Weekly Results: the Crypto Market Reverse Before TON Launch

How was the week for Bitcoin?

Bitcoin price has increased by 3,63% over the past week (5—11 October) and finally gained above the support level, which is $8,000. As a result of this growth, the capitalization of the main cryptocurrency has grown by $9 billion in a week, and today it is $ 155 billion. At the same time, the trading volumes has increased significantly — by 20%, to $ 17 billion. As you remember, it was $21 billion in the middle of this week. Bitcoin dominance has been falling for the third week in a row. This time, it has dropped from 67,4% to 66,8%.

The week was favorable for trading: the volatility exceeded $ 500 during 4 days, which indicates the active participation of most market players.

At the same time, a reversal formation was formed at the beginning of the week, which later was continued for a little. In addition, there was an increase in purchases, which indicates the prevalence of bullish sentiment on market this week.

The beginning of correction of the fall, happened September 24, 2019, is displayed on Fibonacci grid. After taking the level of 0,23, the course rested at 0,38 Fibonacci, as we assumed last week. Now the price of bitcoin is in the corridor between 0,23 and 0,38, where the main struggle is unfolding. In addition, there is a false breakdown, happened at 5.00 UTC, at the moment. In order to increase BTC price, it is necessary to consolidate above 0.38 Fibonacci, which corresponds to the resistance zone of $ 8.682—$ 8.822.

Let's pay attention to the weekly changes in indicators.

The likelihood of a further fall decreases, although the daily average moving EMA50 finally crossed EMA200. However, it has lowered slightly and slowed the downward movement. Besides, EMA20 is still quite far away. It is important because, as a rule, substantial falls begin only with the passage of the younger moving averages through the daily EMA200. Also, the price is starting to storm EMA200, which it went under during the fall on September 24, and, possibly, will break this line in the coming days.

As we expected, RSI was supposed to storm resistance by 30% this week. As a result, the indicator broke through this boundary and almost returned to the balance zone. The next important mark will be 50%. Notice, RSI is beginning to gain strength for this movement.

Accumulation / Distribution (A/D) indicator broke its historical maximum and rushed up, confirming the trend. The chart shows: A / D reversed after the fall on September 24 and laid the foundation for an uptrend.

It should be mentioned that Bitcoin emerged from the downward channel, which was formed over two weeks, and rushed up. Considering this fact, as well as the positive dynamics of the indicators, Neironix analysts suggest a further increase in bitcoin to levels of $ 9,000—$ 9,200.

Like last week, the news on the cryptocurrency market came from two projects: Telegram Open Network (TON) and Libra.

TON team has published the rules of using Grams Wallet wallet, which will integrated into the popular messenger — Telegram.  As it became known, the network will not be controlled by the developing company, thus, it will be completely decentralized. 

A flurry of negative information came from Libra Facebook. For example, the European Union sent a request in which it asked to explain how the company is going to protect confidential data, store cash reserves and so on. Notice, many EU countries want to ban the use of Libra and began to think about creating their own cryptocurrencies.

Also, Brad Garlinghouse, CEO of XRP, adds fuel to the fire claiming that Libra will not be able to start before 2023. Yesterday it announced that Facebook head, Mark Zuckerberg, had been called to testify about Libra project to the US White House. The hearing will take place on October 23, 2019.

A group of lawyers sued Tether and Bitfinex for $1,4 trillion this week. Plaintiffs accuse companies of manipulating the market, unconfirmed reserves, money laundering. At the same time, lawyers did not make any new charges, which were not included in litigation with these companies previously. The amount of the claim is particularly impressive. It is second to the budget of the United States and China. Therefore, Bitfinex exchange token, UNUS SED LEO, fell below ICO price, and its capitalization for the first time became less than $1 billion.

How was the week for coins from Top-10

The week for the coins from Top-10 was successful: each of them has increased in its value. The average growth was 4,76%. Although this is a small result, but it is better than last week, when it reached 2,6%. All the coins from Top-10 show the growth for the second week in a row.

