DOCK is one of the top contenders!

This week’s market correction has forced DOCK down another 30% positioning it perfectly for a rebound and this week’s top cryptocurrency.

VeChain (VET)

VeChain (VET) 00 is one of the larger cap cryptocurrencies that has solidified itself as a ‘niche’ specialist.

VET specializes in supply chain management and for the majority of 2018 had a market cap in excess of a billion. Unfortunately, VET has corrected with the rest of the cryptocurrency space and has fallen to the #20 spot on CMC with an impressive list of partnerships.

Partnerships and platforms result in long-term relevancy. VET has an impressive platform, and a more impressive list of partners: DNV (specializing in audits), PriceWaterhouseCoopers (Big 4 Accounting Firm), National Research Consulting (Fortune 1000 Company), Chinese Government (Gui’an New Economic Area), Republic of Cyprus, and BMW. VET has aligned with the largest manufacturers, governments, and companies to ensure the world can take advantage of blockchain supply management technology.

Even with a list of partners who dominate industry VET has continued to slide down the list of largest market cap cryptocurrencies. VET is #20 while BTG is #19. VET has a bigger community, better partnerships, and more niche platform than the majority of cryptocurrencies, especially in the Top 20. Of the cryptocurrencies that make up the Top 20, VET seems most poised for a break out when BTC price stabilizes.

A niche market, partnerships that would make Fortune 500 companies jealous, being on the cutting edge of technology, and a market that has just fallen 70+% all make VET a highly attractive cryptocurrency. Will the returns be as high as DOCK’s? It is unlikely. VET will likely remain a Top 20 Cryptocurrency for years to come while DOCK could fade into oblivion following a major bull run.

Bitcoin Gold (BTG)

It is never fun to discuss cryptocurrencies that one should FODL, but this week it is Bitcoin Gold (BTG).

BTG 00 exists because miners of the BTC network wanted to use GPUs instead of ASICs. BTC went through a hard fork (similar to what they experienced with Bitcoin Cash) resulting in BTG, allowing GPU mining.

However, the cryptocurrency space already has thousands of coins and the ability to mine a BTC knockoff using GPUs is not an important enough reason for BTG to exist.

Any person with GPU miners could mine the highest paying GPU coin, sell the underlying coin for BTC and voila! Problem solved.

The miner is, in essence, mining the real BTC by mining an altcoin and having the user sell it for BTC. There is no need to mine BTG directly instead of a higher paying altcoin and then selling the altcoin for actual BTC.

Recently people have been discussing how Bitcoin has no value because it is infinitely replicable. But this is not true.

Designer purses are also infinitely replicable but each purse that is not ‘genuine’ is fake, a replica, and their value is subsequently impacted. BTG is not BTC regardless of similarities. Mining BTG using GPUs provides the same benefit as mining any other cryptocurrency using GPUs. BTG has no real purpose and is another of BTC’s many unnecessary forks.

Twitter

With a market cap over $250 million, BTG makes up the #19 spot on CMC. This is surprising as it is one spot ahead of VET. BTG has no long-term viability and minimal partnerships when compared to VET.

Solutions exist to mine using GPUs and earn returns in BTC too. There is no reason BTG needs to be that ‘solution’ leading to a market cap larger than VET’s.

The Verdict

Cryptocurrencies that are focused on niche markets that need a blockchain solution are those that are most likely to survive. Those that have partnerships with thriving Fortune 500 companies are the blockchains of tomorrow. The smaller, lesser-known ones, are the cryptocurrencies that could pull off the next 20-100x.

DOCK is the cryptocurrency on this list that has true ‘moon’ potential. If DOCK’s market cap rivals VET’s that means HODLers of DOCK would enjoy a 50x (comparing market caps). Smaller market cap cryptocurrencies are the ones that have the ability to penetrate the Top 20 while having a huge rise in market cap.

Verdict: HODL

VET is perfect for those that enjoy lower-risk cryptocurrencies but want to remain well diversified in unique blockchain niches. Already having a market cap over $250 million VET has the potential to provide significant returns. As VET continues to partner with companies many are familiar with expecting the price to begin to appreciate with the turn of the market.

Verdict: HODL

BTG is a cryptocurrency maintaining a Top 20 spot among all cryptocurrencies when it is fairly irrelevant. The benefits BTG provides are minimal and those that wish to mine BTC using GPUs can mine a more profitable alternative, and sell it for BTC.

