Major Cryptonews 14-17 January 2018

What to Expect from Cryptocurrency in 2018

With the future involving very low transaction costs, along with quick and secure execution, it’s naïve to expect that central banks are just twiddling their thumbs. They realize paper currency will be a novelty of the past. Expect some of the major central banks to announce plans for blockchain-based cryptocurrencies this year. Indeed, the major competitors to the current group of cryptocurrencies have not even entered the market. They will. There will be a battle at the top between bitcoin and its forked brethren against the business-friendly ether, ripple and various other coins.

Cryptocurrencies Occupying Minds of Banks and Regulators

Regulators, and by association, those in the financial sector, were caught very unaware by the crypto boom in 2017. Regulators may be mulling over what to do about cryptocurrencies and how to whip them into a shape that suits the traditional financial institutions, but it will be a tough task. Expect greater regulation of cryptocurrency exchanges, where buying and selling take place, as well as of the interface between cryptocurrencies and regular fiat currencies. However, it might be more of a case-by-case situation for now.

Russian Ministry of Finance to Legalize Cryptocurrency Trading on Approved Exchanges

The Russian Ministry of Finance has drafted a bill to legalize the trading of cryptocurrencies on approved exchanges, according to a report from local media. The bill would allow for more open cryptocurrency trading and investment within Russia. Other countries have begun issuing statements either legalizing or banning cryptocurrencies. The Ministry of Finance is still considering which exchanges would be approved.

Five Triggers That Are Likely To Shake The Bitcoin Prices in near future

Singapore’s central bank chief on Monday spoke a few words in favour of blockchain technologies such as that of bitcoins. Ravi Menon, Monetary Authority of Singapore’s (MAS) managing director, stated that he hoped the technologies underpinning cryptocurrencies such as blockchain would not be undermined by an eventual crash in the virtual coins.

South Korean ministerial releases spreading the fears that the Asian country is planning a crackdown on the cryptocurrency trading. “
BlackRock CEO Larry Fink showed no signs of entering bitcoin ETF race, reported Reuters. “Those are not the kinds of products we would introduce at BlackRock,” Fink told Reuters. Fink has also mentioned that bitcoin is a “speculative” investment that thrives because of its anonymous nature and he puzzled over “why it has so much fascination for the press.”

In China, blockchain mania continued to propel the shares of a dozen companies, as Reuters reported on Friday (January 12), which recently disclosed their involvement in cryptocurrency technology. This happens while Chinese regulators take unprecedented steps to contain financial risks. Beijing has banned initial coin offerings, shut down local cryptocurrency trading exchanges and limited bitcoin mining
Indonesia’s central bank issued a fresh warning about trading in cryptocurrencies like bitcoin because of the risk of losses to the public and even a potential threat to the stability of the financial system. “The ownership of virtual currencies is high risk and prone to speculation because there is no authority who takes responsibility, there is no official administrator and there is no underlying asset to be the basis for the price”

Top Cryptocurrencies For Investing Right Now: Bitcoin, Ethereum, Monero, Dogecoin.

Bitcoin. It would be impossible to compile this list of the top cryptocurrencies without making reference to Bitcoin. The original, biggest, and arguably best, cryptocurrency has established itself as an investment phenomenon, making tons of money for many early investors. Considering the lasting value of Bitcoin, it is certainly difficult to write off the cryptocurrency at the time of writing.

Litecoin. Litecoin followed hot on the heels of Bitcoin, and was initially referred to as the silver to Bitcoin’s gold. Numerous vendors and merchants already accept Litecoin, and its faster transaction confirmation means that it has significant potential

Ethereum. The second largest cryptocurrency by market capitalization. The escalation in the value of Ethereum has led to the second most significant cryptocurrency garnering a good deal of media headlines. With a trading price in the region of $1,300 per unit, it seems that the future of Ethereum is very bright.

Zcash. Zcach is another decentralized example of cryptocurrency, which launched towards the end of 2016, and is considered relatively new cryptocurrency. Zcash delivers outstanding security and privacy, with details of sender, recipient and the amount transferred on the system always remaining private. Zcach has now been usurped to some extent by new contenders such as Ethereum and Ripple, but still has its fair share of backers

Dash. Originally referred to as Darkcoin, Dash is effectively a more secretive version of the headline-grabbing Bitcoin. Dash offers even more anonymity than Bitcoin, as it is delivered on a decentralized blockchain network that makes transactions virtually untraceable

Ripple. Ripple is probably the most important new cryptocurrency. More banks and global financial institutions partnering with Ripple. Ripple enables banks to settle cross-border payments in real time, with end-to-end transparency, and at lower costs, which could lead to the payment system becoming a part of the financial architecture in the near future. Definitely an altcoin to watch in the future, and undoubtedly one of the top cryptocurrencies. Another reason for the surging Ripple could be the fact that it is a different kind of digital currency and it can neither be mined nor used to shop around. Further, it is a private company that operates Ripple

Monero. Monero is particularly focused on decentralization and scalability, enabling complete privacy via a special technique referred to as ‘ring signatures.’

