CoinCheckup

Blog

  • Will the Biden Administration’s Money Injection Keep the Bitcoin Bull Run Going?

    Will the Biden Administration’s Money Injection Keep the Bitcoin Bull Run Going?

    Key highlights:

    • Joe Biden is considering a new stimulus package for Americans
    • When the Federal Reserve and the government print more money, people seek havens against inflation
    • Printing more money will weaken the dollar, and could very lead to more adoption for Bitcoin

    Now that both the United States Senate and the House of Representatives are in control of the Democratic Party, Democrats will find it a lot easier to implement their economic and monetary policies.

    A Democrat-led economic policy is likely to lead to additional stimulus packages. Reports say that Joe Biden is speculating about a stimulus package in the form of $2,000 checks.

    The new stimulus and printing of more money will attract people to assets like Bitcoin. Bitcoin started a bull-run after March 2020, and one of the underlying factors that helped provide fuel to the Bitcoin rocket was the accelerated money printing by the US government. When there is more liquidity in the market, Bitcoin’s ascending movement is likely to accelerate.

    The constant money printing will increase the inflation rate, and both individuals and institutions will be looking for safe havens against inflations in order to protect their purchasing power.

    Bitcoin price increased from $10,000 to more than $40,000 in around 4 months. Institutional investors like MicroStrategy entered the BTC market, getting rid of their USD reserves to protect themselves against inflation.

    Biden’s measures in the future might accelerate the BTC surge, allowing the Bitcoin price to touch new peaks. The interest rate in the United States is barely above 0% right now, and it is another factor that forces people to take out their money from the bank accounts.

    Experts expect unprecedented inflation in the coming years

    The United States government printed $3 trillion in 2020. The influx of this massive amount of money has serious consequences, and it will inevitably lead to an increase in the inflation rate. Quantitative easing policies will make scarce assets like Bitcoin more attractive. We already saw many institutions joining the BTC market in 2020, creating an unprecedented capital inflow to the Bitcoin market.

    The bond market can predict future inflation, and the recent increase in the rate of bonds that is the all-time high in the past two years shows a more massive inflation rate in the long term.

    The current money printing activities have weakened the dollar, and a tsunami of inflation is on the way. The weakening process is likely to continue due to the new stimulus packages.

    Bitcoin reacted well to the measures of the US government after the pandemic. Bitcoin has touched new all-time highs recently, and traders expect more growth in the long-term. We might see corrections on the way, but many indicators suggest that the BTC rally is poised to continue.

  • Top 3 Coins to Watch – Week 2

    Top 3 Coins to Watch – Week 2

    As usual, several projects are deploying important mainnet upgrades and launching new features this week. Our this week’s selection consists of three coins that we think will benefit from the increased attention. Will this be enough to end what it appears to be a significantly bearish week in the green?

    1. Blockstack (STX)

    Blockstack is the project behind the Stacks blockchain, an open-source and developer-friendly network for building decentralized apps and smart contracts on Bitcoin blockchain. The network makes use of the Clarity smart contract language and offers new ways to earn BTC.

    Buy/Sell STX

    The Stacks 2.0 Mainnet Goes Live on January 14

    The highly anticipated Stacks 2.0 Mainnet launch is scheduled to occur on January 14. The mainnet will support smart contracts and decentralized applications (dApps) deployment on the Bitcoin network. Furthermore, users will soon be able to lock the platform’s native currency – STX to earn BTC rewards. Blockstack team calls this novel function “Stacking”. The important milestone for the platform will be celebrated at a Virtual Mainnet Launch Event, which will take place on January 14 from 10:00 to 18:00 EST. In addition, one of the bigger cryptocurrency exchanges OKCoin has already revealed its plans to list STX as well as intent to offer a seamless for the users to participate in stacking.

    2. Matic Network’s (MATIC)

    Matic Network is an Ethereum Layer 2 scaling solution that aims to provides major scalability improvements. The Matic protocol plans to deliver supersonic speeds and throughput by utilizing a modified version of Plasma. Its Layer 2 solution consists of several simultaneously run Proof-of-Stake sidechains that regularly push the data to Ethereum, creating network checkpoints.