Verdict: FODL

[Disclaimer: This views expressed in this article do not reflect the views of Bitcoinist and should not be taken as financial advice.]

To read the Crypto King’s prior articles or to get in contact directly with him, you can on Twitter (@JbtheCryptoKing) or Reddit. The King is the founder of ANON and actively trades cryptocurrencies.


Images courtesy of Shutterstock

Share
Lis 10

Cryptocurrencies to Target for the Next Bull-Run (OAX, XLM, HOT)

Cryptocurrencies OAX, HOT, and XLM are worth looking into if you’re looking for coins with the best chance to outperform Bitcoin price in Q4 2018. 


Small Cap Vs. Low Price Cryptos (A Trader’s Mindset)

The mindset of a cryptocurrency trader in a bull vs. a bear market is vastly different. During the last bull-run, two types of cryptocurrencies had a tendency to ‘pump.’ Ones with very low market caps on big exchanges and those with very low prices.

The coins with low market caps, dedicated teams, with the network to get listed on top exchanges should be acquisition targets heading into the next bull-run vs. the alternative of buying low priced coins.

A very low market cap coin with major unknown quarter four events: OAX, should perform exceptionally well in the short term. 

The market sentiment has continued to shift from the summer of 2018 through the beginning of quarter four. With crypto personalities and technical analysis pointing to a December bull-run, the question becomes fairly obvious: How does one take advantage of the shifting of market sentiment and the possible impending moonshot?

Amusement park ride

The last bull run which concluded 2017 had two main types of cryptocurrencies that saw significant pumps. These two types included very low cost per coin cryptocurrencies regardless of their market capitalization. The other type were coins that had a very low market cap. Coins with a low market cap are the coins which should be targeted vs. the ones that the price seems “cheap” on.

Most individuals who are not accustomed to cryptocurrencies do not realize the importance of market capitalization vs. actual price.

For example: consider 2 cryptocurrencies, one is trading at $0.50 the other at $2.00, the first has a market cap of $100 million, the second has a market cap of $5 million.

Which is the better investment if both are about to have $1 million in demand of the cryptocurrency generated by an announcement?

The answer is the second, with a $5 million market cap and $2.00 price. The reason for this is if $1 million of demand is generated for a cryptocurrency with a $5 million market cap the total market cap will increase to $6 million. This 20% increase in market cap will be reflected by the price increasing by 20%, from $2.00 to $2.40.

The first coin with a market cap of $100 million would now have a market cap of $101 million and the $.50 crypto would have increased to $0.505. If you purchased the cryptocurrency with the lower market cap you would make 20% compared to 2% for the coin with the higher market cap.

With all else equal it is always a better idea to target a lower market cap cryptocurrency vs. one with a ‘lower price.’

OAX has one of the smallest market caps on Binance and is my #1 acquisition target for this reason, along with many others. For those wanting a lower price coin with a significantly higher market cap HOT and XLM are fantastic options.

OAX

OAX 00 is one of the lesser known and discussed cryptocurrencies, which is a great reason to begin targeting it before the Twitter personalities and “whales” begin their accumulation. OAX is also listed on the highest volume exchange, Binance, which is notorious for solely listing tier 1 projects.

So what is OAX’s project that impressed Binance enough to list?

I had the pleasure of discussing with the OAX team many aspects about their project during a recent interview. According to Wayland Chan who is the Technology Lead of the OAX Foundation, by the end of 2018 OAX will “deliver a stand-alone DEX using the work done building a scalable layer 2 solution.” This very significant event is not listed on cryptocurrency calendar websites nor is it commonly known in the space.

What is most impressive about OAX’s decentralized exchange (“DEX”) is that they plan to have an “off-chain order book, off chain order execution, as well as no custody of user assets.” OAX could be the scalable solution that DEX’s have sought for years. The OAX project is very ambitious but having secured a Binance listing their legitimacy should not be challenged.

The first prototype of the DEX was delivered in June and since the developer have been finalizing the layer 2 solution using off-chain solutions to solve the performance problems of blockchains.

According to OAX’s Technology Lead,

We’ve made huge strides…and expect to soon announce some big news that will definitely rock the boat.

As much as I pressed I was unable to get an inside glance at what this ‘breakthrough’ was.