Dogecoin. Dogecoin currency is now frequently used to make tips in forums, while it can also be sent as a donation in any fundraising or crowdfunding appeal.

Sources:

https://blogs.scientificamerican.com/observations/what-to-expect-from-cryptocurrency-in- 2018/

https://www.finder.com.au/bitcoin-and-cryptocurrency-news-round-up-16-january-2018

https://cointelegraph.com/news/russian-ministry-of-finance-to-legalize-cryptocurrency- trading-on-approved-exchanges

https://www.ndtv.com/business/bitcoins-five-triggers-likely-to-impact-bitcoin-prices-1800064

http://quebecnewstribune.com/news/litecoin-prediction-2018-month-january-december- 1352/

https://news4c.com/ethereum-reaches-all-time-high-as-a-result-of-ico-investments/

https://www.ndtv.com/business/bitcoin-prices-to-zoom-further-only-20-cryptocurrency-coins- left-to-be-mined-1800099

https://www.finder.com.au/ripple-price-weekly-analysis-what-can-possibly-keep-ripple-down

https://www.theindependentrepublic.com/2018/01/14/despite-ripple-cardano-and-stellar- hype-litecoin-still-dominates-liquidity-and-volume/

Major Cryptonews for 11-15 January 2018

The second week of 2018 brought a reality check. Among the loosers, the top 10 most- traded cryptocurrencies, ethereum was the only exception of a winner. Valuations for the overall market dropped to $698.1 billion from $828.5 billion.

News from Asia dominated price movements for bitcoin and other cryptocurrencies. South Korea Considers Reining In ‘Kimchi Premium’

South Korea came out charging against cryptocurrency trading midway through the week, with its Justice Minister stating that the government was considering a “ban” on cryptocurrency trading. Cryptocurrency markets reacted strongly and shed more than $100 billion of their total valuation in response to the news

The next day, however, brought about a change in stance. The Chairman of the Financial Services Commission (FSC), Choi Jong-ku, allayed fears and stated that his agency was still considering the extent of regulation. Members are divided over the extent of regulation because it could also potentially stifle fintech innovation. The South Korean won is the third- most traded fiat currency in crypto markets. Investors in the country often pay a “kimchi premium” to trade in coins. Bithumb, the country’s largest exchange, accounts for over 37% of trading volume in Ripple’s XRP, which has surged since the New Year

Increased regulation might not be such a bad thing for cryptocurrencies in South Korea, since it would bring order and more investors to a chaotic market.

China Cracks Down Bitcoin Miners

The other big news story this week was also from Asia. The Chinese government has asked local authorities to begin preparing for an “orderly exit” for bitcoin miners. The authorities plan to use an assortment of policy measures, from laws curtailing use of electricity to implementing land regulations, to drive them out of the country. China became a popular destination for miners because it offered friendly government policies and cheap electricity. Those conditions can be replicated at other places, and several countries have already staked a claim for a slice of the market. Ordinarily, such a development would have had a detrimental effect on bitcoin prices.

How Should We Value Cryptocurrencies?

Problem is that it is still early days in the cryptocurrency Wild West. Territories and markets are still being staked out by players. Certain big players, such as bitcoin and ethereum, have emerged with distinct use cases. But the field is still wide open.

How High Can Litecoin Go in January 2018?

We believe that LTC is likely to go higher and be in the range of $280.00-$300.00 by the end of January 2018. The following are the reasons why the future looks good for LTC and why we are bullish about the Litecoin price forecast for January 2018. Charlie Lee created Litecoin in 2011 and introduced a few important changes that could further improve upon Bitcoin. Lee wanted LTC to be the “silver to Bitcoin’s gold.” He saw Litecoin as complementing rather than competing with Bitcoin.

Sources:

https://www.profitconfidential.com/cryptocurrency/litecoin/ltc-price-forecast-jan-2018-shows- bullish-trend/

https://cryptocurrencynews.com/daily-news/litecoin-ltc-and-all-major-cryptocurrencies-on- the-rise/

https://cointelegraph.com/news/japanese-e-commerce-giant-launches-7-asset- cryptocurrency-exchange

http://www.nasdaq.com/article/cryptocurrency-weekly-trading-outlook-bitcoin-ethereum- ripple-cm904967

https://www.investopedia.com/news/bitcoin-price-weekly-recap-kimchi-premiums-chinas- bitcoin-miners-and-valuing-cryptocurrencies/

https://www.investopedia.com/news/bitcoin-price-crashes-fear-south-korea-ban- cryptocurrencies/

Main cryptonews for the past 7 days

The ups, the downs, pressures from regulators, the doubts of top managers and hacking attempts to mine one of the most popular cryptocurrencies through browsers of unaware users – all this had a major influence on cryptos last week.