    Buy/Sell MATIC

    A Wave of DeFi Integration Caused MATIC to more than Double its Price

    The Matic team deployed several improvements throughout 2020, such as a Matic-Ethereum proof-of-stake token bridge that facilitates faster transfers between the networks and the final version of MATIC staking, that will allow the project to further prosper and perhaps survive even when Ethereum concludes the migration to its improved 2.0 variant. In addition, several notable projects, including the virtual world game Decentraland and DeFi protocol Maker have already integrated Matic.

    As a result, the MATIC, the network’s native currency delivered an amazing price performance in the first few days of 2021. Driven by the congested Ethereum network (and consequently high fees on the mainnet) and several DeFi integrations, MATIC surged from $0.0175 to almost $0.04 in the first seven days of this year. Although MATIC lost some of its value in Monday’s correction that affected pretty much every cryptocurrency the token is still up by more than 36% YTD. If the Ethereum network stays congested and more projects announce Matic integration, the MATIC token could easily outperform ETH this week.

    3. Loom Network (LOOM)

    Loom Network allows developers to build highly scalable games and social apps on the blockchain. The platform utilizes an independent blockchain called DAppChain, which uses Relay as a connection to Ethereum smart contracts. The network’s native currency LOOM token functions as a membership pass to access all Loom Network-ran DApps.

    Buy/Sell LOOM

    LOOM Token Swap on January 15

    The Loom team is looking to integrate zkRollups Ethereum Layer 2 solution in its next instance of the protocol. This will create zkLoom protocol, which will rely on the security guarantees provided by Ethereum itself rather than placing the trust into the hands of LOOM validators. However, the existing LOOM token contract is not upgradable or compatible with zkLoom, so LOOM holders will have to swap their existing tokens for new ones through a new LOOM token contract that will be deployed on the Ethereum mainnet. The token swap is set to take place on January 15. Tokens held on exchanges will be processed automatically, LOOM held in user’s private wallets, however, will have to be converted using the Basechain dashboard. In either case, you can find more information about the tokens swap process here.

  • Countries and Digital Currencies in the Next Year

    Countries and Digital Currencies in the Next Year

    Bitcoin rocked the world with its release in 2009, and in the subsequent decade, the concept of cryptocurrency gained real traction in the market. Although it’s still very much on the periphery, this new format has slowly become a more widely accepted method of payment.

    The process of acceptance does have a similar feeling to the fears over potential effects on the future spread betting, which never materialized. And this is exactly what we see happening now, as cryptocurrency starts to integrate into mainstream financial markets.

    Always volatile, digital currencies received a blow when China opted to outlaw them in 2017. Many predicted the trend would swiftly come to an end, but there was more to the story than met the eye. The objection from China seemed to be less about the concept of a digital currency, and more about who had control as it worked hard to release the digital yuan.

    China wasn’t the only country who had a digital form of money in its sights; here’s a closer look at developments.

    Digital Currencies: an Oversight

    For years, Bitcoin and its peers such as Ethereum have been known generically as cryptocurrency. They are a type of e-currency which shares similarities with digital currencies, without being exactly the same.

    The critical difference is that cryptocurrencies are decentralized with regulation being provided by the community. In stark contrast, a digital version is centralized, making it no more than a digital version of money already in circulation.

    This has been the major criticism of digital currencies. Rather than offering real innovation, they’re simply a move to making people use the existing money in digital form.

    Where to Find Digital Currencies

    Digital currencies are still very much in their infancy with few countries launching publicly so far. However, there are many in the pipeline, and there is a real global appetite for digital currencies to become a success.

    Part of the reason for this is organic; there has been a shift away from paper and coin currency, so a more sophisticated electronic option seems inevitable.

    The countries which have launched their own digital currency so far (or are about to) include China, Ecuador, Tunisia, Singapore and Senegal. Others who are following hot on their heels include Sweden, Russia, Japan and Estonia.

    For some of these nations, the end goal is to replace fiat money completely, relying entirely on the new digital currency. For others, the digital format is only intended to supplement continued use of traditional cash.

    So far, the US and the Eurozone have resisted the urge to join the throng but will be watching closely. As numbers swell, it’s expected there will be growing pressure for even more countries to join in with the digital revolution.

    Not Without Risk

    While digital cash is still in the very early stages, concerns have already been raised about what this could mean, especially in authoritarian countries. Relying entirely on digital money as China plans to do means that every transaction and purchase can be tracked, something that many feel apprehensive about.