This year, OAX was trading as high as $2.28, having dropped to under $0.35 since. With their platform becoming a reality, now is the perfect time to acquire a position. The future of OAX looks very bright. OAX plans to have a layer 2 working prototype by the end of 2018. Their DEX has the potential to revolutionize the exchange community and the scaling difficulties they face.

ICOs were all the craze at the end of 2017, DEXs are becoming the next craze with looming regulations and government crackdowns already underway. With decentralized exchanges becoming the new ‘hot thing’ and the bear market coming to an end, OAX clearly is an acquire and HODL for traders and investors alike.

OAX is one of the few cryptocurrencies that could re-approach their all-time high, once the crypto community awakens to the significance of their project.

HOT

How does HOT (Holochain) 00 compete against other cryptocurrencies in the space?

HOT has a lower “price per coin” than OAX but their market cap is almost 20x higher than OAX’s. This means if both HOT and OAX received the same amount of publicity the price of HOT would move 5% while the price of OAX would move 100%.

This is the main reason targeting smaller cap cryptos with platforms on the cusp of development makes for better “moonshot” investments than targeting a crypto with a $100 million-plus market cap.

However, HOT does get a unique award for being the least expensive coin on Binance (even though it has a huge market cap). During a bull run new ‘dumb’ money enters the market and they flock to both the cheapest coin and the ones with the lowest market caps (once they get a bit smarter). HOT qualifies as the “cheapest cryptocurrency on Binance,” and therefore money will likely flow into it the minute the markets start moving North.

Understanding market caps makes those looking to choose between HOT and OAX, pick OAX very easily. However, when choosing an investment, it is important to look beyond the market cap. How is the team? What is the product or platform?

Holochain is distributed hosting, owned and run by the users. The goal of HOT is to facilitate businesses and communities to build the next internet paradigm. Their goals seem to be extravagant but the team is continuously pushing forward with their roadmap.

For those wanting to capitalize on new ‘dumb’ money rushing into the crypto space in the next few months, HOT is not a bad option. OAX will likely to provide much higher returns than the larger market cap coins like HOT, however, diversification should not be overlooked for short-term profits.

XLM 

XLM (Stellar Lumens) 00 has been all over the news this week with their announcement of the Blockchain wallet giving away $125 million XLM.

This coupled with their likely imminent addition to Coinbase makes them a short-term speculatively play receiving a lot of attention. With a market cap in the Top 10 cryptocurrencies and a coin value of under $1.00, XLM could post impressive gains.

Stellar: Headed Towards $1?

However, that “moon” that everyone is searching for is unlikely to come from a cryptocurrency with a $1 billion-plus market cap. One can expect reasonable gains following a Coinbase listing but that is truly what all are HODLing for at this point.

Even though XLM is unlikely to post gains associated with coins that have less than a $10 million market cap, they still have plenty of exciting developments occurring.

XLM has partnered with IBM to allow them to use their Stellar network to bring more transparency into their payment structure. Analysts have predicted this partnership could actually replace the current SWIFT/IBAN structure as the global standard. If this partnership results in anything relevant XLM will have moon potential even as a $1 billion-plus market cap cryptocurrency.

Another one of XLM’s unique partnerships is with Veridium and IBM to tokenize carbon credits globally. This is one of many partnerships that will make XLM relevant for the short and long term.

The projects for XLM continue with Stellar X. This is Stellar’s version of a DEX. Also:

  • Open Garden is a project that allows users to turn their phone into a hotspot while earning a reward in XLM for data used.
  • TillBilly is Stellar’s version of a point of sale system, easing the burden of a paper receipt.
  • SmartLands looks to tokenize agricultural lands on the Stellar Network.
  • Sure Remit is one of the leading remittance networks in Africa that allows the transfer of funds. They have partnered with Stellar and have branches in Kenya, Rwanda, and many other African countries.

The list of partnerships and use cases for XLM go on and on. XLM is a great long-term HODL when compared to other cryptocurrencies in the Top 10. However, for significant short-term gains, lower market cap cryptocurrencies with major under the radar events are better options.

Cryptocurrencies Ranked By Risk

As new money rushes into the crypto space it will likely end up in 1 of 2 places: very low-cost coins, or very low market cap coins. Regarding percentage return, it is always better to target low market cap coins, not just ‘low cost’ coins.