Bitcoin has marked the 9th anniversary since its creation. The first block of the blockchain beyond Bitcoin ecosystem was created 9 years ago. Since then, the history of the most famous cryptocurrency begins. The value of Bitcoin today is more than 10 times bigger in price, than it is used to be at the beginning of 2017.

Ethereum founder Vitaliy Butorin has announced that there will be grants specifically allocated to those developers who would help making ethereum blockchain network more efficient and stable. The demand for optimization of ethereum network has increased due to the rise of the popularity of ether cryptocurrency. The volume of transactions is approaching 1 mln/day which slows down the operations of the network substantially. Grants will be awarded to projects that aim to solve this issue.

During the March 2018 Belarus will launch first ever Bitcoin and Blockchain education program in one of its Universities. All related topics and science behind blockchain technology will be studied. 4 specialisation will be offered within the program.

From 4th of January 2018 Ukrainian cryptocurrency exchange Kuna started the trading of BCH/UAH crypto-pair. Crypto-exchange offers traders to buy Bitcoin Cash with Ukrainian Hryvnia. Ripple and Stellar altcoins are yet to come next.

The European Central Bank board member Ivald Novotny which leads also a Central Bank of Austria has stated that any operations with cryptocurrencies should be also eligible for taxation. He stated as well that there are concerns regarding crypto transactions that might be used for money laundering, for terrorism-related transactions and for tax avoidance schemes. Many his colleagues agree that some Russian oligarchs and sanctioned individuals and corporations might be using cryptos and tokens to avoid economic sanctions and foreign financial monitoring.

Bank of England is considering the launch of its own cryptocurrency from the beginning of 2018. Subsequently, part of the media denied this information. Meanwhile American bank Merrill Lynch forbade its clients from investing in cryptocurrencies and related funds, especially to those created by ex-Wall Street traders. This decision came shortly after the launch of Bitcoin futures trading by CME Group exchange.

The Basics: Get an Understanding of Trading Online Forex

Trading online forex does offer amazing new opportunities to profit. Things are never quite as expected and routine. And new markets trends appear every year.

Trading Online Forex Offers Great Range of Choice

Trading online forex offers a huge range of markets to trade. And this fits just about all possible trading and investing needs. Anything that is offered in commodities, stocks or bonds, can be traded by proxy through some currency pair. There are very few exceptions. But in reality the major underlying markets are known, and forex is the main part of these markets. Traders trade ERUUSD for example, for all kinds of reasons. EURUSD is perceived as a risk market, and it goes up when investors feel good. And it goes down when investors flee risk, and buy the US dollar. The very trend of EURUSD tells in one chart, how investors feel at any time. And the trend of this currency pair alone sets the tone for so many other risk markets. This is just one of forex market basics that all new traders learn. Assessing the risk appetite of investors. And also assessing various factors which impact markets, based on the absolute value of EURUSD, not just its latest trend. For example, when EURUSD is trading above 1.2 it shows that the global markets are doing good. Whereas when trading below 1.2 there is additional uncertainty, on a global scale. Traders trading online worldwide pay attention to these facts, and EURUSD is a simple way to assess investor appetite at a glance. In similar ways, other currency pairs indicate what other markets will do. USDCAD for example indicates what is happening in crude oil and the energy markets. And once again, certain absolute values matter, it’s not just about the daily trend.

Trading Online Forex Can Be Hugely Profitable

Trading online forex can be as profitable as one is willing to commit. Profitable forex trading requires overcoming classic trading rules and taboos. It actually requires taking more risk, and trading in a kind of messy, unorderly way. Traders only need to assess portfolio risk, and monitor overall exposure. But winning traders don’t do anything else relating to discipline and precision. They actually use huge stops, and go through huge volatility swings. It has been proven that rigid trading systems fail to match the volatility of the markets, and fail to produce big profits. Wise traders know that the markets will do the impossible, and some trade will go totally wrong. But they have ways for assessing the real risk in that trade. Not the apparent risk as perceived by naive traders, based on the open profit-loss figure. Those who engage in day trading forex through this messy trading philosophy. End up making the most money. Because they do things that conventional thinkers will never do. If you are in any doubt that messy trading works, you can always try it out through practice currency trading. Give it your best short, through the use of large stops, hedging methods, and mental stops in the time domain. If your trading systems is messy and elastic enough to match the volatility of the markets. You will see it will offer you much more profits.

Finding a CFD Trading Broker That Works for You

Finding the right CFD trading broker is important, as different traders have different needs. Trading platforms and tools offered, differ from broker to broker.