    It could also spell the end for Bitcoin and crypto, or at the very least halt its move into broader use. More central banks could follow the example of China and ban decentralized currency, forcing users to move to their digital cash and abandoning Bitcoin and co.

    It’s too early to predict how events will unfold, but it’s clear that as a centralized currency, a digital currency does not offer the same benefits as cryptocurrency. Whether the two can exist in tandem remains to be seen.

  • Crypto.com Partners with Booking.com to Offer Exclusive Travel Discounts

    Crypto.com Partners with Booking.com to Offer Exclusive Travel Discounts

    Crypto.com users can enjoy up to 25% off Booking.com’s 28M+ accommodation listings

    Hong Kong, Jan. 11, 2021 – Crypto.com has announced a partnership with Booking.com to deliver travel deals to all Crypto.com users, available exclusively inside the Crypto.com App. Crypto.com users who make Booking.com reservations in the App can now enjoy up to 25% off accommodations. As an added bonus, users who pay using their Crypto.com Visa Card can get up to 8% back on spending along with great travel perks, including free and unlimited LoungeKey™ airport lounge access, free ATM withdrawals worldwide, and no foreign transaction fees.

    Open Crypto.com Account

    According to Booking.com, 65 percent of consumers are excited to travel again in 2021, though the majority (62 percent) expect to be more price conscious when researching for their next trip. Crypto.com’s partnership with Booking.com, one of the world’s largest travel marketplaces, gives Crypto.com users exclusive access to more than 400,000 discounted properties and 28M+ accommodation listings. They can also enjoy seasonal promotions and extend the utility and perks of the Crypto.com Visa Card, ensuring that they have access to the best travel deals—all within the Crypto.com App.

    Kris Marszalek, CEO and Co-founder of Crypto.com said:

    “In 2020, our Crypto.com Visa Card program grew to become the most widely available card of its kind, and we know that travel perks are a highly sought-after benefit. Our user base also grew in 2020, and we now serve over 5 million users around the world, who are eager to travel again in 2021. We’re delighted to announce our partnership with Booking.com, the first of many we’ll be announcing this year.”

    About Crypto.com

    Crypto.com was founded in 2016 on a simple belief: it’s a basic human right for everyone to control their money, data and identity. Crypto.com serves over 5 million customers today, providing them with a powerful alternative to traditional financial services through the Crypto.com App, the Crypto.com Visa Card, the Crypto.com Exchange and Crypto.com DeFi Wallet. Crypto.com is built on a solid foundation of security, privacy and compliance and is the first cryptocurrency company in the world to have ISO/IEC 27701:2019, CCSS Level 3, ISO27001:2013 and PCI:DSS 3.2.1, Level 1 compliance, and independently assessed at Tier 4, the highest level for both NIST Cybersecurity and Privacy Frameworks. Crypto.com is headquartered in Hong Kong with a 700+ strong team. Find out more by visiting https://crypto.com

    For press enquiries: press@crypto.com

  • Kraken Customers Are Staking More Than $1 Billion in Cryptocurrency

    Kraken Customers Are Staking More Than $1 Billion in Cryptocurrency

    Key highlights :

    • Users on the Kraken platform have staked more than $1 billion worth of crypto on the exchange
    • Cryptocurrency holders are confident about their long-term prospects
    • Proof-of-Stake cryptocurrencies are popular among users

    According to an announcement by the Kraken cryptocurrency exchange on Wednesday, customers have staked over $1 billion worth of cryptocurrency via its platform. A spokesperson from the exchange revealed that Ethereum represents around one-third of the staked assets. Tezos and Polkadot are among the other significant cryptocurrencies popular among Kraken customers who are using the exchange’s staking services. Kraken also supports other coins for staking, including Kava and Cosmos.

    Open Kraken Account

    Note: How to buy Bitcoin on Kraken

    The popularity of staking in the crypto space confirms the long-term outlook by cryptocurrency investors. Holders are currently very confident about the long-term prospects of crypto assets, and don’t mind staking their assets for an extended period of time to earn additional staking rewards. Staking is becoming popular among crypto users, and many users are attracted to it as a passive source of income.

    Past investors were focused on short term profits

    Investors in the past were mainly focused on short term profits. But now, they are sure that crypto is coming to stay. They believe in the stability and survival of the ecosystem right now, and their prospects are more long term than before. 

