All posts by Thomas_Prendergast

Kyber Network Unveils Kyber Community Pool (KCP) For Users

Kyber Network Unveils Kyber Community Pool (KCP) For Users

has announced the news about the launch of its highly anticipated delegation pool system, the Kyber Community Pool. The blockchain entity stated that KCP is not developed, maintained, or funded by the core team of Kyber Network. The entity received funding by initiating the idea for the pool in the second KyberDAO experiment case. The news was circulated in the media through an official post by the Kyber Network team on their Twitter portal. It read:

According to the blog post, the Kyber Community Pool is studded with a wide range of features that make it stand out from other platforms. The users can earn similar rewards as they would have earned if they would have cast the votes themselves. There is no hidden fee charge associated with the participation in the Kyber Community Pool. One of the most prominent features of KCP is that the network will always keep the community at the heart of the pool, which implies that the focus shall remain on community development. All the KNC token holders will be enriched with a sense of trust and assurance that their KNC is being employed in a community-driven manner that is beneficial and righteous. Another reward for the pool participants is that the system will give priority to the community thoughts when governing the protocol.

The users will be allowed to deposit their KNC assets into the pool, giving them full authority to the pool master to deal with them. All the funds shall be managed by Protofire’s smart contracts and audited by the Kyber Network and ChainSecurity. A share of fees generated on Kyber Network shall be awarded to the users in ETH tokens. One can store their rewards or redeem them regularly via a Web3 transaction on the main Kyber Community Pool website. The users can enter the amount they want to redeem and click the Redeem option. Kyber Network thrives to cater to its community’s requirements by giving them a voice to be heard by the community members. KCP will lay special emphasis on communication and getting the reviews of one and all regarding an active proposal in the discussion. This shall be executed by maintaining thorough contact with everyone through multiple social media platforms like Telegram, Reddit, Twitter, and Discord. The team will remain in constant contact with their users by conducting bi-weekly calls to them.

Article Produced By
David Cox

David is a finance graduate and crypto enthusiast. He projects his expertise in subjects like crypto and Blockchain while writing for CryptoNewsZ. Being from Finance background, he efficiently writes Price Analysis. Apart from writing, he actively nurtures hobbies like sports and movies

https://www.cryptonewsz.com/kyber-network-unveils-kyber-community-pool/

TP

We’re Living in an Ethereum World

We’re Living in an Ethereum World

Wow! Look at it go! I’m talking, of course, about crypto’s ever-expanding market cap, touching US$800 billion as I write these words. Yes, that’s very close to a trillion bucks. And it’s still growing. At the start of the year (just over 5 days ago), we sat around US$670 billion, when seemingly out of nowhere, we all started watching the Ethereum (ETH) funds in our digital wallets expand in fiat value.

A World of Smart Contracts

As its market capitalization skyrockets – first to US$750, then to US$1,000 – Ethereum may not be finished yet. But ETH isn’t the only game in town. Altcoins utilizing the Ethereum blockchain, incorporating smart contracts into their peer-to-peer platforms, are also benefiting greatly from the influx of cash into our favorite exchanges. As an example, Ethlend (LEND), a little-known lending platform based on ETH and ERC20 tokens, has more than doubled in price with the new growth. The price of Tron (TRX), a planned digital media platform that will transfer user information across games, social media sites and even casinos, shot up from 5 cents to over 20 (quadrupling once again) in the initial stages of this new cash influx (yeah, I know, it’s fallen a bit since). But these aren’t the only examples. Go ahead and look at your own wallet(s) if you haven’t in the last week or so. You might be surprised at what you find. It seems it’s an Ethereum-based world we live in now, and this doesn’t look to be the regular pump-and-dump kind of action we came to expect from the half trillion-dollar market of yesteryear.

Predictability in the Market

Better still, the rise of all of our favorite altcoins (I’m thinking outside of the mainstream coins on Coinbase here) is happening on a somewhat predictable schedule associated with the slight dips we see in the price of Ethereum. In this new crypto-universe, it seems money no longer holds fast to Bitcoin’s (BTC) gravitational pull. Instead, after transferring Ethereum over to the exchanges, it is traded out to some degree for these smaller, lesser known coins. And why not? How many quadruplings, how many 1,000% gains, have to occur before we all realize where the real money is in the crypto space?