This is why OAX is a favorite this week with their DEX on the horizon, a 1 on 1 interview, and a Binance listing; this project is well positioned being one of the smallest market cap coins on Binance. With little public awareness regarding their underlying news, OAX could be one of the most significant gainers of quarter four. If OAX ends quarter four with a market cap of $28 million, it will have returned over 200% for those reading this article.

HOT will likely be a target of ‘dumb’ money searching for a cheap coin on the biggest exchanges. Once they learn what a market cap is they will likely switch their position. The HOT project is a great one, but regarding undervalued cryptocurrencies, there are better options.

XLM may be a Top 10 cryptocurrency but with a Coinbase listing seeming imminent and partnerships that compete with Ripple they will likely post positive returns in the short-term. This is important as they are positioned for long-term success as well. Their short-term gains will likely be inferior to those with micro-caps but their guaranteed success long term reduces a great amount of investor risk.

Those seeking the highest risk, highest reward crypto should target OAX. Those wanting a safer play that is likely to still post positive gains, XLM is the choice. For those wanting to chase dumb money entering the market HOT is an okay choice, but OAX will likely still post better returns based on their market cap being 1/20th of the size.

To read the Crypto King’s prior articles or to get in contact directly with him, you can on Twitter (@JbtheCryptoKing) or Reddit. The King is the founder of ANON and actively trades cryptocurrencies.

[Disclaimer: This views expressed in this article belong solely to the author and do not reflect the views of Bitcoinist. They are intended as opinion for educational purposes and should not be taken as financial advice.]


Images courtesy of Shutterstock

Share
Lis 05

Swiss Regulator: Crypto Assets Need 800% Risk Weighting In Absence Of Formal Rules

Swiss financial regulator has informally signaled cryptocurrency investments should have a risk weighting ratio of 800 percent of the original amount.


FINMA Highlights Bank, Dealer Queries

According to local news media outlet Swissinfo, the Swiss Financial Market Supervisory Authority (FINMA) revealed the figure in October in response to a query by trustee and accountant association EXPERTsuisse.

In the letter, dated October 15, FINMA suggested it had come under pressure to provide clarity on the issue from banks and associated players, but the requisite regulatory guidelines were yet to appear.

Swiss Based

“FINMA has recently received an increasing number of inquiries from banks and securities dealers holding positions in cryptoassets and are subject to capital adequacy requirements, risk distribution regulations and regulations for the calculation of short-term liquidity ratios,” Swissinfo quotes it as stating.

Switzerland has several years’ experience of formal integration of cryptoasset-based products in its banking sector, has taken a proactive role in creating a supportive legislative environment for the new instruments.

At the same time, Swissinfo notes, FINMA can only give ballpark figures until all-encompassing formal statutes are set in stone by the international adjudicator Basel Committee on Banking Supervision.

A decision may come as soon as the Committee’s next meeting at the end of November.

‘No Impact’

In the meantime, cryptoassets should be “assigned a flat risk weight of 800% to cover market and credit risks, regardless of whether the positions are held in the banking or trading book,” the letter continues.

According to sources commenting on the situation, the 800 percent figure is high, but not prohibitive.

SEBA, a startup which in September raised $103 million to build a cryptocurrency bank in the country, said the recommendation “had a limited impact on its business model.”

“It’s encouraging to see banks no longer turning down the increasing number of client requests for crypto services but asking for guidance and providing their input along the way,” lobby group the Bitcoin Association Switzerland added to Swissinfo.

What do you think about FINMA’s recommendation? Let us know in the comments below!


Images courtesy of Shutterstock

Share
Lis 03

3 Cryptocurrencies Likely to Beat BTC Price Short-Term (WaBi, BNB, TRX)

Who can beat BTC price in the short term? This week three very unique coins have been selected: WaBi, BNB, and TRON. WABI looks to be the top contender to produce the highest returns as a cryptocurrency.


Market Conditions

The price stagnation within BTC price 00 has led to many mini altcoin rallies. Cryptocurrencies highlighted in similar articles such as GOChain increased well over 100% since their being selected as an ‘undervalued cryptocurrency.’

These current market conditions represent a spring coiling in the cryptocurrency space. Summer was filled with negative news about Bitcoin and blockchain. However, since quarter four has begun there has been no real BTC positive price movement. This is contrary to the news which has been positive for over a month.

