Connect with us

Blockchain

ChainLink rebounds above USD 8.40 after bears sank it new weekly low

Published

on

LINK/USD touched $7.40 after extreme sell-off pressure saw it tumble from highs of $20

ChainLink’s price action has been one full of bleakness over the past few weeks, recent sell-off pressure sending LINK/USD to lows of $7.40. With Bitcoin and the rest of the cryptocurrency market looking weak as of writing, it also appears ChainLink could be in for a continuation of the downtrend if bulls fail to consolidate above $8.00.

Last week’s massive capital flight meant LINK/USD edged further away from it’s all-time high around $20 reached in August as its integration in the DeFi space peaked. Yesterday, the price dropped more than 12% to see it touch a new six-week low. The token is also more than 20% down over the past week, and nearly 58% off its peak.

Despite the downtrend, ChainLink is the top gainer among the top 20 largest cryptocurrencies in the market. LINK/USD is at the time of writing over 400%up on its price since the crypto market crash of March.

LINK/USD technical picture

Most coins are still seeing red, but ChainLink is turning green on the daily chart, with bulls likely to break $8.50 to strengthen its detachment from the rest of the market.

After LINK/USD lost its $9.00 support peg, sellers matched almost unimpeded to crack another major support level around $8.00. The freefall threatened to crash any bullish hopes of retaining support at critical levels that would make establishing a quick rebound to $10.00 in the short term easily achievable.

A look at the daily chart shows that if LINK/USD breaks above the 20-EMA at $10.60, a run to the 50 MA around $13.00 would help confirm a bullish reversal. In between, the 23.6% Fibonacci retracement level at $11.25 presents a notable hurdle.

The RSI is turning north, while the MACD is printing a hidden bullish divergence pattern to suggest bulls are gaining an upper hand.

However, as it is, that all depends on whether ChainLink marines maintain the upside momentum to retake control above $9.20. The area is home to a key price level that marked the latest rejection to a new weekly low of around $7.40.

ChainLink price daily chart. Source: TradingView

LINK/USD is trading around $8.43 and is up 3.13% in the past 24 hours. Meanwhile, BTC/USD and top altcoins are still struggling with selling pressure.

Bitcoin is down 1.5% on the day, trading around $10,240 as of writing, while Ethereum is changing hands at $328 after dropping 2.95%. XRP/USD is at risk of losing $0.22, with its price nearly 5% down.

Source: https://coinjournal.net/news/chainlink-rebounds-above-usd-8-40-after-bears-sank-it-new-weekly-low/

Published

on

Source:

Continue Reading

Blockchain

Investing in Bitcoin: When is it too risky?

Published

on

The probability of losing funds through investing or trading to the point where it is no longer possible to recover the losses is termed as the risk of ruin. The “probability of ruin” is as high or higher than the probability of booking a profitable trade. However, it gets interesting when you think of recovering from losses. Since the risk of ruin is not exactly linear, to recover from a 10% loss you need 11.11% profits. In crypto trading, it is an even bigger challenge, as you add the volatility of cryptocurrency prices to the inherent risk of ruin.

Though FUD has subsided, and the market is what smart money wanted it to be. Crypto traders risk going from a 10% loss to complete ruin, and that is a slippery slope. In the past 3 years, since the historic bull run, if you have made losses because of bad timing or unfortunate trading decisions, you may have an opportunity to make up for your losses in 2020. 

With the improving regulatory stance, there are hopes for a Bitcoin ETF. With bullish sentiments, traders are buying above $11.3k and over 88% HODLers are sitting on unrealized profits. Based on moving PNL charts by Whalemaps, profits are 3 times that of losses in the current phase of the market cycle.

Are you running the risk of ruin?

Moving PNL || Source: Whalemaps

The moving PNL has remained largely positive. Profitable trades are three times that of losses and HODLers are booking unrealized profits, after hodling since 2018 based on the map of spent HODLer Bitcoins.

Post the third halving, the price had dropped to the $8.5k level. This is considered as the fair price of Bitcoin. After hitting the fair price, sentiment slowly turned neutral, and based on the Crypto Fear and Greed Index in the past week, from neutral we are inching towards Greed. Higher demand may be generated from retail buyers, following the increasing demand from institutions. 

Are you running the risk of ruin?

Fear and Greed Index || Source: Alternative

Smart money is pouring in despite the risk of ruin and the low volatility in Bitcoin prices may be key to this institutional investment. Bitcoin reserves on exchanges are at their lowest in the past 180 days and this poses as an excellent opportunity to book profits at reduced risk. The risk of ruin cannot be entirely eliminated and losses cannot be recovered in a few trades, however, the current market with its low volatility minimize risk exposure and offer a come back to retail traders.

Source: https://eng.ambcrypto.com/investing-in-bitcoin-when-is-it-too-risky

Continue Reading

Blockchain

Trading Technologies Signs Applied Derivatives in South Africa

Based in Cape Town, Applied Derivatives provides clients with access to equity and currency derivatives listed on the JSE.

Published

on

Chicago-based Trading Technologies International, a global provider of trading solutions, today announced in a joint statement with Applied Derivatives PTY LTD a new partnership to distribute its flagship TT trading platform in South Africa.

The TT platform provides market access and trade execution through the software-as-a-service (SaaS) delivery model. In addition, the solution provides access to major international exchanges and liquidity platforms.

Join your industry leaders at the Finance Magnates Virtual Summit 2020: Register and vote for the FMLS awards

The platform already serves a wide variety of users, including proprietary traders, brokers, money managers, CTAs, hedge funds, and commercial hedgers, and risk managers.

Based in Cape Town, Applied Derivatives is a securities trading and brokerage firm that provides clients with access to equity and currency derivatives, including futures and options, listed on the JSE Derivatives Market.

Suggested articles

How the OKEx Saga Reveals the Need for Decentralized ExchangesGo to article >>

TT Extends Connectivity to Johannesburg Bourse

Trading Technologies is already offering connectivity to the Johannesburg Stock Exchange (JSE), the largest stock exchange in Africa, via its TT® platform. The JSE was founded in 1887 to facilitate the explosion of trade sparked by the discovery of gold. The exchange lists more than 500 stocks, with mining companies making up one-third of those stocks.

Designed specifically for professional traders, TT now allows global user base to trade all derivative products listed on South Africa’s main bourse. The platform incorporates a wide range of customizable tools to accommodate trading strategies across equity and currency derivatives. TT’s full suite of tools also includes functionality for charting and analytics, mobile trading, options, FIX services, and API development.

Commenting on the news, Steve Stewart, Managing Director, Sales EMEA at Trading Technologies said: “We are very happy to be bringing the TT platform into South Africa for the first time through this partnership with Applied Derivatives. They are leaders in the region, with a focus on providing their services to large financial institutions, hedge funds and other professional trading organizations. We look forward to expanding our reach in this important part of the world through this collaboration with the Applied Derivatives team.”

“We are excited to partner with Trading Technologies to provide access to the South African listed derivatives market for our international clients. The software and infrastructure that TT offers are ideal for our clients,” added Marilet Tait from Applied Derivatives.

Continue Reading

Trending