Bitcoin (BTC) is Still King

With great reward comes great risk, however. And as we dip our toes into the expanding options offered on these burgeoning exchanges (I’m looking at you, Binance), we should both fear and respect the influence of the king, Bitcoin. After all, with this much money in the market, there should be no doubt any longer that Bitcoin has survived the shock of winter and is coming right back to secure its place at the top of the heap (not that it ever lost its position). And when BTC rises, the influence of Ethereum is again lost (if only temporarily). And with Lite-speed (we see you, Litecoin), our gains from the day seemingly vanish as the masses clamor to secure their wealth in this awesome powerhouse of value. With that said, you’d better believe that Bitcoin is still very much king around here. It’s just not the only player in town anymore.

Conclusion

So whether you are an Ethereum or a Bitcoin believer, chances are that you will do well this year, as there just may be room for both with this brand new market cap. For Ethereum, the utility of the product and its derivatives are undeniable. The smart contract and its effects on all of our lives will no doubt be solidified and documented throughout the year(s). And as for Bitcoin, the ultimate storage for our coveted satoshi, we should probably all still pay homage when we’ve reached a comfortable level of gains in the alternative currency market (if we wish to keep them).

Article Produced By
Micah C. Miracle

https://themerkle.com/an-ethereum-eth-based-world/

TP

Ethereum Price Analysis for June 23th – ETH May Go On Growing

Ethereum Price Analysis for June 23th – ETH May Go On Growing

if the current impulse preserves. On Tuesday, June 23rd, it is generally trading at 241.90 USD. On D1, ETH/USD is winding up a correction in an uptrend. The quotations keep trading near the lower border of the ascending channel. The price presently remains between 61.8% and 100.0% Fibo. The MACD remains above zero. Judging by all the factors, we may expect a minor correction to the lower border of the ascending channel and a bounce off it, after which the pair will go on growing. The aim of the growth remains at 265.00 USD. On H4, the pair is also correcting in an uptrend. The Stochastic has formed a Golden Cross, which may be an additional signal of a bounce off the lower border of the ascending channel. The growth is aiming at 265.00 USD. However, a deep correction to 220.00 USD is also possible.

The story with those huge commission fees paid by an ETH user would not end. It has become known that the Chinese mining pool F2Pool found a way to return 540,000 USD to the validator. On June 11th, the user transferred 753,000 ETH, for which they had to pay half a million dollars more as a commission fee. The next day, they got in touch with the mining pool and managed to confirm their personality. It turns out that the wallet of the client got attacked – this was the reason for the ridiculous fee. The initial address of the client is obviously controlled by the hackers, so the pool considered it unreasonable to send the money back there, so the commission fee was returned to a new address. Curiously enough, the user gave 10% of the sum to the pool as a thank you for cooperation. It is hard to ignore the fact that in the crypto world, huge commission fees are collected for minor sums more and more often. This signals that the weak points in the nodes and safety systems have become available to hackers.

Article Produced By
Dmitriy Gurkovskiy

Chief Analyst at RoboForex

https://themerkle.com/ethereum-price-analysis-for-june-23th-eth-may-go-on-growing/

TP

Why the Market Dominance of Binance is a Big Risk

Why the Market Dominance of Binance is a Big Risk

the ideals of this new generation of digital currencies were clear: empower individuals to manage their own finances without reliance on a centralized force. Despite these ideals, Binance has risen up to become the de facto emperor of the cryptocurrency industry with the power the sent the entire industry tumbling into a tailspin — should another Mt. Gox-esque breach occur again. 

The Binance Problem

Since Binance launched in 2017, its growth has been nothing short of meteoric, quickly rising to become the number one cryptocurrency spot exchange by trading volume. Binance took just months to secure its position as the largest and therefore most popular cryptocurrency spot exchange platform, and it can be argued that much of this success is a result of its rapidly-expanding feature set. After all, in the last year alone, Binance has introduced cryptocurrency derivatives, staking support, savings products, fiat gateways, and more, massively expanding on the initial offerings it launched with. Although this sounds appealing, it’s important to remember that Binance isn’t actually innovating in most cases, and is simply adding features that have already existed on separate dedicated platforms for quite some time. 

Because of this, while Binance can be considered a jack of all trades, it is also the master of none, since dedicated platforms frequently offer better service, improved security, and a more feature-complete solution compared to Binance. Still, Binance remains a rapidly growing entity, hoovering up users from other small platforms, while providing an arguably worse service in many cases. This rapid growth has led to a concerning stage of affairs, where a single platform controls or manages a large chunk of all cryptocurrencies in circulation — exactly the opposite of the decentralized maxims the industry was initially launched under. Cryptocurrencies are supposed to be about removing centralized failure points and empowering users to be their own bank, not handing over power to a select few industry titans.  