    Staking occurs on a PoS blockchain, and users temporarily lock up their coins to help secure the network. In exchange for this service, stakers are periodically given staking rewards. Many people use exchanges for staking because it’s much more convenient than staking through wallets. 

    Kraken introduced support for Ethereum 2 staking on December 3. The exchange notified the users about staking Ethereum and stated that the staking is not a short-term process. Those who are staking on Ethereum 2.0 right now will not be able to withdraw their coins until Phase 1.5 of the Ethereum 2.0 transition process is reached. 

  • DigitalBits is Secretly Becoming the Blockchain of Choice for Stablecoins in the Esports Industry

    DigitalBits is Secretly Becoming the Blockchain of Choice for Stablecoins in the Esports Industry

    Esports Veteran Dignitas Joins Neobank Zytara in Leveraging the DigitalBits Network to Power Stablecoin Payments

    Top esports team Dignitas has announced a partnership with fintech company Zytara to provide digital banking products and services to gamers and esports enthusiasts. At the core of this partnership, Zytara will leverage the DigitalBits blockchain to power the use of stablecoins and other digital assets across the esports and gaming industry.

    Dignitas, formed in 2003, is one of the most recognizable names in esports, holding 18 world championship titles and housing 34 world champion gamers.  The team was later purchased by Harris Blitzer Sports & Entertainment (HBSE), which represents “a diverse, global portfolio of sports and entertainment franchises and properties that includes the Philadelphia 76ers (NBA), New Jersey Devils (NHL) and more.” In 2019, Dignitas became the esports vertical of New Meta Entertainment, founded by an investor group that includes “HBSE, Susquehanna International Group and Delaware North, among others,” the company says.  

    The partnership will kick off with the release of several uniquely designed Dignitas-branded app skins and debit cards.  These designs will showcase the recent Dignitas rebrand, a nod to the original Dignitas, one of the most historic brands in esports history.  Zytara’s full product suite will include checking and savings accounts, virtual and physical debit cards, as well as access to investment tools. The mobile application will include features specifically tailored to gamers, such as integrated automated payments, player-to-player transfers, easy-to-use parental controls.  

    These features will not only enhance the experience of esports athletes and gamers, but also help to connect the worlds of esports and blockchain, enabling gamers access to innovative technologies, such as unique digital assets and decentralized finance.  With approximately 2.7 billion gamers worldwide, this also looks to make massive strides in the realms of financial literacy and inclusion.

    “Partnering with a brand as dedicated to the financial education and success of our athletes, creators, and community as we are is an extremely valuable opportunity. We look forward to working alongside Zytara to create innovative fan experiences focused on bringing their digital payment innovations to life,” John Spiher, Vice President of Partnerships at Dignitas, said in a statement.  

    “I am thrilled that we have announced our partnership with Dignitas.  When the concept of Zytara was first born, it was always about bringing to market a banking platform built by gamers, dedicated to gamers.  Working with one of the most widely recognized esports organizations in the world shows our dedication to this special group of consumers.  We are looking forward to the joint activity taking place with Dignitas throughout 2021 and being able to showcase our innovative products for esports fans and enthusiasts,” said Zytara Founder & CEO Al Burgio. 

    Burgio is also the founder of the DigitalBits blockchain, a fork of the Stellar protocol, that launched in 2018.  DigitalBits comes from a protocol built specifically for payments, providing infrastructure that could streamline the way payments and value transfer takes place within esports today.  In addition, the team has worked meticulously to create a partnership ecosystem that supports and enhances these capabilities, including Fireblocks, Messari, and Stably.

    What Can the DigitalBits Blockchain Bring to Esports?

    • Monetization of in-game currency across a global ecosystem
    • Enable real-time payment transfers 24/7/365 
    • Resolve many of the issues with global tournament prize payouts
    • Enhance fan engagement 
    • Programmable incentives for gamers

    Zytara recently unveiled a series of rockstar additions to its advisory board, including the former CTO of UBS and Credit Suisse, as well as the former co-head of esports and gaming at Goldman Sachs.  Zytara has also announced the launch of the Zytara dollar (ZUSD), digital money issued by a regulated financial institution, redeemable on a 1:1 basis for US dollars.  ZUSD is designed for the future of finance, esports and gaming, along with countless other applications.  “We see the opportunity for ZUSD to become digital money for the gaming industry and beyond with the support of great partners like Dignitas,” said Burgio about the new partnership.