Last week saw:

  • NYSE’s parent company announced December 12th as their launch date for Bakkt (BTC settled USD pairs).
  • The country of Singapore invested directly in Binance.
  • The country of China which had previously different styles of bans on ICOs and crypto ruled BTC as property.
  • Coinbase added USDC.
  • Bitfury considering an IPO (not ICO).

The prior week in blockchain and cryptocurrency has seen BTC stagnate even with the spectacular news. The spring has been coiled and the question that remains is which cryptocurrency will appreciate against BTC in the next few weeks to few months?

When analyzing the market to see which coins have already had their mini bulls runs it becomes increasingly obvious that WaBi, BNB, and TRON should all have major positive movement.

WABI has the smallest market cap and significant quarter four news. Most of their news has yet to be announced but an exclusive interview with the founder this week provided some inside details. BNB and TRON are likely to produce returns far greater than BTC’s due to their communities and utility.

However, WABI is the most undervalued on this list as TRON and BNB have market caps over $1 billion, while WABI’s market cap is under $20 million.

Although a higher risk cryptocurrency play, WABI is most likely to produce the highest returns when compared to BTC and other cryptocurrencies in the market.

stock market quotes

WaBi 

WaBi 00 is a cryptocurrency with under a 20 million dollar market cap, is traded on Binance, has major events and news all quarter four, and provided an exclusive interview with the founder for this piece. Not only is right now the opportune time to research WaBi but it radiates as an undervalued cryptocurrency.

Walimai is a safe-channel ecosystem for consumer products. The purpose of Walimai is to secure supply chains of important consumer goods (such as baby milk). So what is the WaBi?

Well the WaBi is provided as an incentive for scanning anti-counterfeit labels of WaBi products. This helps drives consumer awareness of the product’s transition through the supply chain and insures product safety.

China (where WaBi is predominantly located) has had multiple scandals involving food which has resulted in large scale accidental poisonings. WaBi looks to solve the issue of supply chain monitoring for consumer goods and has found a way to incentivize the public for participating in the process.

The WaBi cryptocurrency once attained can be used to discount the cost of consumer products along with improving delivery terms. This demonstrates clear utility in a niche market which needed blockchain support (consumer goods and the supply chain).

Why is now the time for WaBi? According to CoinMarketCal WaBi is undertaking a full rebranding in quarter four, they are going to open up sales to South East Asia, Latin America, and Europe, and they plan to introduce Walimai Labels for pharmaceuticals as well. This is a very impressive roadmap for quarter four which led to my desire to speak directly to the Founder, Alex.

In my exclusive interview with the WaBi Founder, I was able to uncover a few more details regarding the upcoming big news. The rebranding is not just the altering of some colors. WaBi is about to undergo a full rebranding regarding the name, colors, fonts, websites (WaBi and Walimai). They have been working with a top design agency while having interviewed almost 1000 users regarding user friendliness and aesthetics. Their rebranding is the first of its kind because they are bringing the active WaBi community into the process. They are providing prizes to supporters who participate in the rebranding, holding an almost scavenger hunt to ‘find’ the new website and additional features.

A cryptocurrency rebranding is very exciting especially because of how different WaBi plans to handle it. Immediately following the rebranding WaBi intends to have a major press release push, almost identical to what they did in 2017 when they were featured on BBC, CNBC, Business Insier, Reuters, and many more (this prior PR push dramatically increased WaBi’s value). The rebranding, budget allocated for major advertising and press releases all take place in quarter four. The public only knows the basics about the rebranding and has no idea a major publicity campaign is about to begin.

The WaBi token is being introduced to a large number of convenience stores across Asia where deals are being negotiated currently to accept WaBi as a form of payment (not just as a discount or to improve shipping terms). This is one of the biggest surprises as once completed the WaBi cryptocurrency will be able to be spent simply across their biggest market demographic.

WaBi’s roadmap positions them with a focus on developed parts of the world where there is the lowest access to quality authentic imported goods. Places like China where counterfeit goods are rampant have been fast to adopt the WaBi coin and Walimai platform.

The WaBi team has been adding new hires and continuing to build out their platform during this extended bear market. The development team has seen 5 new hires added in the last few months. While most cryptocurrencies have been hiding in the shadows of the bear market WaBi has been building at an unprecedented rate.

The last poignant point Alex, the Founder of WaBi made was in regards to my question, “Given the market fluctuations since the ICO how has your coin coped?”