When One Hack Could Cripple the Industry

The risks posed by the over-aggregation of assets under a single platform was made clear back in May 2019, when an unknown attacker was able to exfiltrate $40 million worth of Bitcoin (BTC) from its hot wallet — equivalent to around 2% of its Bitcoin holdings at the time. Although Binance was able to cover the loss using its ‘SAFU’ fund, it never did reveal exactly how attackers were able to pull off the hack in the first place. This begs the obvious question — what would happen if Binance were to experience a more significant breach, potentially risking the billions of dollars in digital assets held in its coffers?

If the events that followed the infamous 2014 Mt. Gox hack are anything to go by, then such a breach would almost certainly send the entire cryptocurrency industry into an extended bear market, and could significantly hamper adoption for several years.This is particularly worrying when you consider that Binance isn’t regulated or licensed anywhere. This essentially means the platform is operating with little to no regulatory oversight, and may not be held accountable should another breach exhaust its SAFU fund and cripple the market.Upon entering the cryptocurrency space for the first time, Binance is inevitably one of the first names people come across, making it one of the first port-of-calls for many new investors. However, Binance is far from the only reputable name in the industry, while many of its smaller competitors boast features that even the juggernaut that is Binance still struggles to match.

For those looking for a regulated alternative, Bityard stands out as arguably the most impressive. The platform is one of the simplest cryptocurrency derivatives trading platforms, allowing users to trade with up to 100x leverage to multiply their profits, while its daily mining game adds an interesting incentive for new traders. Bityard is currently licensed in four jurisdictions and offers a full refund warranty for deposits — an extremely rare feature in the cryptocurrency exchange space. If absolute variety is your preference, then FTX might be more of what you are looking for. As a derivatives exchange, FTX allows users to trade a variety of cryptocurrency futures contracts, but its real stand out feature is its forex, stock index, and commodity contracts, which can be bought and settled in cryptocurrency. PrimeXBT’s ultra-fast turbo platform, StormGain’s 10% APR on deposits offer, and EXMO’s wide fiat support also stand out as promising features that are yet to be equaled by Binance, and are certainly worth a look. 

Article Produced By
JP Buntinx

JP Buntinx is a FinTech and Bitcoin enthusiast living in Belgium. His passion for finance and technology made him one of the world's leading freelance Bitcoin writers, and he aims to achieve the same level of respect in the FinTech sector.

https://themerkle.com/why-the-market-dominance-of-binance-is-a-big-risk/

TP

Bot rentals in DASH and BCH are now available at deepTradeBot

Bot rentals in DASH and BCH are now available at deepTradeBot

deepTradeBot, a SaaS service for crypto traders, is proud to announce that two popular crypto currencies have became available at the platform. The traders are welcome to use them for refilling their platform balances and bot rental operations. The both payment options have appeared in the platform internal wallet and are ready to be used right now.Earn passive income with Quadency trading bot. Connect Binance account and use Quadency bot for 6 months completely free. Hurry up, this deal is not around for long!

The company CEO Jim Stokes comments it on: «The summer has come, but our team works hard and doesn’t plan to slow down. In the nearest future you will see much more useful and quality updates on the platform. Our goal is to keep the trading process simple, easy and quick, for our traders. We’re now working on improving the interface, and integration of new opportunities into our solution. I sincerely hope that after each new successful update traders like our product more and more. Thanks for choosing deepTradeBot and thanks for staying with us friends».

To integrate these new options deepTradeBot has acceded the requests of about 3300 of their active traders. On that occasion Jim Stokes says: «This time we didn’t focus on any targeted surveys or interviews of our clients. We have just received multiple requests to add new payment options during our support team’s communication with traders. But now we have came to a conclusion that we will make such surveys to give everybody a chance to express their opinions. Thus from today you can notice non-intrusive pop-ups with surveys on the platform. Our clients’ opinions are very important for us, so please tell us what you think – don’t hesitate to vote».

About deepTradeBot: deepTradeBot.com is a trading robot that makes profit from the margin of digital assets prices, on various trading platforms, making the maximum from the slightest changes in the world market. The platform provides their bot rental services to anyone interested.  Two new crypto currencies have been added as a payment options to deeptradeBot platform deepTradeBot, a SaaS service for crypto traders, is proud to announce that two popular crypto currencies have became available at the platform.

