Schlagwort: crypto business

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ETH/USD price forecast as July comes to an end

  • Ethereum is consolidating around the yearly highs
  • $2,000 proves to be stiff resistance
  • ETH/USD price action holds between a $1,000 range since May 2022

There is only one trading day left in July, and the cryptocurrency market is consolidating. That is particularly true of major cryptocurrencies such as Bitcoin or Ethereum, as they both hover around their yearly highs against the US dollar. 

Ethereum found strong resistance at the $2,000 area in 2023, just as it found strong support at $1,000 last year. The question now is whether resistance holds and the price will be sent back to $1,000? Or will bulls manage to push over resistance, and the rally will continue in the last months of the year? 

ETH/USD remains bullish while the price holds above $1,000

The rally in the cryptocurrency market seen in 2023 triggered enthusiasm among cryptocurrency investors. However, without more follow-through, the bullish sentiment will dissipate soon. 

Ethereum chart by TradingView

A quick look at the chart above reveals a $1,000 range since May 2022. More precisely, the market moved between $1,000 and $2,000, clearly with an upside bias but failing to make a meaningful break higher. 

Since touching the $1,000 support level in 2022, ETH/USD started a series of higher highs and higher lows, typical in bullish formations. Because the higher lows formed against horizontal resistance, it looks like the market builds energy to break higher. However, the bullish bias should hold only if the price does not break the higher lows series. 

If it does, the focus suddenly turns to the $1,000. A clear break there brings back the previous head and shoulders pattern with a measured move much lower than $1,000. 

The post ETH/USD price forecast as July comes to an end appeared first on CoinJournal.

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3 economic events to move the cryptocurrency market next week

  • Key US economic data is due this week
  • An increase in the US dollar’s volatility should move the cryptocurrency market too
  • The NFP report is the highlight of the week

The final week of July is ahead of us, and cryptocurrency traders might want to consider what happens with the US dollar. After all, Bitcoin’s consolidation around $30k in the past few weeks brought little or no activity in the market. 

Therefore, should the US dollar’s volatility rise in the week ahead, Bitcoin’s volatility may rise too. Consequently, the entire cryptocurrency market will be more active if Bitcoin’s volatility rises. 

So here are three events that might move the US dollar consider next week: 

  • ISM Manufacturing and Services PMI 
  • ADP Employment Change 
  • Non-Farm Payrolls

ISM Manufacturing and Services PMI

The PMI data is calculated monthly and interpreted in relation to the 50 level. A print bigger than 50 shows an expanding sector, while one above 50 shows an expanding sector. 

The United States is a service-based economy, so the services sector tends to have more weight for the US dollar. However, this week, the focus will be on the manufacturing data because it is forecast to come out below the 50 level. Any positive surprises should see the US dollar bouncing higher. 

ADP Employment Change

July’s ADP Employment Change or the private payroll numbers will be released on Wednesday. Market participants look at the private payrolls in anticipation of the all-important Non-Farm Payrolls report due two days later. 

This week, the market expects the US economy to have added 195k new jobs in July. Details matter because the ADP and NFP numbers often reflect the same thing. 

Non-Farm Payrolls

Because next Friday is the first Friday of the new month, the NFP report for the month of July is due. The market expects the US economy to have added 200k new jobs in July and the unemployment rate remained steady at 3.6%.

The post 3 economic events to move the cryptocurrency market next week appeared first on CoinJournal.

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Hester Peirce criticizes SEC’s warning to accounting firms working with crypto

SEC Commissioner Hester Peirce says SEC’s warning to accounting firms could discourage “good-faith efforts” towards transparency.

Paul Munter, the Chief Accountant at SEC, cautioned that crypto platforms are likely to misrepresent non-audit work as full audit.

SEC Commissioner Hester Peirce has criticized a recent statement by the US Securities and Exchange Commission (SEC) directed towards accounting firms engaged in proof of reserves “audits” and other accounting related work.

SEC’s take on crypto “audit” reports

In particular, Peirce took issue with the warning published on July 27 by Paul Munter, the Chief Accountant in the SEC’s Office of the Chief Accountant (OCA). Munter had cautioned that accounting firms working with cryptocurrency should be wary of the “potential pitfalls’ related to the assurance work these firms undertake for crypto companies – particularly crypto trading platforms.

According to OCA, it is possible for crypto firms to take the non-audit work presented by accounting providers and offer it to customers and the public as audits. The SEC’s chief accountant noted:

“Certain crypto asset trading platforms, with others in the crypto industry, have marketed to investors their retention of third parties, sometimes accounting firms, to perform some sort of review of certain parts of their business, often presented as a purported “audit.””

Munter noted that suggestions to the effect that “non-audit arrangements are at parity with, or even more “precise” than, a financial statement audit,” were false.

According to Munter, any accounting firm that finds itself at odds with their crypto client over misrepresentations related to non-audit work, has to make this known to the public. They can also report this to the SEC, he added.

Peirce acknowledges the need for crypto exchanges and accounting partners must strive for clarity and transparency when it comes to their proof of reserves reports. 