    As recently explained in Forbes, ZUSD will initially launch on Ethereum before migrating to the DigitalBits blockchain in 2021.  Payments still face significant friction in esports, especially when it comes to those on an international scale.  Notably, Epic Games faced issues when distributing some of the $100 million prize pool for Fortnite tournaments.  This makes blockchain, which is inherently borderless, a perfect fit.   

    Zytara is assuming a true, “built by gamers, for gamers” approach, and embedding itself deep within gaming culture.  Alignment with prolific brands such as Dignitas demonstrate Zytara’s commitment to not only driving innovation within the esports industry, but doing so in a manner that stays true to the ethos of esports and gaming.  The use of blockchain furthers this sentiment, introducing technology built to empower the user.  Zytara and Dignitas have set the stage to bring the worlds of blockchain and esports together, a global solution for a global phenomena.

  • Top 3 Coins to Watch – Week 1

    Top 3 Coins to Watch – Week 1

    It has been a few days since we entered 2021 and the cryptocurrency market continues its rally. The very first selection of top coins to watch this year is again topped by the most popular and most established cryptocurrency, but while often staying in the shadow of Bitcoin and Ethereum, other projects are also making significant progress by deploying new features.

    1. Bitcoin (BTC)

    Although we believe Bitcoin does not need much introduction and that all eyes would be on it even if it were not featured on our list, here is a short summary of the history and key characteristics of the first truly decentralized digital currency. The world’s pioneer cryptocurrency was launched by pseudonymous figure named Satoshi Nakamoto in 2009 and has a capped supply of 21 million coins. The decreasing miner block rewards makes the cryptocurrency scarcer with time, ensuring a deflationary nature.

    Buy/Sell BTC

    Many Experts predict a very Bullish Performance for Bitcoin in 2021

    Bitcoin, whose market capitalization is currently at over $650 billion, representing around 68% of the total cryptocurrency market capitalization, has finished last week off by setting a new ATH of $34.700. The high institutional interest, retail sales waking up and even billionaires entering the space, the price continues and likely will continue to rise. As a consequence of these conditions, Bitcoin is currently trading at above $35,000, near its current ATH price of over $35,600, set in the morning hours of January 6. Furthermore, since the beginning of the rally in Q4 2020 when thigs got interesting for Bitcoin holders, every dip was bought. In addition, pretty much all prominent experts’ price predictions for 2021 are very bullish. While some warn about a severe bearish retracement coming in after 2021, such as the bear markets seen in the previous bearish phases of the market cycle (up to -85% drop in price), they estimate that a drop below $20,000 is highly unlikely ever to occur again.

    PersonPrediction (in USD)Date of prediction
    Kevin Svenson250,000Jan 2021
    Ryan Selkis100,000Dec 2020
    Andrew Keys50,000Dec 2020
    Tone Vays100,000Dec 2020
    Willy Woo @woonomicConservative: 200,000
    Realistic: 300,000    		Dec 2020
    Raoul PalConservative: 150,000
    Realistic: >250,000    		Dec 2020
    Philip Swift100,000Nov 2020
    Tom Fitzpatrick318,000Nov 2020
    Brian Estes100,000 – 288,000Nov 2020
    Erik Voorhees50,000Apr 2020
    Anthony Pompliano100,000Nov 2019
    Sunny Decree100,000Nov 2019
    Benjamin Cowen141,173Nov 2019
    Table 1: List of Bitcoin price predictions of various traders, analysts, and other prominent players. All predictions are for BTC’s value by the end of 2021.

    Interestingly, a lot of U.S. citizens that received a $1,200 stimulus check in April 2020 and did not need it to pay the rent, bills and other life costs decided to channel the extra money into cryptocurrency. This decision turned out to be quite lucrative for those who have bought Bitcoin with this airdropped money as the spring’s stimulus is now worth over $5650 if it has been fully used to purchase BTC.

    We wonder how much money from the second stimulus package, which features a $600 check for every eligible citizen, will end up in crypto and how high up can the increased retail interest drive the prices this time?

    2. NEM (XEM)

    NEM smart asset blockchain platform launched in March 2015. The platform utilizes a pioneering Proof of Importance (POI) consensus algorithm to validate transactions and issue new XEM coins. In addition, NEM is written in Java and allows applications written in any programming language run on its blockchain, which is achieved through APIs. NEM is used by several financial companies in Japan and is the cornerstone of Mijin blockchain.

