Weekly Research and Market Strategy – 13 July 2020

Total Crypto Market Capitalization

The outlook of the Crypto Market Capitalization this week is interesting. The price increased in many coins, which consistent with global stock markets and gold that are making a new high, probably because of the rising of fund flow from QE.

Crypto Compare

Crypto Top 10 Market Cap

Technical Signal Trading

Bitcoin Strategy

Bitcoin broke through the line of average cost, which is represented in the dotted-green line. However, the price did not continue to increase after that. We believe it does not change our positive viewpoint because the increase might take some time to build up momentum. Therefore, let’s give BTC some more time.

Ethereum Strategy

The average cost of ETH broke out the dotted-green line, which signals a positive outlook. It hit the upper boundary of the zone and got sold quickly. The selling effort wasn’t a big concern given the current average cost and it made the price drop around 8-9%. Therefore, we want to keep our eyes on ETH whether it can break out the zone.

Ripple Strategy

XRP is aggressive as ETH. After the fake fall, it went up and hit the upper boundary and got sold almost right away. Zoning is an easy way to see support and resistance. We encourage you to familiarize yourself with the tool.

Other interesting fake falling happens in Gold, Index Future, and currencies. These assets pulled in a lot of investment and thus make a money game, focusing on speculation. We may assume that the similar behavior in XRP means that people are speculating this digital asset.

Litecoin Strategy

LTC moved so similarly to ETH and XRP that it move up above the average cost (dotted-green line). However, Litecoin did not move as strong as the other two and thus did not hit the resistance, similar to BTC. Our recommendation is to wait and see, which we know is hard but necessary to be a disciplined investor.

Bitcoin Cash Strategy

BCH also showed a fake fall, along with other altcoins. We believe that this fake fall is caused by the rising number of traders in the market.

After BCH broke out the triangle, we believe this is a positive signal for entry. The resistance, aka target price, if the width of the triangle.