The traders are welcome to use them for refilling their platform balances and bot rental operations. The both payment options have appeared in the platform internal wallet and are ready to be used right now.Earn passive income with Quadency trading bot. Connect Binance account and use Quadency bot for 6 months completely free. Hurry up, this deal is not around for long!The company CEO Jim Stokes comments it on: «The summer has come, but our team works hard and doesn’t plan to slow down. In the nearest future you will see much more useful and quality updates on the platform. Our goal is to keep the trading process simple, easy and quick, for our traders. We’re now working on improving the interface, and integration of new opportunities into our solution. I sincerely hope that after each new successful update traders like our product more and more. Thanks for choosing deepTradeBot and thanks for staying with us friends». To integrate these new options deepTradeBot has acceded the requests of about 3300 of their active traders.

On that occasion Jim Stokes says: «This time we didn’t focus on any targeted surveys or interviews of our clients. We have just received multiple requests to add new payment options during our support team’s communication with traders. But now we have came to a conclusion that we will make such surveys to give everybody a chance to express their opinions. Thus from today you can notice non-intrusive pop-ups with surveys on the platform. Our clients’ opinions are very important for us, so please tell us what you think – don’t hesitate to vote». About deepTradeBot: deepTradeBot.com is a trading robot that makes profit from the margin of digital assets prices, on various trading platforms, making the maximum from the slightest changes in the world market. The platform provides their bot rental services to anyone interested.

Article Produced By
Rene Peters

Rene Peters is editor-in-chief of CaptainAltcoin and is responsible for editorial planning and business development. After his training as an accountant, he studied diplomacy and economics and held various positions in one of the management consultancies and in couple of digital marketing agencies. He is particularly interested in the long-term implications of blockchain technology for politics, society and the economy.

https://captainaltcoin.com/bot-rentals-in-dash-and-bch-are-now-available-at-deeptradebot/

TP

Will Chaos in U.S. Surge Bitcoin above $10,000 Again?

Will Chaos in U.S. Surge Bitcoin above $10,000 Again?


Since Floyd’s death on May 25 in Minneapolis, Minnesota, civil unrest has sprung up across the country.

Six states and 13 cities have declared states of emergency, and the National Guard has been called to help in 21 states and Washington, DC. We can say that the States is in the crisis now – on one hand, the Covid-19 in the U.S. has not yet thoroughly been in control; on the other hand, the massive protests over the death of George Floyd may lead to a potential influx of coronavirus cases, a new breakout may occur. And the U.S. economic recovery will be threatened again. 

Bitcoin is the Safe Haven Asset

During the civil unrest in the States and tensions between the U.S. and China, U.S. dollar price keeps a downtrend movement. And according to CBO’s saying that the U.S. will take about 10 years for economic recovery from the coronavirus crisis, Bitcoin’s status as a “Safe Haven assent” is consolidated, which can allow people to “opt-out” of the current, broken monetary system. At the press time, after failing to remain above $10,000, Bitcoin is trading around $9,550, up 0.80%. May marked the “highest monthly close on BTC in over 7 months.” So far, in 2020 BTC/USD is up 30.58% and nearly 50% in Q2 of 2020. And now Bitcoin volatiles between $9,500 – $9,600, which makes futures trading more profitable. 

How to Make Huge Profit When Bitcoin Price is Going Up

Earn passive income with Quadency trading bot. Connect Binance account and use Quadency bot for 6 months completely free. Hurry up, this deal is not around for long!Bexplus is a crypto trading platform focused on 100x crypto futures. Bexplus was established in late 2017 and registered in Saint Vincent and the Grenadines. Bexplus has offices in Singapore, Japan, the US and Brazil and is constantly expanding worldwide. Bexplus provides 100x leverage perpetual futures contracts on BTC, ETH, LTC, EOS and XRP. Traders are allowed to bet on market rising and falling. 

  • Fast Registration & no KYC

Bexplus allows you to register an account with email in 30 seconds, and NO KYC is required. You don’t have to worry about risking your personal information. 

  • Up to 10 BTC deposit bonus

Get 100% BTC bonus when finished deposit in Bexplus. Each user can get a maximum of 10 free BTC at one-time deposit. Deposit 10 BTC, you will get 20 BTC credited in your account. 

  • Trading Simulator for Beginners

To help beginners better get used to leveraged trading, Bexplus provides every user with a demo account upon registration. There are 10 replenishable BTC in the demo account for traders to practice as much as they like. 

  • Android & iOS Trading App

Bexplus full-featured app provides you with the same experience when trading in web. You can get 24/7 price alerts and get profits on the go. All data and assets can be accessed through all kinds of devices including Windows, Macbook, Android phones, iPhones, and tablets. Bexplus app is available on Apple App Store and Google Play.

