CRYPTO PORTFOLIO IS BLEEDING FROM EVERY ANGLE AND TRADING UPDATE
Our investment portfolio is bleeding from every angle and These losses can extend for a long time as these assets seems not to find their real bottom yet however after bottoming out we could expect substantial growth in their value over the long term but keep in mind crypto investments are risky and may not be suitable for every investor especially those who do not have enough risk appetite. The assets in our portfolio have been added after doing extensive research on them and we believe the future will be much brighter over the long term. At the moment our large part of the capital has been allocated towards selected crypto assets however we are planning to invest more within the space if prices will plunge to our desired level. As always we will keep you informed regarding any move or changes we’ll make within our crypto portfolio
Please, note-The Sole purpose of this service is to let you know the changes we are making in our own crypto portfolio-questions like when to sell when prices are overvalued or when to buy when prices are undervalued can be easily addressed by our portfolio
It doesn’t matter whether you love, hate or totally ignore bitcoin, the cryptocurrency space is looking to become more popular or mainstream in the new year and the new decade to come, according to analysts.we have already seen bitcoin prices to plunge around $3000 and then peaked just below $14,000 in June. Since then, bitcoin has somewhat stabilized around the $7,000 level. At the time of writing, bitcoin was trading at $6,942.00.Going forward, regulation and mass adoption will be the key drivers keeping bitcoin prices supported. Bitcoin has been winning the crypto race of mass-adoption, which is a sign that prices will head higher, said Bloomberg Intelligence senior commodity strategist Mike McGlone.The latest move above $6,500 signaled an end to the bear market, many analysts pointed out. This could be a major shift for the cryptocurrency, which has been struggling after hitting its record-highs of nearly $20,000 back in December 2017.
The main risk events surrounding the cryptocurrency in 2020 are the halving, scheduled for May, and more regulation. Both could really boost prices higher. Bitcoin halving is a recurring event programmed into the cryptocurrency every four years or every 210,000 blocks until the year 2140 when all 21 million bitcoins are estimated to have been mined. What it essentially does is slow bitcoin mining. May’s halving will see 50% fewer bitcoins generated every 10 minutes.
The effects of next year’s halving are being actively debated by the crypto community with some experts predicting a 2017-like bull-run. Bitcoin halving has led to bullish price moves in the past. After the 2012 halving, prices surged a year later to over $1,000 for the first time ever. After the 2016’s halving, bitcoin also went on a bull run, which saw prices near $20,000 for the first time ever. One of the most important things to understand about the next halving is that it will lower the reward for mining bitcoin blocks from 12.5 bitcoins to 6.25 bitcoins, which will make mining more expensive, said Interlapse Technologies CEO and Coincurve co-founder Wayne Chen. There is a good chance that prices could quickly double and hit new record highs in the middle of next year after bitcoin halves.
The halving impacts bitcoin’s supply-demand equilibrium, explained Charles Hwang, adjunct professor at Baruch College and managing member of the hedge fund Lightning Capital.
“The supply right now that is being released through coinbase transactions is 647,000 bitcoin over the span of the last 12 months. The demand is very close to that,” Hwang said. “What we’ll see in May when the supply gets reduced due to the halving event, is a supply shock where the supply for the next 12 months (after May 2020) will be cut in half to 328,500 while the demand might remain over 600,000.”
Bitcoin might not rise right away, but the effects will be eventually reflected in the price. “Based on historical charts, the market does not go up right away. It takes at least a year. Eventually, we might see moves up like in previous halvings. The other driver is regulation and it is the next best thing that could happen to bitcoin in 2020.
“For Canada, there is a big regulation coming, where virtual currency companies need to be regular as money-service businesses. There is going to be more regulatory oversight. It is a good thing. It makes institutions a little bit more receptive to doing business with crypto companies,” he said. “With crypto right now we are in a state where we need more big retail players to help with driving adoption and help people understand it.”
Regulatory policies will drive sentiment going forward, added Holmes, noting that any new announcements might cause short-term volatility.