He was very direct in his response. WaBi is up 71% against BTC in the prior year, 8% against the USD, and 158% against ETH compared to their ICO prices. Their focus shifted entirely from publicity and marketing to internal product and core team development. He was also very quick to mention how supportive and active their community is, one of the main reasons WaBi fared so well against other cryptocurrencies. This internal development and platform enhancement is about to pay significant dividends in quarter 4 once the rebranding is complete and the PR campaign goes into full swing.

My final question was regarding the long-term plans for WaBi. I was excited to hear WaBi plans to enter the alcohol products arena as many parts of the world have suffered toxic counterfeit alcohol poisonings. This expansion of products is followed by their expansion to new demographics in different parts of the world.

Many supply chain cryptocurrencies have market caps in excess of 1 billion dollars. WaBi has a working platform, a utilizable token, a quarter four with more exciting news than 99% of cryptocurrencies, a dedicated team, and expansion at an unprecedented rate.

If there was a cryptocurrency that had a significant likelihood of “mooning” in quarter four due to every possible positive factor going their way, it would be WaBi. Look for WaBi to test 50-200% returns in the short term depending on how quickly the traders and investors look ahead to the cryptocurrency calendars.

BNB – Binance Coin

For those that actively trade or even occasionally invest it is obvious to “own” where you trade. The BNB 00 token is the native token of the Binance exchange. By possessing BNB in your account many benefits are provided from lower trading fees to earning a higher percentage of the fees generated by your referrals. If you have any referrals or make any trades it only makes sense to own the required 500 BNB to lower your fees while increasing your referral bonus.

Binance

It was only last week that Singapore announced directly investing in the Binance platform. Financial capitals of the world are taking a keen interest in the largest and most respected cryptocurrency exchange. Binance also announced that in their first week in Uganda they signed up over 40,000 users. Africa being underbanked and needing financial stability will likely turn to cryptocurrencies to combat hyperinflation. Exchanges will capitalize on this with Binance making early moves into the continent. This was not the only positive news for BNB and Binance this week.

Travelbybit is integrating BNB as a payment method across all their platforms and merchants. BNB originally had very little utility beyond the benefits it provided for ‘hodling’ on Binance (lower trading fees and a higher referral bonus). However, the BNB cryptocurrency is pivoting from a coin used solely to benefit Binance traders to one that can be openly transacted and utilized on the same level as the predominant players like BTC. This not only greatly increases the utility of BNB but when utility increases price usually follows soon after.

What about Binance’s fearless leader that seems to maneuver through any regulatory hurdle thrown his way? Changpeng Zhao or more commonly known in the crypto space as “CZ” is one of the most influential individuals in the entire blockchain community. Not only did he manage to build what has been continuously ranked as the #1 exchange by volume in under two years but also actively engages the community, attends conferences, and is exceptionally humble for all he’s accomplished. CZ is hands down one of the most active Founders in the space and his influence is rivaled by almost no one.

Supporting a coin that CZ is the Founder of, is the ‘baby’ of the largest cryptocurrency exchange, has news that regularly adds more utility (can now be used to pay for travel), and provides daily benefits for just HODLING makes BNB a top candidate for accumulation prior to the next bull run.

There will be a flood of new traders to the biggest exchanges when the Altseason begins, at that point it will be too late to buy BNB. The time to accumulate coins that are likely to trend North in the short term is not once Altseason has begun, but prior with enough time to enjoy the gains.

BNB is a cryptocurrency with a market cap over a billion dollars that should easily see 100% returns at the nearest sign of the next bull run.

TRX – TRON

 The cryptocurrency community has been all over the place regarding their feelings about TRON. TRX 00 is a cryptocurrency that like many has been on the hot seat through the bear market. Say what you want about TRX, the reality is their community is one of the most devoted and loyal in crypto. The only more enthusiastic community may be XRP enthusiasts. With TRX regularly being supported by their community regardless of market conditions this cryptocurrency popped onto the radar this week because of their upcoming quarter four news.

TRX plans to release their open-source platform on December 29, 2018. It seems many cryptocurrencies have a feeling the second half of quarter 4 will provide many catalysts. TRX’s open-source platform will provide a revolutionary smart contract and Dapps platform. This is when true utility begins. With their open-source platform going live in the final week of quarter four TRX seems like an acquisition target prior to gem hunters finding this news.