Article Produced By
Rene Peters

Rene Peters is editor-in-chief of CaptainAltcoin and is responsible for editorial planning and business development. After his training as an accountant, he studied diplomacy and economics and held various positions in one of the management consultancies and in couple of digital marketing agencies. He is particularly interested in the long-term implications of blockchain technology for politics, society and the economy.

https://captainaltcoin.com/will-chaos-in-u-s-surge-bitcoin-above-10000-again/

TP

Bitcoin Formed a Recent Top? A New Bearish Trend is Coming!

Bitcoin Formed a Recent Top? A New Bearish Trend is Coming!


After taking another failed run at $10,000 level, Bitcoin price has shed around 5% on Monday

– declining from $9,500 to as low as $8,900, which is the first time that BTC prices below $9,000 since late May. Some believed that the decline of bitcoin this time seems to a “bear trap”, while others think it will drop to retest the $7,000 level. Let’s take a look from the technical analysis aspect. 

Technical analysis signals a mid-term bearish movement

According to Justin Kwok, the analyst director from Bexplus exchange predicted that the bitcoin market has constituted a decisive top, a mid-term bearish run may kickstart. Bitcoin has continued trading around $9,400 overnight, struggling to garner any clear momentum as its buyers and sellers both reach an impasse. On the 4H chart, BTC price broke the lower band of the Bollinger Band. In addition, the bands separated, the uptrend movement might be ending and the volatility increases. Though bitcoin price pulled back soon after hitting the lower band, the Stoch RSI is about 85 which indicates an overbought state. It signals that a strong demand for lower low may exist. Therefore, in the short or mid-term, Bitcoin market may continue a bearish run.

Bitcoin Futures Trading – Earn Money during BTC Bear Market

Earn passive income with Quadency trading bot. Connect Binance account and use Quadency bot for 6 months completely free. Hurry up, this deal is not around for long!From the prediction above, we know that Bitcoin may start a downtrend movement for a period of time, investing funds in spot trade will only cause loss but nothing else. Bitcoin futures trading can help you make profits even in the market downturn and hedge loss in spot trades. Leverage trading is the key feature in Bitcoin futures trading, which is a tool that allows traders to take profitable advantages of small price movements and multiply gains.

In addition, futures trading enables traders to buy/long or sell/short, giving traders more chance to make money from the BTC market. Different exchanges provide different leverage ratio. The higher leveraged trading can lead to massive returns, but also to equally massive losses if you make wrong prediction on the market trend. 100x leveraged bitcoin futures trading is very popular among professional traders and whale investors. For instance, let’s say that you want to invest 1 BTC in btc futures contracts with 100x leverage and going short (i.e. when BTC drops from $9,400 to $9,000). 

In bitcoin futures trading:

You will gain 100 BTC * ($9,400 – $9,000) /$9,000= 4BTC (which is equals to $36,000).  In bitcoin spot trade, you will lose $400. Bexplus Exchange is one of the world-leading futures exchanges with no spread in cryptocurrency area. It provides Bitcoin, Ethereum and Litecoin perpetual contracts and more (buy up or sell- short anytime without expiration) with 100x leverage. Added 100x leverage, you can purchase 100 BTC contracts with only 1 BTC as margin. Stop-profit a stop-loss can also be set to lower the risks.

  1. Easy registration with email address. No KYC is required, keep your personal information private.
  2. 10 free BTC for trading simulation.  
  3. Up to 100x leverage. Gain 100% profit on 1% price movement. 
  4. Buy or sell perpetual contracts anytime you want. No expiration.
  5. Ultra-fast and simple withdrawal process.
  6. Cutting-edge security features including two-factor authentication, cold wallet and much more. 
  7. High liquidity. All orders will be executed immediately with low latency.

Deposit Activity to Earn 100% BTC Cashback

To deposit BTC in the Bexplus account, you can earn 100% BTC bonus, which can also be used to trade futures contracts. The more deposit, the more bonus you will get. You can get up to 10 BTC as a bonus! Enjoy an anonymous cryptocurrency betting & casino with 20+ cryptos available and get a generous Welcome Package up to 7 BTC! Use promo code CPTCN1X to get 125% on your first deposit!CaptainAltcoin's writers and guest post authors may or may not have a vested interest in any of the mentioned projects and businesses. None of the content on CaptainAltcoin is investment advice nor is it a replacement for advice from a certified financial planner. The views expressed in this article are those of the author and do not necessarily reflect the official policy or position of CaptainAltcoin.com

Article Produced By
Rene Peters

Rene Peters is editor-in-chief of CaptainAltcoin and is responsible for editorial planning and business development. After his training as an accountant, he studied diplomacy and economics and held various positions in one of the management consultancies and in couple of digital marketing agencies. He is particularly interested in the long-term implications of blockchain technology for politics, society and the economy.

https://captainaltcoin.com/bitcoin-formed-a-recent-top-a-new-bearish-trend-is-coming/

 

TP

P2P Trading Platform CryptoLocally Will Support USDJ and JST

P2P Trading Platform CryptoLocally Will Support USDJ and JST


The TRON Foundation has recently announced the launch of its first decentralized finance (DeFi) project called JUST.

