They might give you tips on which projects will survive future downtrends
Another week goes by and the total crypto market cap is sitting at £310BN ($435BN), as by Wednesday, when bitcoin failed to break upwards of £8.5k ($11.8k), traders lost trust in the brief Valentine's Day meets Lunar New Year bull run. This 16% intra-week drop still places the entire space at a higher level than it was during the first week of December, however.
Nevertheless, as 97 out of the top 100 cryptoassets are in the red in dollar terms , we should look at the bigger picture to find hope or, conversely, to decide whether to short. So, which are the lucky three in the green?
Nano, formerly RaiBlocks, is leading the pack, but it did recently hit the bottom. DigixDAO, a gold-backed stable coin, is a close second and has proven to be a good hedge in downtrends. The third is Request Network, a token focused on requests for payments often compared to OmiseGo whose rise could be attributed to its listing on Koinex, a popular India-based crypto exchange.
What to expect of the weekend? Well, after rising almost 100% from its £4.3k ($6k) bottom, bitcoin naturally started to retrace. The next consensual support is at £6.3k ($8.8k), so stay alert we are only 10% away from that level.
Some believe that we will still see an uptrend over the next few days before continuing to drift lower. This uptrend could be seen as a 'bull trap' that the new institutional market makers are used to creating in the traditional financial markets.
If one is not a market maker, there's not much that can be done besides following the trends, but, on a more fundamental level, we're at least seeing positive ones! For example, as exchanges finish implementing SegWit, there have been almost no unconfirmed transactions on Bitcoin's mempool.
The second 'Imperial Blockchain Forum' meet-up of this academic year is taking place next Monday at 18:00 at Imperial College London all details here.
The Frankfurt School Blockchain Center is organizing the 'Cryptoassets Conference 2018' next Monday and Tuesday check out the tickets and speakers here! We are looking forward to understanding their sentiment towards the latest remarks from Bafin the financial regulator on ICOs.
Watch this billionaire-composed panel's heated discussion regarding 'The Bull Case for Bitcoin' on last month's 'Upfront Summit 2018' - they all travel with bodyguards!
Read these arguments behind what low Bitcoin fees mean, especially after falling from an average of £18.50 to £2.20.
Review this bubble case for cryptoassets to understand whether or not it matters that the space is in a bubble and what differentiates this mania from others.