Dear Teroxx Community,

This week we saw a crypto market which brought Bitcoin close to its all-time high and also brought strong positive movements for most other digital assets.

Weekly overview

As usual, we are also providing detailed videos for those who want to delve deeper into the subject.

Latest crypto news

The new Ethereum-based network aims to track the life cycle of agricultural products and has also gained the pharmaceutical giant Bayer as a user. With TraceHarvest, users will be able to trace the life cycle of agricultural products from the source of the seed to the definition of the parties’ responsibilities in the supply chain. The platform also offers users real-time information. Ideally, this will help to solve problems related to the manual tracing of agricultural products.

The strong upward trend could be largely due to the market entry of PayPal, which is probably already causing a shortage. According to a new study by the crypto investment company Pantera Capital, a shortage of Bitcoin is the driving force behind the current price explosion, as the majority of newly created BTCs are bought up by the major payment service provider. Pantera refers to data from itBit:

“When PayPal introduced crypto currencies, trading volumes exploded. The increased trade volume at itBit suggests that PayPal is already buying up almost 70% of all new Bitcoin within four weeks of its introduction”.

BlackRock CIO Rick Rieder says that “Bitcoin has come to stay. A top manager at BlackRock, the world’s largest asset management company, believes that Bitcoin (BTC) has become an established institution in the global financial system. This is another clear sign that the perception of the crypto currency has changed significantly in the meantime. He is convinced that Bitcoin “will largely take the place of gold because it is so much more practical than gold bullion”.

Technical term of the week

Slippage: Describes the possible “slippage” of a stop loss. If the order book cannot service the sale or the stop and limit price are too close together, slippage can occur. It is therefore all the more important to trade only liquid pairs.

Crypto Market

We continued to see strong bullish movements in Bitcoin. This week, however, the Altcoins also showed strong positive movements and “outperformed” Bitcoin. Thus, the prices of some Altcoins rose by more than 30% within one week.

As Bitcoin approached its “all-time high”, investments in other digital assets also increased. A buying pressure developed, which caused almost all prices to rise. The market capitalisation rose by ~21.5% this week.

Resistances and further hurdles were also broken this week. Thus the market is currently in “FOMO” mode. Many investments are therefore emotionally driven and not based on technical analysis or indicators. The greed in the market, driven by the prospect of a new all-time high, is driving many private investors into the market.

We were able to trade this week and the rising prices in a sensible way and were able to establish and expand our long positions in the market very successfully. Bitcoin is currently supported around $18,000 and $17,700.

Bulisher outlook: If the global economy does not collapse due to sudden negative news, greed could push the market to new all-time highs in Bitcoin.

Bearisher Outlook: All indicators and “logical” conclusions show that a sell-off is overdue. If $18,000 cannot be held, the market could fall to support levels of ~$17,000.