    Buy/Sell XEM

    NEM to Launch Symbol Public Blockchian in February, Opt-in for XYM Distribution only Available until January 9

    The NEM team is preparing for the launch of the Symbol public blockchain and the XEM holders have an opportunity to participate in its launch and receive Symbol’s XYM coins when the platform goes live. To be awarded the XYM tokens at a 1:1 ratio against their NEM holdings at the time of the snapshot, the NEM users have to opt-in before January 9. The date and time of the snapshot remains unknown and the minimum balance to be eligible for opt-in is 100 XEM. The ream advises users to opt-in through NEM the desktop wallet or NEM mobile wallet (available for Android only), but several prominent exchanges have already announced they will be supporting the XYM opt-in.  More information regarding the Symbol migration and the whole opt-in process can be found here.

    3. Aavegotchi (GHST)

    Built by Singapore-based Pixelcraft Studios and founded by the popular DeFi protocol Aave, Aavegotchi is a DeFi staked crypto collectibles platform. The value and rarity of the playable digital avatars called Aavegotchis, which exist in the form of ERC721 non fungible tokens, are determined by their collateral stake, traits, and wearables.

    Buy/Sell GHST

    Aavegotchi Mainnet Launched This Week

    Aavegotchis represent a user’s collateral earning yield on Aave and can be minted by staking specific “aTokens” such as aUSDC and aLINK into their gotchi. The playable digital ghosts can be used to enter game battles and be equipped with wearables. However, each gotchi ghost out of the game once its owner chooses to liquidate the underlying stake. The highly anticipated project, which aims to push the adoption of non-fungible tokens (NFT) forward launched its first mainnet on January 4. The launch of the project, which is unique for its combination of crypto collectables (NFTs) and DeFi, was accompanied by several Aavegothchi raffles and NFT Auctions.

  • How To Practice Your Crypto Trading Before Diving In

    How To Practice Your Crypto Trading Before Diving In

    With the rise of the internet came the beginning of investing in cryptocurrencies. Now, nearly every significant financial institution is looking towards cryptocurrencies to store value and create new wealth. Suppose you’re someone who is thinking about getting into cryptocurrencies. In that case, there are several avenues that you can take to get started.

    With the highly volatile and unpredictable nature of the cryptocurrency marketplace, many investors find it challenging to profit from their investments. This is the main reason why it’s vital to learn more about the ins and outs of the cryptocurrency market and practice before putting your money in the market.   

    Read more below to learn more about cryptocurrency trading and how you can begin to practice so you’re prepared for the real thing in the future. 

    What You Need To Know About Trading Cryptocurrency

    First, it’s essential to understand that there are different types of trading that people are using to trade cryptocurrencies. Some are scalping, where you trade minimal amounts of a currency pair quickly and easily, buying and selling only at the peak of the price movement.  

    Cryptocurrencies, like Bitcoin, is currently lucrative for many reasons:  

    • The market is more volatile compared to stock trading  
    • You can trade 24 hours a day, seven days a week  
    • It’s the most liquid form of cryptocurrency  
    • You have multiple trading opportunities within 24 hours. 

    As trading in the stock market, crypto trading also uses technical indicators and developing trends. It would help if you practiced looking at these indicators and directions before you drive in and invest your money in it.   

    Where You Can Start Practicing  

    For first-timers, the amount of information can be overwhelming. To avoid making some mistakes and losing money, you can start by practicing in a crypto trading simulator. People can learn how to invest in Cryptocurrencies without risking too much of their funds.  

    Most investors find that it’s much easier to make profits if they’ve learned how to analyze the market trends and individual cryptocurrency pairs’ behavior. This is where a Cryptocurrency simulator comes into play. These tools help users test out their trading strategies before risking their own money on the real thing.  

    One of the significant advantages of a Cryptocurrency simulator is its ability to execute real-time trades. Some programs work by allowing users to enter a value and compare it against the current market data. If the two match up, the trade is carried out as if the value in question has changed in real-time. This helps minimize the risk of human error and the impact of sudden fluctuations in market data.  

    You can also participate in a crypto trading game. These games are the newest trends in the gaming world, where you’ll be rewarded with cryptocurrencies. You can again try to set up a free account and find how well your strategies are playing out.  