This week on November 1, Coinsuper listed TRX paired against both BTC and ETH. Even with the majority of top exchanges already supporting TRX their team has committed to continued listings. This shows that both the developers are hard at work on their open source platform while the community managers and Founders are focused on reaching out to exchanges and networking.

Directly following quarter four TRX hosts the Nitron Summit January 17 and 18 in San Francisco. TRX is fiscally positioned to be able to host conferences, pay for major exchange listings, fund future development, all through a bear market. If this does not demonstrate dedication in the crypto space, nothing will.

Justin Sun, the Founder of TRON is also one of the more influential individuals in crypto. Having such an influential, well connected, and educated blockchain leader is positive for any cryptocurrency.

TRX has their open source Dapp platform going live before the end of the year, they are hosting a major conference in San Francisco in January and were just listed on Coinsuper. For a ‘safer’ cryptocurrency play TRX seems to have many important catalysts through early January.

Beat BTC Price: Take Your Pick

Cryptocurrency is a risky environment to be trading, gambling, and investing in. However, with enough research, a significant portion of risk can be mitigated. Not every cryptocurrency selected will appreciate as no trader/investor is an oracle.

However, by analyzing almost every coin on Binance thoroughly, I’ve intentionally selected the ones that have the highest probabilities to appreciate in the short term based on upcoming news, their community, market sentiment, their teams, and many other factors.

The highest risk cryptocurrency, which is likely to produce the greatest returns from the cryptocurrencies on this list is WaBi. Their marketing plan coupled with a rebranding, platform expansion, demographic expansion, dedicated team, communicative founders, and major quarter four news provide more catalysts than most can expect.

Look for WaBi to outperform almost every cryptocurrency on Binance in the next few days through the end of December.

Changpeng Zhao Binance

For those looking for a safer ‘blue chip’ option, the cryptocurrency of choice would be BNB. CZ could not be more dedicated or passionate about crypto. Hopefully, more individuals emulate his behavior in the space over the long term. BNB benefits every hodler on Binance and as more traders begin trading again BNB will become highly sought after.

TRX has had the hype train take it on a wild ride. However, quarter four has plenty of reasons that as a cryptocurrency it should appreciate. Hosting conferences and open source platforms built for Dapps is a fantastic start regarding catalysts.

WaBi remains a coin that can likely breach a $100 million market cap providing a 6x for those that accumulate prior to the market cap surpassing $20 million. Given the high-risk high reward nature of crypto, WaBi should be on the “accumulation and research list” for those looking for major quarter four gains.

[Disclaimer: This views expressed in this article do not reflect the views of Bitcoinist and should not be taken as financial advice.]

To read the King’s prior articles, to find out which ICOs he currently recommends, or to get in contact directly with the King, you can on Twitter (@JbtheCryptoKing) or Reddit (ICO updates and Daily Reports). The King is the founder of ANON and actively trades cryptocurrencies.


Images courtesy of Shutterstock, Bitcoinist archives

Share
Říj 30

Japan’s Financial Regulator Says Stablecoins Are Not Cryptocurrencies

The lack of uniformity in stablecoins has led Japan’s Financial Services Agency (FSA) to conclude that stablecoins are not cryptocurrency.


Not All Digital Assets Are Created Equal

Japan’s Financial Services Agency (FSA) recently announced that it does not believe stablecoins should be classified in the same category as cryptocurrencies.

According to Japan’s Payment Services Act and the Fund Settlement Law, cryptocurrencies are considered a method of payment that users do not need to pay taxes for. Meanwhile, stablecoins do not meet these criteria as the majority of the current dollar pegged digital assets have varying characteristics, and the lack of a uniform set of characteristics makes it impossible to categorize them.

FSA Japan

JVCEA Cannot Regulate Stablecoins

Under the Payment Service Act, stablecoins fail to meet the current criteria for classifying as a “virtual currency” and an FSA spokesperson said, Due to [varying] characteristics [of stablecoins], it is not necessarily appropriate to suggest what those companies need to obtain or register before issuing stablecoins.”

Interestingly, while the FSA recently ceded authority to Japan’s Virtual Currency Exchange Association (JVCEA) by granting the collective the authority to self-regulate Japan’s cryptocurrency exchanges, the JVCEA will not be able to regulate stablecoins as they have been determined to not be cryptocurrencies.

It appears that the task of regulating stablecoins to will fall to the FSA and regulators will need to analyze each stablecoin on an individual basis.