It’s essentially a decentralized stablecoin lending platform. TRX holders will be able to participate and govern the issuance of a new stablecoin called USDJ, the value of which will be pegged to the US Dollar 1:1. JUST (JST), on the other hand, is the protocol and the governance token of the JUST Network. Those who hold JST will be able to vote on the issues which are associated with the operation of the issuance platform. USDJ is issued through a decentralized lending platform, and it’s intended to created collateralized debt positions that are backed by cryptocurrencies. It’s part of a supposedly growing category of digital assets that are specifically intended to counter the risk of volatility that’s associated with most of the cryptocurrencies. It’s also the very first natively developed stablecoin on the TRON network, and it’s reportedly a lot more compatible with daily transactions.

Despite being relatively new, the two tokens have already been listed for trading on some of the well-known cryptocurrency exchanges. Poloniex is one of them, but more recently, so did the popular peer-to-peer trading platform CryptoLocally. This signals for further expansion of its efforts into the ecosystem of TRON. As it shifted towards a multichain peer-to-peer trading platform, CryptoLocally previously added the TRON-based USDT and TRX. It’s also worth noting that the platform is non-custodial, meaning its operators are not able to touch the customer’s funds. All of the transactions that are facilitated by CryptoLocally are reportedly protected by a smart contract escrow service. It’s intended to shield both the buyer and the seller throughout the entire transactional process. It offers a combination of comprehensive payment options and an easy-to-use trading platform, making it a relatively convenient way to transact with USDJ and JST.

About CryptoLocally

CryptoLocally is a peer-to-peer cryptocurrency trading platform. It offers a wide range of different payment options. The platform is straightforward to use, and it operates with a lot of different fiat currencies.

Article Produced By
George Georgiev

Georgi Georgiev is CryptoPotato's editor-in-chief and a seasoned writer with over two years of experience writing about blockchain and cryptocurrencies. Georgi's passion for Bitcoin and cryptocurrencies bloomed in late 2016 and he hasn't looked back since. Crypto’s technological and economic implications are what interest him most, and he has one eye turned to the market whenever he’s not sleeping.

https://cryptopotato.com/p2p-trading-platform-cryptolocally-will-support-usdj-and-jst/

TP

Bitcoin Price Analysis: Decision Time Facing Now Huge Resistance Area – Hidden Divergence?

Bitcoin Price Analysis: Decision Time Facing Now Huge Resistance Area – Hidden Divergence?

trading area that followed its price action for quite some time. Bitcoin is known for its volatility and does not tend to stay at one place for long, or trade at a tight range of 3-4% for days already. As we can see on the following 4-hour chart, the Bitcoin price is forming a giant symmetrical triangle for almost a month. This triangle apex is expected sometime in the next week; however, a breakout can occur at any time, usually before the apex itself. Anyways, a decision has soon to be made, also judging by the declining amount of trading volume.

What’s Next?

Symmetrical triangles have chances to break either way. However, we need to keep in mind that Bitcoin is now facing the top angle of the triangle as resistance, along with the $9400 mark, which had been a tough resistance for Bitcoin over the past week. Looking at the 4-hour RSI, we can identify a hidden bearish divergence, whereas the price is going through lower highs while the RSI indicator is going through higher highs. This might indicate on an upcoming bearish move. Another thing to keep in mind is the correlation between the Bitcoin price and the markets. Bitcoin might be waiting to see how Wall Street futures would open (Sunday afternoon U.S. time) and act accordingly.

Key Support and Resistance Levels

As mentioned above, the first significant resistance now lies at $9400, along with the triangles upper trend-line (marked blue on the 4-hour chart) and the 50-days moving average line (the pink line). In case of a breakout, we can expect Bitcoin to reach $9500 – $9600 quickly. Further above lies the daily chart’s yellow descending trend-line, currently around $9800. From below, the first significant support level is $9200, followed by $9130 and $9000. Further below lies the $8900 – $9000 area, which is also this week’s low. Total Market Cap: $265.8 billion, Bitcoin Market Cap: $172 billion, BTC Dominance Index: 64.8%, *Data by CoinGecko

Article Produced By
Yuval Gov

Yuval Gov has over 15 years of trading experience in the stock exchange, graduated from TAU – Economics and Management. Fell in love with the crypto space. Does Crossfit to get away from FOMO.

https://cryptopotato.com/bitcoin-price-analysis-decision-time-facing-now-huge-resistance-area-hidden-divergence/

TP

What are Bitcoin and Crypto Futures? Guide For Beginners

What are Bitcoin and Crypto Futures? Guide For Beginners

What Are Bitcoin & Crypto Futures?