Bitcoin price projections are as volatile as the cryptocurrency itself. Ranging from Max Keiser’s $100,000 and “infinity” in dollar terms comments to gold bugs’ collapse calls, bitcoin has been very difficult to predict. Prices could sink lower to levels not seen since April 2019 around $5,000 if a yearly close below $7,000 is achieved. Alternatively, if $7,000 proves to be reliable support, bitcoin could be given another chance to rebound back towards $8,000 and beyond. The halving in May will play a central role in guiding the prices higher,But, once the bull-run is a go and prices cross the $20,000 mark again, there is no going back. There is potential for bitcoin to trade north of $20,000 following the halving, with prices closely following the cryptocurrency’s mining activity, “People have formulas in place for mining. It has to be profitable to mine. The price can’t be totally outside of the norm, Prior to that, however, there is room to head lower. Historically, January and February are weak periods for bitcoin. “But, as we progress through the year, bitcoin starts climbing. Towards summer and fall, we see the most activity and then it winds down towards year-end.
In the meantime, more banks and institutions started looking at bitcoin as the world braces for the new decade and all it could bring. In its latest Imagine 2030 report, Germany’s Deutsche Bank asked whether fiat currencies will survive and what it could mean for alternative assets such as gold and bitcoin.
“The forces that have held the current fiat system together now look fragile and they could unravel in the 2020s,” Deutsche Bank strategist Jim Reid wrote in the report that looks at alternative ideas for the next decade. “If so, that will start to lead to a backlash against fiat money and demand for alternative currencies, such as gold or crypto could soar. The demand for alternative currencies will therefore likely be significantly higher by the time 2030 rolls around.”
Trading positions update
A rebound in the DXY and all-time high prices we are witnessing in the U.S. stock indices has proven to be slightly bearish for the precious metal sector however despite the growing momentum in the U.S. housing sector the gold market continues to trade in a tight range seeing little reaction which we might say would be bullish for the metals. At the same time, building permits data, which is a precursor to future projects, was up 1.4% at 1.482 million lath month, up from October’s revised level of 1.461 million. We need to keep in mind that the U.S-China trade deal is still the most crucial thing which would affect the prices significantly. The phase 1 deal has yet to be signed and there are many skeptics that wonder how China will be able to purchase $40 billion worth of agricultural products, which is about double the previous record-high annual China ag purchases from the U.S.Technical chart and Economic indicators are giving a mixed picture however leaning more towards the bearish camp but we are taking caution and In order to secure our profit We have moved our stop loss in Gold at $1503 and In silver at $18. At the moment gold is near a key technical area – the 10-day moving average of $1,470.59 and the 20-day of $1,471.88. If gold can rally above here, the market may gain some technical momentum however the bigger resistance for gold stands at $1500(psychological level) and $1525 level. Overall it seems the rally we could see in the sector is fairly limited compared to the major breakdown within the precious metal sector which is yet to be seen.
Please, note-The Sole purpose of this service is to let you know the changes we are making in our own crypto portfolio-questions like when to sell when prices are overvalued or when to buy when prices are undervalued can be easily addressed by our portfolio
It doesn’t matter whether you love, hate or totally ignore bitcoin, the cryptocurrency space is looking to become more popular or mainstream in the new year and the new decade to come, according to analysts.we have already seen bitcoin prices to plunge around $3000 and then peaked just below $14,000 in June. Since then, bitcoin has somewhat stabilized around the $7,000 level. At the time of writing, bitcoin was trading at $6,942.00.Going forward, regulation and mass adoption will be the key drivers keeping bitcoin prices supported. Bitcoin has been winning the crypto race of mass-adoption, which is a sign that prices will head higher, said Bloomberg Intelligence senior commodity strategist Mike McGlone.The latest move above $6,500 signaled an end to the bear market, many analysts pointed out. This could be a major shift for the cryptocurrency, which has been struggling after hitting its record-highs of nearly $20,000 back in December 2017.
The main risk events surrounding the cryptocurrency in 2020 are the halving, scheduled for May, and more regulation. Both could really boost prices higher. Bitcoin halving is a recurring event programmed into the cryptocurrency every four years or every 210,000 blocks until the year 2140 when all 21 million bitcoins are estimated to have been mined. What it essentially does is slow bitcoin mining. May’s halving will see 50% fewer bitcoins generated every 10 minutes.
The effects of next year’s halving are being actively debated by the crypto community with some experts predicting a 2017-like bull-run. Bitcoin halving has led to bullish price moves in the past. After the 2012 halving, prices surged a year later to over $1,000 for the first time ever. After the 2016’s halving, bitcoin also went on a bull run, which saw prices near $20,000 for the first time ever. One of the most important things to understand about the next halving is that it will lower the reward for mining bitcoin blocks from 12.5 bitcoins to 6.25 bitcoins, which will make mining more expensive, said Interlapse Technologies CEO and Coincurve co-founder Wayne Chen. There is a good chance that prices could quickly double and hit new record highs in the middle of next year after bitcoin halves.