This week the best are Binance Coin (8,76%) and XRP (8,3%). Then — Ethereum, which grew by 7,72%. The growth of Binance Coin attributes to the launch of the new service, created by this company, — P2P exchanger for Chinese users. In addition, Binance announced a competition on October 10, the participants of which can receive 100BNB.

Litecoin showed the weakest growth, increasing by only 0,76%. Starting with a halving, Litecoin continues its decline and has already lost 40% of its value since that moment. The project has no firm news and partnerships, so it leads to such results.

Bitcoin dominance continued to decline this week, and now it is less than 67%. Only Ethereum and XRP showed growth in Top-10, although it is small. The other ones have decrease their dominance. But coins, which are not included to Top-10, have increased its dominance to over 10% for the first time in 3 months.

How was the week for coins from Top-100

Like last week, 80 out of 100 coins showed positive dynamics against the dollar. The average rate of price change was + 8%, which is slightly higher than last week.

As a rule, altcoins begin to fall with the growth of bitcoin, but this time everything went differently. Many altcoins grew after bitcoin and were able to increase their value by tens of percent.

The dominance of bitcoin is starting to weaken, which speaks of the growing market of altcoins. Thus, many coins have recently updated their lows, what could be a harbinger of the future growth.

Growth leaders

The growth leaders showed excellent results. For example, Chainlink added 37% to its value. The average growth was phenomenal 76%! Like last week, the growth leader grew by almost 200%, a big part of which was added in the last days of this week.

Thus, the list was headed by Jewel with a capitalization of $41 million. It should be mentioned that the reasons for this strong increase are unknown.

Centrality takes the second place. As you remember, this coin had increased by 278% past week, but now the growth is 64%, which is also the outstanding result. Its growth continues due to the bounty-campaign and also due to the launch of 2 new DAPPs, which appeared in AppStore and immediately attracted a large number of users. By the way, the team promises to announce great news, which is kept in secret, soon.

The third place is taken by Matic, which grew by 50% over the week. It allowed him to increase his capitalization from $22 million to $33 million. The reason for the growth was the accession to the projects alliance deployed on Binance Chain, and also a meeting of developers, held with Binance. Thus, the liquidity of the coin has increased dramatically, and now it is 200%!

Fall leaders

The fall average is decreasing for the third week in a row. This time it was 12,2% compared to 17,6% last week. At the same time, almost all coins fell below the 90th line due to a decrease in their value.

At the end of September, Metaverse ETP team announced the creation of Dualchain Network Architecture (DNA) — a blockchain platform, which will solve scalability problems. The community responded positively to this news, thus, ETP token has grown. Now we see a correction as a result of which ETP token has updated its historical maximum.

The second place is taken by Nash Exchange token (NEX), which fell by 15.3%. Since the launch of the NASH exchange, which took place on August 23, 2019, the price of their exchange token only fall. Even bounty-companies and contests do not help it to grow. Every week NEX updates its historical lows and has already lost 75% of capitalization from the beginning of August.

The popularity changes of cryptoindustry

The popularity of  Bitcoin request was changing downward, because there were no strong price movements. No news could significantly provoke changes in the request number.

Otherwise, the situation remains the same.

In conclusion

Total market capitalization increased from $217 billion to $ 25 billion. This value reached $233 billion on some days. The trading volume has increased by 37%, and now it is $68 billion. It indicates an overall market growth.

Bitcoin chart shows reversal signs, as a result of which a way out of a downtrend was found. However, there is a slight increase for now. Thus, any adverse events can negatively affect the rate. 

Altcoins demonstrate a positive dynamics. Lots of the coins have increased their price and capitalization for the second week in a row.It should be mentioned that this trend is fixed on the market. The fall rate is decreasing for the third week in a row. Thus, many altcoins have reached their bottom and are ready for a reverse.

Despite the positive situation this week, it must be remembered that the cryptocurrency market often destroys all plans due to one or two strong news. In order not to lose money, you must carefully monitor all its changes.

Neironix does not forecast bitcoin. If you need fresh forecasts of the rate, consult a specialist.