However, she is not supportive of the warning by the OCA. Discouraging this cooperation could mean mainstream accounting and audit firms keep off crypto – likely to the detriment of consumers.

“Crypto platforms [and] their accountants should be clear about what proof of reserves is and isn’t & customers should understand the limitations, but why would we want to discourage good-faith efforts to provide more transparency?” she argued.

The post Hester Peirce criticizes SEC’s warning to accounting firms working with crypto appeared first on CoinJournal.

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Casper (CSPR) price prediction: Still up to bulls?

  • Casper price is down 2% in the past 24 hours, action that mirrors broader market sentiment.
  • CSPR rose to $0.063 in April.
  • The technical picture signals continued strength despite the latest dip.

CSPR, the native governance token of Casper Network, is down 2% in the past 24 hours and up roughly 1.5% in the past week. According to CoinGecko, 30-day gains stand at around 3.2% as of July 29 at 11 am ET, with CSPR changing hands near $0.039.

The daily trading volume has fallen by about 36% in the past 24 hours to suggest reduced network activity, data shows. Given these details, what’s the price outlook of Casper’s native token?

CRPR price outlook: key developments

Casper is an L1 proof-of-stake blockchain based on Correct-By-Construction (CBC) consensus specification and targeted for institutional and enterprise clients.

From a broader crypto market perspective, Casper’s price performance over the month aligns with recent struggles for mega caps. Bitcoin has found it difficult to break above $30k and currently hovers near $29.3k, while Ethereum’s attempts to reclaim $1,900 have been rejected multiple times.

Even XRP, which outperformed the top altcoins by a big margin after Ripple’s win against the US Securities and Exchange Commission (SEC), has pared more than half the gains seen on July 13 when it soared over 100%. XRP is down 8% in the past seven days.

As noted, Casper has traded lower in recent days. However, with sentiment across the industry largely bullish, a return to key levels is likely to catalyse more gains for hodlers. The blockchain platform’s growth metrics remain positive, particularly after a recent partnership with US-based regulated broker-dealer INX. 

The collaboration will see Casper Labs’ equity tokenized and listed for trading on secondary markets. The firm expects this to be rolled out in September 2023. Other notable events are the recent announcements around update to the Casper Wallet and integration with fiat-to-crypto onramp Topper.

Investors are buoyed by the developments, which could see more adoption and demand for CSPR and potentially boost its price.

CSPR price – technical outlook

As the chart below shows, the technical outlook for CSPR suggests bulls still have the upper hand. Buyers are likely to seize control if prices break above the resistance area marked by the trendline (red). 

Casper Network price chart showing CSPR performance on the daily chart. Source: TradingView

The daily RSI is supportive of this as it holds the trajectory seen following the CSPR/USD breakout on July 21. The MACD indicator is also highlighting growing strength.

If price holds above the 50-day EMA, it could continue towards $0.046 and the primary hurdle at $0.053. Above this is the year-to-date highs of $0.063 reached in April.

On the downside, the main support level lies around $0.035.

The post Casper (CSPR) price prediction: Still up to bulls? appeared first on CoinJournal.

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ADA/USD price forecast following the Fed’s July interest rate decision

  • Fed’s July decision did not impact the cryptocurrency market
  • Despite rallying in 2023, ADA/USD dipped below the 2022 lows
  • A double bottom pattern might be in place, and a move above $0.55 would confirm the reversal pattern

Three central banks announced their interest rate decisions this week, and the Federal Reserve was one of them. For those trading cryptocurrencies denominated in US dollars, the Fed’s decision marked one of the most important events of the summer. 

Following the decision to “skip” a rate hike in June, the Fed signaled that it would hike the rates in July, despite the clear improvements in the fight against inflation. Accordingly, the market priced in a rate hike, and the Fed delivered. 

As such, all the attention was on what the Fed will signal moving forward – more tightening or the fact that it had reached the terminal rate? Every detail was important for the US dollar as its volatility directly impacts cryptocurrency traders. 

As it turned out, the Fed did hike the funds rate by another 25 basis points and did not signal that the current cycle ended. Therefore, the outcome of the Fed’s meeting might be viewed as hawkish for the US dollar, and so, it is no wonder that the cryptocurrency market continued its consolidation and experienced less volatility following the Fed meeting than the traditional currency market. 

Cardano chart by TradingView

ADA/USD unable to break above horizontal resistance

Cardano (ADA) rallied in 2023 as Bitcoin and other major cryptocurrencies bounced from their 2022 lows. In doing so, the market met little or no resistance until the $0.4 area. This is an area where ADA/USD found support in the past, and now support turned into resistance.

For several months now, ADA/USD was not able to break and hold above resistance – every time sellers emerged. So heavy was the selling pressure that the market even dropped below the 2022 lows. 

Naturally, this week’s Fed decision was important because it might be that ADA/USD formed a double bottom with the last attempt to the lows. While the Fed’s decision did not trigger a lower dollar, the bias remains somehow bullish for ADA/USD because of the possible double bottom. 

Therefore, if ADA/USD climbs above $0.4, more buyers might step in to trade the pattern’s measured move, seen in orange above. It points to $0.55, and on such a market move, the bearish bias might finally be left behind. 

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