Crypto futures are a way to trade the future price action for crypto assets. Bitcoin futures are the most common crypto futures, hitting the mainstream financial world around this time last year. The Chicago Mercantile Exchange (CME) and the Chicago Board Options Exchange (CBOE) listed cash-settled Bitcoin futures trading products in December last year. Cash-settled means these futures are not backed by actual Bitcoin. When the futures contracts expire, the value is paid out to the trader in cash instead of Bitcoin.

Online broker Trade Station explained futures contracts in a simple fashion. They are “an agreement to make or take a delivery of a commodity or financial instrument at a fixed date in, you guessed it, the future.” Each futures contract contains a specified amount of the traded product. In the example of CBOE Bitcoin futures, each futures contract contains one Bitcoin and is settled based on the Gemini crypto exchange auction price for Bitcoin. These futures contracts (in this case, Bitcoin) can be bought or sold at will by the trader at any point within the contract time frame, as market supply and demand dictate the price of the contract and the underlying asset (Bitcoin). So as a trader or market price speculator, futures allow you “to take futures positions, along with their risk and opportunities, without ever having to take delivery of the underlying asset,” as explained by Trade Station.

How Does Futures Trading  Work?

On the CME or CBOE, traders can earn or lose money speculating on the price of Bitcoin, without actually buying or holding the underlying asset.

Buying Bitcoin Futures (also called “going long” or “longing”)

A significant portion of futures trading involves trading these contracts multiple times between contract open and contract expiration. Trading Bitcoin futures often involves constantly adapting to changing market sentiment, buying and selling contracts based on Bitcoin’s spot price accordingly. For example, say a trader named Dave decided to trade those Bitcoin monthly futures several times during a November 1st – December 1st contract period (fictional for this example). Dave could essentially buy into a Bitcoin futures contract position at any point in this time period at market price (Bitcoin’s price at the time of purchase) and then sell at any point before the December 1st expiration, seeing either profit or loss based on Bitcoin’s spot price. Dave would be paid out in cash depending on the profit or loss outcome.

A specific example of a trade Dave could take, could see him buying a Bitcoin futures contract at $3,100 on November 8th, and then selling on November 10th for $3,200 (if Bitcoin’s spot price rose that much in that time period), seeing a $100 profit, paid out in cash. Although if the price instead went from $3,100 to $2,900, and Dave sold the contract at $2,900, he would only receive a payment of $2,900 back, seeing a loss of $200.

Selling Bitcoin Futures (also called “going short” or “shorting”)

Dave also has the option to short-sell Bitcoin futures. This basically means betting that Bitcoin will fall in price in the future. When Dave short-sells a Bitcoin futures contract, it means that he borrows one Bitcoin futures contract from someone else on the exchange and sells it, hoping to buy the contract back at a lower price and keep the price difference. This is done by the exchange, so traders do not have to individually seek out contracts to borrow and then give back later.

For example, if Bitcoin’s spot price is at $3,000 on November 3rd and Dave thinks it will fall to $2,000 by November 18th, then he would sell a Bitcoin futures short contract utilizing CME or CBOE exchange features. If Dave sold one Bitcoin futures contract short at $3,000 on November 3rd, and the price fell to $2,000 on November 18th, he would buy the contract back and receive a cash payout of $4,000 (his initial $3,000 plus a $1,000 profit). In the same short trade example, once Dave entered his short position at $3,000, he would be able to close that position at any point, up until the December 1st expiration. So if Dave sold one short contract at $3,000 on November 3rd, and Bitcoin’s spot price dropped to $1,500 on November 8th, Dave could buy that contract position back at his discretion, thus ending the trade and taking home a profit of $1,500. On the other hand, if Bitcoin’s spot price rose to $4,500, and Dave chose to end the trade, he would terminate the contract and take a loss of $1,500.

What is Contract Expiration and Settlement?