CFD Trading Broker Selection

CFD trading broker selection comes down to personal preferences and needs. In general, all CFD traders need ease of use, when it comes to a trading platform. Because they all have to do some fast trading once in a while. So an easy to use, fool-proof platform is helpful to have. Most CFD trading platforms are fool-proof, and it is hard to make a mistake, such as placing the wrong order type. Or trading the wrong market. Nonetheless, wise traders always act with caution, even during fast trading conditions. As they say, haste makes waste, and the objective is to refrain from impulsive trading. Beyond that issue, some brokers offer trading CFD tips or competitive foreign exchange currency swap rates. As well as extensive educational resources. Beginner traders will find educational tools useful. While experienced traders care more about trading efficiency and trading platform tools. All in all, the entire CFD industry is very competitive and most brokers are exceptionally good. The important thing is to trade through a well rated CFD broker. One where the trader knows trading efficiency is good at all times.

Can a CFD Trading Broker Facilitate Making Millions?

A good CFD trading broker can indeed facilitate heavy duty trading of all kinds. The benefits of CFDs are unique and priceless. They are always there for trading size up to $100 per point / pip. Which way more than enough, for making millions. CFD traders who know their markets, stand a good chance of making millions, smoothly, over an acceptable period of time. So the CFD industry has been proven to facilitate such trading for more than 15 years now. There are CFD trading stories of success by directional traders. As well as by investors and hedgers, who simply hedge risk in their classic portfolios, through a CFD trading account. CFDs were first popular among stock investors and traders. But later were adapted by all kinds of traders, even carry traders using advanced hedging methods. Most successful traders keep quiet about their profits, for all kinds of reasons. But more importantly there is a culture of secrecy, which dates back to the early days of stock trading. Because when the stock market goes down, many classic investors lose money, and treat any winning investors with animosity. With CFDs the advantage is even stronger, because you can actually keep on selling short stocks. And profit directly at the expense of the losers. Even when there are short selling restrictions imposed. So especially during such times, CFD traders making tons of money when the stock market goes down, have good reasons to keep quiet. People would hate you enough even if you make millions the hard way, let alone when you make millions the easy way. But there’s no reason to feel guilty, profits from CFD dealing are subject to taxation, at the going capital gains tax rate. And you take risks to generate these profits. So there’s no reason to feel guilty.

Our Recommended Day Trading Forex System for New Traders

Beginner traders can trade a day trading forex system. One that is based on high-frequency trading and a small probability of getting stuck on the wrong side.

Day Trading Forex System For New Traders

A good day trading forex system for beginners could be that of LSS pivot trading. Or that of scalping during inactive market hours. LSS pivots are relevant in both such systems. In the case of scalping, the trader has to establish the baseline on market price, so that no LSS pivots are intercepted. In general, it’s good for beginners to trade a small size, high frequency system. And to establish maximum risk levels, past which they have to close the trade. Trading on high frequency ensures that the trader maintains objectivity and is almost neutral on direction, at least for the day. Traders lose objectivity once they are in a trade, and wishful thinking is activated. When traders no longer think objectively, they tend to see all kinds of confirming forex signals, while not questioning them further. The average forex trading platform online, offers all a trader needs. Especially CFD trading platforms which facilitate smooth and efficient trading. The problem with new traders is lack of experience, lack of funds, and the inability to maintain objectivity. All these things lead to losing trades, and losses that the trader cannot deal with. Or simply doesn’t want to accept, and doesn’t know how to hedge. That’s why a high frequency trading system removes a huge portion of risk, by allowing you to be almost directionless. Even when the losing trades come, you can still get back into the market fast, and make some profits. LSS pivots and volatility indicators are all you need to start developing such a trading system.

Volatility-Proof Day Trading Forex System

A day trading forex system can be made to be volatility-proof, through preparation and good use of the LSS pivots. Even if you trade during the most volatile hours, the LSS pivots will provide at least the clues on momentum. And this will allow you to pick better entry points, even in your losing trades. Which means much smaller losing trades. As opposed to some trader who entered the market totally clueless. LSS pivots are immune to the daily deceptive momentum. Because they are calculated based on yesterday’s daily price range data. Analysis done in real time is bound to be deceptive and wrong, because the data itself is wrong. Your CFD forex broker can facilitate fast trading, no problem with that. Just make sure to read through your basic trading online guide, but ignore indicators such as MACD, and analysis methods such as Fibonacci and Elliot wave theory. These methods are as good as useless and you are better off without using them. You only need LSS daily pivots, and volatility indicators. You can also do analysis on the daily trend. Because the daily tend does hold clues which are relevant to high frequency trading, at least on 1/3 of the days seen on a daily chart. Finally, you don’t need to use daily news as indicators. News is only a volatility indicator and nothing more. Traders attempting to make directional trades based on news, end up losing time after time. It’s just not possible to win like that.