    Different Strategies You Can Use In Practice  

    A trading strategy is an extensive plan for your trading activities. Your strategic plan is a framework you create to guide you to reach your trading goals.   

    One of the significant benefits of creating a trading plan is that it helps mitigate financial risk and reduces the chances of committing mistakes. Although having a trading strategy plan isn’t mandatory, it would be helpful if you’re new to the game and when something unexpected happens in the market.   

    A comprehensive trading strategy has the following:  

    • Assets you trade  
    • Setup of your portfolio  
    • Tools and indicators 
    • Triggers for entry and exits  
    • Position sizing  
    • Key performance indicators on your portfolio performance  

    Once you have set up your trading plan, you can now choose the strategies you’re going to use during practice:  

    1. Day Trading   

    As a beginner, you can start monitoring the market during the day when most investors are active. Cryptocurrency day trading is a fast-paced and exciting way to make money. Day trading means the buying and trading of certain assets over the same day.   

    To make any profit from this method, you need to know the market trends and fluctuations so that you can act accordingly to take advantage of opportunities or prevent losses before they happen. By following some of these techniques, you can increase your chances of success and minimize the risk of losing money.  

    A significant advantage of investing in Cryptocurrencies is that they can easily be traded in different markets every day. They can also be traded over short and long terms, allowing investors to take advantage of small fluctuations and increases in value.   

    For example, a profitable opportunity in Cryptocurrency Day Trading is when an investor buys an asset that increases in value during the day and sells it shortly afterward for a profit. This is especially true for digital assets like stocks, which are highly sensitive to any changes in their supply or demand.  

    1. Swing Trading  

    If you want to invest for long-term goals, the swing trading strategy is the one you should try to practice. This strategy involves holding positions in the market for longer than a day but not longer than a few weeks or months.   

    Expert swing traders try to take advantage of market volatility that takes days or weeks to finish. You can use a combination of technical and fundamental factors to formulate your trading plan. You can also use chart patterns and technical indicators to define your entrance and exit points.   

    Since it takes longer than a day for the desired trend to play out, swing traders have more time to consider their decisions and don’t buy and sell with the FOMO or fear of missing out mindset. They have enough time to react to how the trade is unfolding, and they can change their strategies in between as well.   

    1. Trend Trading  

    Trend trading is also called position trading strategy. It’s a long-term trading strategy that lets you hold positions for longer periods, like at least a few months. Trend or position traders take advantage of directional trends when deciding when to enter or exit a position.   

    When you choose this strategy, you will typically use fundamental analysis to consider events that take longer to play out. The market will move in a particular direction most of the time, but there are times when it takes a turn for the worse.   

    You should also take into account the possibility of a trend reversal. When this happens, you might need to incorporate trend lines, technical indicators, or moving averages to mitigate any financial risks. This strategy is ideal for beginners, and you should practice this to manage risks properly.   

    Summary  

    There are many things to learn before investing in cryptocurrency. With various tutorials provided online, beginners can quickly learn how to begin investing in cryptocurrency pairs and gain profitable results. Different tools are also provided to help you track your progress, such as graphs, charts, and notifications.   

    You can also learn about the basics through tutorials, which further enhance your knowledge about the market and enable you to make better decisions regarding your investments. You can practice everything you’ve learned in a crypto simulator to evaluate how much you know and the best strategies to use to gain more profit.   

      

  • Bitcoin & Ethereum Analysis: Top Coins Continue To Pave The Way As Entire Market Approaches $1 Trillion

    Bitcoin & Ethereum Analysis: Top Coins Continue To Pave The Way As Entire Market Approaches $1 Trillion

    Key Highlights:

    • Bitcoin saw a substantial 25% price surge this week to set a new ATH at $35,868.
    • Ethereum saw a 58% price hike this week as it reached $1,140.

    Bitcoin continued to set a new ATH price today at $35,868 after the cryptocurrency rallied by another 9.2%. The growth of Bitcoin over the past 3-months has been truly extraordinary after the cryptocurrency managed to rise by a robust 225%.

    The market cap for the number one ranked cryptocurrency is now at $645 billion, and many expect it to hit $1 trillion by the end of 2021.