Contract Expiration is the date at which futures contracts expire and end trading activity. “Prior to the expiration date, traders have a number of options to either close out or extend their open positions without holding the trade to expiration, but some traders will choose to hold the contract and go to settlement,” explained CME Group on their website. Contract settlement also occurs on a specified date. CME Group explained settlement as “the fulfillment of the legal delivery obligations associated with the original contract.” Therefore, on the specified date, the amount of the underlying asset would be given to the holder of the contract, at the market price at the time of settlement. Since CME and CBOE Bitcoin futures are cash-settled, the contract holder would receive the fiat (USD, etc.) value of the contract’s price at the time of settlement. For further info: CME Bitcoin futures settlement dates.

Do future settlements have an effect on Bitcoin’s price?

Futures of the global stock exchanges, such as NASDAQ, do have effects on the markets. Hence, it’s widespread to think that CME and CBOE Bitcoin futures carry the same impact on Bitcoin’s price. This is sometimes true. Looking at the Bitcoin’s chart, compared with the futures settlement dates, often there was a price action which is likely to be ahead of the settlement event, but as you will see, not always there’s such action. The following chart shows Bitcoin’s price ahead of the June 29 (2018) CME six-month Bitcoin futures settlement.  We can also see Bitcoin’s price action during the most recent futures settlement on December 28, 2018:Unlike June and December settlement, the futures settled in September 2018 had shown minor Bitcoin fluctuations. To summarize the effects, despite that this could also be only a coincidence, we can assume in a high-probability that the CME and CBOE future settlements do affect the Bitcoin’s price.

BitMEX Bitcoin & Altcoins Future Contracts

Unlike CBOE and CME, BitMEX futures are crypto settled, meaning the underlying crypto asset is delivered upon contract settlement. BitMEX recently announced the addition of several new crypto futures contract listings, paired with Bitcoin. “On 17th December 2018, the March 2019 quarterly ADA (Cardano), BCH (Bitcoin Cash), EOS (EOS), ETH (Ethereum), LTC (Litecoin), TRX (Tron), and XRP (Ripple) futures contracts will be listed,” BitMEX stated in a recent blog post. Since these contracts are paired with Bitcoin, their value is evaluated in terms of their Bitcoin value. Contract sizes for these new contracts are one coin of the specified asset (1 ADA, 1 EOS, etc.). For example, one EOS token would roughly equate to 0.000685 BTC (value at press time). The mentioned futures contracts speculate on the Bitcoin value these new assets will hold at the time of quarterly expiration.

BitMEX Bitcoin Perpetual Futures

BitMEX is famous for these perpetual contracts. Each contract equals $1 USD, with no settlement or expiration date. With these perpetual swap contracts, traders can trade in and out of positions as many times as they see fit, without having to take note of expiration dates as is the case with the CME and CBOE. BitMEX allows its traders to leverage up to 1:100. For more info, visit CryptoPotato’s BitMEX guide for beginners and advanced guide.

However, these perpetual futures contracts do have something called funding, which occurs every eight hours and can impact profit or loss. “You will only pay or receive funding if you hold a position at one of these times. If you close your position prior to the funding exchange then you will not pay or receive funding,” BitMEX explained on their site. Put simply; funding is comprised of an interest rate and a premium or discount. “This rate aims to keep the traded price of the perpetual contract in line with the underlying reference price. In this way, the contract mimics how margin-trading markets work as buyers and sellers of the contract exchange interest payments periodically.”

Bitcoin & Crypto Trading Futures: Pros and Cons

Pros

– The option to bet against the market: Futures are both ways. Hence, you can short against your favorite cryptocurrencies.
– Leveraged Trading: Futures allow you to leverage your capital. This can also be another advantage for crypto-based exchanges because there is always a risk in holding crypto on exchanges (for security reasons).
– Hedging: From the above reasons, trading futures is an excellent method for hedging any portfolio. Instead of selling your BTC, you can buy some short futures to hedge your portfolio during a bear market such as the one we had in 2018.

Cons

– High Risk: Futures are considered the highest risk trading instruments. Pay attention to the liquidation price that the amount of collateral allows you.
– Squeezes can kill: Sudden unexpected short or long squeezes can turn a profitable position into a bloody loss at once. In crypto squeezes and manipulations are part of the game.
– High volatility: On one hand volatility is Heaven for traders; on the other hand, volatility sometimes makes it hard to determine the market sentiment.
– Fees: Borrowing money is never free, sometimes the fees are costly. Fees differ by exchange.

Article Produced By
Benjamin BJ Pirus

BJ is a full time writer, editor, and trader in the cryptocurrency space. He has written countless professional articles for numerous news sites such as Forbes, and other interested parties in the crypto space. He is also a trader, staying up to date with the crypto markets constantly, and dabbling in traditional financial market trading occasionally.

https://cryptopotato.com/what-are-bitcoin-and-crypto-futures-guide-for-beginners/

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