Kategorie: Crypto Analysis

• Cardano’s ADA price volatility has dropped to the lowest level since January.

• The coin’s volume has been in a strong downward trend since January 9.

Cardano price moved sideways on Tuesday as the coin’s volume retreated and volatility dropped to the lowest level since January. ADA dropped to a low of $0.3705, where it has been at in the past few days. This price gas crashed by more than 20% from the highest point this year.

Volatility and volume slips

Cardano, like other cryptocurrencies, has been in a tight range in the past few days as investors focus on the debt ceiling issues. Democrats and Republicans have disagreed on how to raise the debt ceiling ahead of the June 1 deadline.

As we wrote in this article, interest in Bitcoin and other cryptocurrencies has fallen to the lowest level in two years. Additional data shows that the volume of cryptocurrencies traded in most centralized and decentralized exchanges has been falling.

On a positive sign, the total value locked (TVL) in Cardano’s ecosystem has been growing. Data compiled by DeFi Llama shows that the TVL has jumped to $197 million, the highest level since May last year. This level is much higher than last year’s low of about $70 million.

In ADA terms, the TVL in the ecosystem has jumped to A$187 million. Most dApps in the ecosystem have seen their TVL jump in the past few weeks. They include the likes of MinSwap, Indigo, WingRiders, Liquid, and MuesliSwap among others.

There are otherr positives in Cardano, according to data compiled by IntoTheBlock. In a note, the analytics company said that the number of transactions in the ecosystem has jumped. Transaction volume rose by 205% between January and this week. Most of the users mostly engaged in Cardano are small traders with between $10 and $50.

5/ We also see a clear increase in transaction volume. Cardano daily transaction volume is up significantly since lows at the end of 2022. Currently, $ADA transaction volume is up 205.01% YTD, with over 26B $ADA transacted daily. pic.twitter.com/CeoMFKiaqI

— IntoTheBlock (@intotheblock) May 22, 2023

Cardano price prediction

The daily chart shows that Cardano has been moving downwards in the past few days. It has fallen below the year-to-date high of $0.4628 to the current $0.3725. It has crossed the 50-day moving average, signaling that bears are taking over.

Most importantly, we see that the Average true Range (ATR) has crashed to the lowest level since January 8th of this year. ATR is one of the most popular indicators that measures volatility. Another important indicator shows that volume has been falling since January 9.

Therefore, the outlook of Cardano is neutral with a bearish bias. If there is a bearish breakout, the next level to watch will be at $0.2990, the lowest point on March 10.

How to buy Cardano

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The post Cardano price prediction as volatility slips to January lows appeared first on CoinJournal.

• Joe Biden and Speaker Kevin McCarthy met on Monday to talk on raising the debt ceiling.

• The two sides made some modest progress but a deal remains elusive.

• Stocks and cryptocurrencies will likely do well when the two reach a deal.

The financial market has been in a somber mood recently as investors focus on the US debt ceiling situation. This explains why cryptocurrencies like Bitcoin and Ethereum have barely moved recently. It also explains why stock indices like the Dow Jones and the Nasdaq 100 have wavered in the past few days. This article will look at the implication of the debt ceiling news to cryptocurrencies like AltSignals (ASI).

Debt ceiling deal is elusive

The US is staring at a major financial crisis if a deal on debt ceiling remains elusive. On Monday, Joe Biden and Kevin McCarthy met and failed to reach a substantial agreement on how to address the debt ceiling issue. In a statement, McCarthy reiterated that talks were productive and that the tone was much better than in the previous meetings.

The clock is ticking. Janet Yellen, the head of the Treasury Department, has said that the US could run out of cash on June 1st if Congress fails to pass a debt ceiling bill. There is a strong possibility that the two sides will not reach a deal before then.

However, the risks for defaulting on US obligations could be dire. Some of the potential consequences of the situation are a high unemployment rate, weak financial markets, and a broader lack of confidence in the American system.

Therefore, because of these risks, analysts believe that the two sides will ultimately reach a deal shortly before June 1. Politically, it is in the interest of both parties to reach an agreement. As such, if this happens, we could see a major rebound of financial assets like stocks and cryptocurrencies.

What is AltSignals?

AltSignals is a small and fast-growing fintech company that provides trading signals to traders from around the world. Established in 2017, the company has grown to include thousands of customers globally. These traders receive trading signals on a 24/7 basis. Its system has an accuracy rate of 64%, which is better than other similar products.

AltSignals is working to leverage artificial intelligence to improve the performance of its system. It is doing this by transitioning from an indicator-focused tool to an AI platform. The new software will have several technology aspects like machine learning and natural language processing (NLP). 

The key aspects of its machine-learning technology will be regression and predictive modeling while NLP will have AutoML and natural language API. According to AltSignal’s white paper, the two sides will combine to form reinforcement learning. 

Is it safe to buy ASI?

The goal of embracing AI is to improve the accuracy rate from 64% to over 85%. Its developers are also leveraging blockchain technology to raise capital for building this project. They are doing this by selling the ASI token and then use these funds to build the product. 

The ASI token sale has been highly successful since the developers have raised over $768k or 72% of the total fundraising goal.

There are four main reasons to invest in AltSignal. First, the project is leveraging artificial intelligence, which is the fastest-growing technology in the world. Second, unlike many pre-revenue projects, AltSignals has been around for years and is highly profitable. 

Third, many newly listed tokens like Metacade an Pepe have done really well. Finally, I suspect that cryptocurrencies will rally after the US passes the debt limit deal.

The post US debt ceiling deal is elusive: is it safe to buy AltSignals now? appeared first on CoinJournal.