    Overall, the total crypto market cap is already approaching $1 trillion itself as it currently sits at $958 billion – up almost 10% over the past 24 hours. This is mainly due to the strong BTC increase, but some cryptocurrencies are also surging much higher. For example, ADA surged over 41% today, allowing it to claim the 5th ranking position according to market cap value – pushing Ripple into the 6th position.

    Additionally, Ethereum also saw a strong 10% price surge today as the cryptocurrency hits $1,136 today. The price growth of ETH has also been pretty extraordinary as it managed to climb by 58% over the past week, with a further 93% price explosion over the past month.

    Let us look at the top 2 coins and provide some strong support and resistance areas moving forward.

    Bitcoin Price Analysis

    What has been going on?

    Looking at the daily chart for BTC above, we can see that the coin has come a long way since the $18,000 low seen in December. It surged higher toward the second half of the month, breaking above the $20,000 level on December 16th and setting fresh ATHs pretty much every day since!

    By the end of 2021, Bitcoin had reached as high as $29,000. The coin would continue higher and break $30,000 in the first few days of January. Initially, Bitcoin found resistance at $34,800 (1.414 Fib Extension level). With the 9% price hike today, Bitcoin continued higher above this resistance to set a new ATH at $35,868. It has since dropped back beneath the resistance mentioned above at $34,800, but it is highly likely that BTC might hit $36,000 by the end of the day.

    BTC price short term prediction: Bullish

    Bitcoin is most certainly bullish right now. The cryptocurrency would now need to drop beneath $24,000 to turn neutral in the short term. It would have to continue beneath $18,000 (December lows) to turn bearish in the short term.

    If the sellers do start pushing lower, the first level of support for Bitcoin lies at $34,000. This is followed by support at $32,640 (.236 Fib), $32,000, and $30,625 (.382 Fib). If the bears drive beneath $30,000, additional support is found at $29,000 (.5 Fib Retracement), $27,386 (.618 Fib Retracement), and $26,000.

    Where is the resistance toward the upside?

    On the other side, once the buyers break back above $34,800, the first level of higher resistance lies at the new ATH price at $25,686. This is followed by resistance at $36,000, $37,292 (1.618 Fib Extension), $38,000, and $38,358 (short term 1.414 fib Extension).

    Beyond $39,000, added resistance is found at $39,426 (1.272 Fib Extension), $40,000, and $41,862 (1.414 Fib Extension).

    Where are the technical indicators showing?

    The RSI is extremely overbought, suggesting that the buyers might be a little overextended and in need of a retracement. Additionally, the Stochastic RSI recently produced a bearish crossover signal, which could suggest an imminent pullback.

    Buy/Sell BTC

    Ethereum Price Analysis

    What has been going on?

    Likewise, Ethereum has seen explosive growth since the start of 2021. It pushed higher above $750 at the start of the year and continued to surge higher. Along the way up, it met resistance at $975 (1.272 Fib Extension), $1,042 (1.414 Fib Extension), and $1,100 (yesterday closing price) until reaching the $1,166 high today (1.618 Fib Extension).

    We can see that it has dropped lower slightly and is trading at the $1,133 resistance – provided by a bearish .786 Fibonacci Retracement level.

    ETH price short term prediction: Bullish

    Ethereum is strongly bullish right now. The coin would need to drop back beneath $700 to turn neutral and would have to fall further beneath $500 to be in danger of turning bearish in the short term.


    If the sellers push lower, the first level of support lies at $1,100. This is followed by support at $1,042 (1.414 Fib Extension), $1,000 (.236 Fib Retracement), and $975 (1.272 Fib Extension). Beneath $975, support lies at $905 (.382 Fib Retracement), $826 (.5 Fib Retracement), $800, and $750 (.618 Fib Retracement).

    Where is the resistance toward the upside?

    On the other side, if the buyers climb beyond $1,133 (bearish .786 Fib Retracement), the first level of resistance lies at $1,166. Following this, resistance lies at $1,200, $1,266 (bearish .886 Fib Retracement), $1,295 (1.272 Fib Extension), and $1,300.

    If the buyers bring Ethereum above $1,300, resistance is located at $1,358 (1.414 Fib Extension), $1,400, $1,450 (1.618 Fib Extension), $1,500, and $1,550 (1.618 Fib Extension – orange).

    Where are the technical indicators showing?

    Both the RSI and Stochastic RSI are extremely overbought, suggesting that the buyers might be a little overextended and need a retracement.

    Buy/Sell ETH