Do stablecoins function the same as non-fiat pegged digital assets? Share your thoughts in the comments below! 


Images courtesy of  Shutterstock

Share
Říj 29

UK Fintech Industry Slams Govt’s ‘Blunt Instrument Approach’ To Cryptocurrency

The UK could compromise its fintech sector with “very blunt instrument” regulation currently under consideration, a new report from several industry entities warns.


‘Ashamedly Geared Around Bitcoin’

As local news outlet the Telegraph reports October 29, the report criticizes plans to award more power to regulator the Financial Conduct Authority (FCA) and says treating all cryptoassets in the same way as Bitcoin was counterproductive.

“Bad regulation is worse than no regulation at all,” the Telegraph quotes it as reading, adding that the extant proposals are “ashamedly geared around Bitcoin.”

Politicians had lobbied for wider FCA jurisdiction in September, six months after the regulator had launched a dedicated “task force” with the remit of formalizing the domestic space.

Far from increasing security and consumer protection, however, one of the report’s authors argues a laissez-faire attitude would be considerably more beneficial for a sector which is only just beginning to mature.

“It is a very blunt instrument approach and I haven’t seen this in other countries,” Patrick Curry, chief executive of the British Business Federation Authority (BBFA) commented about the plans.

The use of this technology is still a voyage of discovery and these technologies are being refined for different types of use. My concern is the law of unintended consequences.

Overreaching?

The government had pledged to make London a home for fintech in the coming years, sounding out concerns that Brexit would make the city an unattractive place for innovative newcomers.

Blockchain Expo - Crypto La La land

At the same time, the Bank of England has said it is open to the concept of a self-issued national digital currency while also claiming that cryptocurrency poses “reputational risks.”

“Crypto-assets also raise concerns related to misconduct and market integrity,” Deputy Governor Sam Woods wrote in June.

Many appear vulnerable to fraud and manipulation, as well as money-laundering and terrorist financing risks.

What do you think about the UK’s cryptocurrency regulation plans? Let us know in the comments below!


Images courtesy of Shutterstock

Share
Říj 28

Fidelity Won’t Build Its Own Exchange, Focused on Bitcoin Custody, Exec Confirms

Tom Jessop, President of Fidelity Digital Asset Services says that the asset manager will take crypto to the next level by enhancing the sector and providing a secure Bitcoin custody solution so institutional investors can get a piece of the crypto pie.


Bitcoin Custody Solution Will Remove Barrier

In the most recent episode of her Unconfirmed podcast, Laura Shin interviewed Fidelity president of Digital Asset Services Tom Jessop. The two had a cryptocurrency and blockchain focused discussion about the company’s plans to help develop the Bitcoin 00 and cryptocurrency market to a higher level of functionality and value.

When asked whether or not Fidelity would build its own cryptocurrency exchange, Jessop explained that he believed that the current exchanges do a fairly good job at this and Fidelity is more focused on providing custody services for institutions looking to become involved in cryptocurrency.  

Jessop also explained that a current barrier to cryptocurrency has been service providers that require pre-funded accounts and Fidelity intends to remedy this problem by building a more traditional investment platform, which allows users to execute trades on one or more exchanges at best price, then determine how to settle once completed.

Fidelity Foresees the Future of Crypto

Shin and Jessop them delved a bit deeper into the nuts and bolts of Fidelity custody solution and Jessop explained that at the moment there are plenty of investors with sizeable cryptocurrency positions that lack a custody solution and also find it tedious to carry out trades.

Fidelity intends to fill this niche by providing a cold storage solution and Jessop believes that the well-known fact that Fidelity manages more than $7 trillion in assets will provide the assurance of security that institutional investors require. According to Jessop, this is why Fidelity chooses to focus on custody rather than developing an exchange since “we know how to manage security at scale.”

Shin and Jessop closed the interview by forecasting future events in crypto and Jessop believe that retail and institutional interest in crypto is increasing as the market matures. He points out that hedge funds managers, family offices and emerging market analysts are all focused on creating new cryptocurrency products and instruments that will move the industry forward.

When asked what does 2019 hold, Jessop said the world can “expect more [influx] over this year and into ‘19, which will raise the bar for everyone and help accelerate growth in the market.”  

Do you think Fidelity’s Digital Assets Service will usher in the next cryptocurrency bull run? Share your thoughts in the comments below! 


Images courtesy of  Shutterstock, Twitter

Share