Cryptocurrency prices were relatively mixed on Monday as focus shifted to the upcoming Federal Reserve minutes and the debt limit issue. Bitcoin dropped below $27,000 while Ethereum was trading at $1,813. This coin price prediction will look at what to expect in Alchemy Pay (ACH), SUI, and Render Token (RNDR).

Alchemy Pay price prediction

Alchemy Pay is a company that is providing payment solutions in the blockchain industry. ACH, its native token, has jumped by more than 275% from the lowest level in December, making it one of the best-performing tokens om the industry. 

It has lost momentum recently after it formed a triple-top pattern at $0.045 whose neckline was at $0.022. In price action analysis, this pattern is usually one of the most accurate bearish signs. It has also moved below the 25-day and 50-day exponential moving averages, signaling that bears are in control.

Therefore, despite the recent rebound, I suspect that the ACH price will have a bearish breakout in the coming days. This view will be confirmed if it moves below the important support at $0.0222. If this happens, Alchemy Pay will have a bearish breakout to the next support at $0.1700.

How to buy ACH

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Render Token price prediction

Render Token has been in a strong bullish trend in the past few months. Together with Alchemy, it is one of the top-performing cryptocurrencies in the world this year. The token jumped above the key resistance point at $2.2052, the highest point on February 7. This means it is invalidating the double-top pattern.

RNDR price has moved above the 25-day and 50-day exponential moving averages and the 61.8% Fibonacci Retraacement. The Relative Strength Index is approaching the overbought level. Therefore, while there are risks, there is a possibility that the token will continue rising in the coming days. If this happens, the Render will likely jump above $3.

How to buy Render Token

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Swapzone

Swapzone is a crypto exchange aggregator that operates as a gateway between the cryptocurrency community and exchange services. Swapzone aims to provide a convenient interface, safe user flow, and crystal-clear data for users to find the best exchange rates among the whole cryptocurrency market.

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SUI price prediction

SUI is one of the newest cryptocurrencies in the world. It is a blockchain project that was created to challenge the likes of Ethereum and Solana. After soaring to an all-time high of $1.1700 earlier this month, the coin has plunged hard recently. It fell to a low of $1.0374 during the weekend.

On the 30-minute chart, SUI has moved below all the important support levels, including $1.1140 and $1.100. It has also dropped below the short-term moving averages while its volume has dipped. Therefore, the outlook of the SUI token is bearish, with the next support being at $1.0375.

The post Crypto price predictions: Alchemy Pay, Render Token, SUI appeared first on CoinJournal.

Key Takeaways

• Nearly $24 billion of stablecoins have left exchanges since FTX collapsed last November
• The total marketcap of stablecoins has dipped $16 billion in that time
• Liquidity continues to fall in the crypto space, with capital moving elsewhere despite rising prices
• Strict regulatory climate in the US, high yields in trad-fi and uncertainty may be contributing to the pattern

Crypto prices have risen since the start of the year, but capital continues to flow out of the space. Last week brought the news that two prominent market makers, Jane Street and Jump Crypto, were scaling back operations in the US amid the continued regulatory crackdown on the sector. 

For markets that have already been suffering from thin liquidity since the Alameda insolvency last year, the news amounts to the latest blow. While rising prices may have brushed the problem under the carpet for the time being, Bitcoin markets getting drained of capital is undoubtedly a hurdle that needs to be overcome for an asset that has ambitions of establishing itself in the mainstream. 

Indeed, with liquidity so low, prices have been able to move up more rapidly, with less capital needed to shift the shallow order books on exchanges. In the short-term, this has been a boon. As inflation has come down and forecasts around the future path of interest rates have softened in the last six months, crypto has thus surged upward with less resistance in its way, Bitcoin expanding over 60% this year. 

In the long-term, however, this is not a bullish development. Thin liquidity means amplified moves downward as well as upward. And looking at the regulatory climate, things only seem to be getting worse for crypto firms based in the US, which happens to be the centre of the financial world. 

The SEC is on a warpath with the entire entire industry, clapping back at accusations that it is the lack of regulatory clarity that is causing so many issues, but rather “mass non-compliance” on the part of crypto firms. 

The money is talking. We have discussed the recent announcements of market makers, but a glance at the liquidity on exchanges also reveals the capital flight that is occurring. This week, the total balance of stablecoins on exchanges dipped below $20 billion. At the start of the year, that figure read $37.7 billion. When FTX fell in November, it was $43.5 billion. 

We have published research on this exodus before. But the flood shows no sign of drying up, and we are now at a place whereby 55% of the stablecoins on exchanges have departed since FTX and Alameda went poof in November. 

This 55% outflow represents a funnelling out of nearly $24 billion, a massive chunk when considering the entire stablecoin market cap is currently only $130 billion. Interestingly, the market cap was $146 billion when FTX went down, meaning the total stablecoin drawdown has “only” been $16 billion.

This suggests stablecoins are being moved elsewhere in the blockchain world, as well as fleeing the crypto space altogether. But with T-bills yielding an easy 5% while the regulatory climate around crypto continues to worsen, it is not a surprise to see investors’ heads turned. When considering the fear around custody of assets after FTX collapsed, and the fact the macro climate remains uncertain, this makes more sense again. 

Whatever happened, the main point here is that liquidity in the crypto space continues to be drained. Most order books are as shallow as they have been in over two years, and Bitcoin’s volatility remains high (even with the last couple of weeks feeling relatively serene, Bitcoin has still dropped 12%). As for other cryptos, the effect is even more pronounced. If this liquidity issue doesn’t change, crypto will have a tough time establishing itself as a force on the mainstream stage. 

The post Less than $20 billion of stablecoins left on exchanges as capital continues to drain appeared first on CoinJournal.