The halving impacts bitcoin’s supply-demand equilibrium, explained Charles Hwang, adjunct professor at Baruch College and managing member of the hedge fund Lightning Capital.
“The supply right now that is being released through coinbase transactions is 647,000 bitcoin over the span of the last 12 months. The demand is very close to that,” Hwang said. “What we’ll see in May when the supply gets reduced due to the halving event, is a supply shock where the supply for the next 12 months (after May 2020) will be cut in half to 328,500 while the demand might remain over 600,000.”
Bitcoin might not rise right away, but the effects will be eventually reflected in the price. “Based on historical charts, the market does not go up right away. It takes at least a year. Eventually, we might see moves up like in previous halvings. The other driver is regulation and it is the next best thing that could happen to bitcoin in 2020.
“For Canada, there is a big regulation coming, where virtual currency companies need to be regular as money-service businesses. There is going to be more regulatory oversight. It is a good thing. It makes institutions a little bit more receptive to doing business with crypto companies,” he said. “With crypto right now we are in a state where we need more big retail players to help with driving adoption and help people understand it.”
Regulatory policies will drive sentiment going forward, added Holmes, noting that any new announcements might cause short-term volatility.
Bitcoin price projections are as volatile as the cryptocurrency itself. Ranging from Max Keiser’s $100,000 and “infinity” in dollar terms comments to gold bugs’ collapse calls, bitcoin has been very difficult to predict. Prices could sink lower to levels not seen since April 2019 around $5,000 if a yearly close below $7,000 is achieved. Alternatively, if $7,000 proves to be reliable support, bitcoin could be given another chance to rebound back towards $8,000 and beyond. The halving in May will play a central role in guiding the prices higher,But, once the bull-run is a go and prices cross the $20,000 mark again, there is no going back. There is potential for bitcoin to trade north of $20,000 following the halving, with prices closely following the cryptocurrency’s mining activity, “People have formulas in place for mining. It has to be profitable to mine. The price can’t be totally outside of the norm, Prior to that, however, there is room to head lower. Historically, January and February are weak periods for bitcoin. “But, as we progress through the year, bitcoin starts climbing. Towards summer and fall, we see the most activity and then it winds down towards year-end.
In the meantime, more banks and institutions started looking at bitcoin as the world braces for the new decade and all it could bring. In its latest Imagine 2030 report, Germany’s Deutsche Bank asked whether fiat currencies will survive and what it could mean for alternative assets such as gold and bitcoin.
“The forces that have held the current fiat system together now look fragile and they could unravel in the 2020s,” Deutsche Bank strategist Jim Reid wrote in the report that looks at alternative ideas for the next decade. “If so, that will start to lead to a backlash against fiat money and demand for alternative currencies, such as gold or crypto could soar. The demand for alternative currencies will therefore likely be significantly higher by the time 2030 rolls around.”
Trading positions update
A rebound in the DXY and all-time high prices we are witnessing in the U.S. stock indices has proven to be slightly bearish for the precious metal sector however despite the growing momentum in the U.S. housing sector the gold market continues to trade in a tight range seeing little reaction which we might say would be bullish for the metals. At the same time, building permits data, which is a precursor to future projects, was up 1.4% at 1.482 million lath month, up from October’s revised level of 1.461 million. We need to keep in mind that the U.S-China trade deal is still the most crucial thing which would affect the prices significantly. The phase 1 deal has yet to be signed and there are many skeptics that wonder how China will be able to purchase $40 billion worth of agricultural products, which is about double the previous record-high annual China ag purchases from the U.S.Technical chart and Economic indicators are giving a mixed picture however leaning more towards the bearish camp but we are taking caution and In order to secure our profit We have moved our stop loss in Gold at $1503 and In silver at $18. At the moment gold is near a key technical area – the 10-day moving average of $1,470.59 and the 20-day of $1,471.88. If gold can rally above here, the market may gain some technical momentum however the bigger resistance for gold stands at $1500(psychological level) and $1525 level. Overall it seems the rally we could see in the sector is fairly limited compared to the major breakdown within the precious metal sector which is yet to be seen.
