Cardano Price Analysis: ADA/USD Aiming for Channel Top

Cardano made another bounce off the ascending channel support, setting its sights back on the top once more. On short-term time frames, this appears to be a complex double bottom pattern and price could break past the neckline at 0.0800 to confirm the climb.

However, the 100 SMA is crossing below the longer-term 200 SMA to signal that the path of least resistance is to the downside. In other words, selling pressure could pick up and lead to another test or even a break below support. These moving averages also line up with the mid-channel area of interest which might keep gains in check.

Stochastic is also turning lower to reflect a return in selling pressure. This oscillator has just made it way down from the overbought area and has enough room to cover before hitting oversold conditions. RSI is also heading south so Cardano might follow suit.

ADA/USD Chart - TradingView

The recent spike in cryptocurrencies has faded as traders are returning their focus back to industry developments. As for Cardano itself, CEO Hoskinson conducted an AMA session to answer questions related to the digital asset and rivals, during which he was asked several questions ranging from the recent IOHK split with the Cardano Foundation to the ADA markets.

Hoskinson emphasized the relationship of IOHK with Hyperledger, citing:

They’re led by Christian Cash and he’s also the head of the IACR and he’s a good guy to have dinner with and he’s one of the world’s top experts in distributed systems. In fact, if you ever take a course on the topic you’re probably either gonna read his book or Nancy Lynch’s book. Nancy’s at MIT.

Responding to a question on whether or not money raised spells success for an altcoin:

It’s kind of funny that the number two cryptocurrency raised 18 million to get where it’s at and the number one cryptocurrency raised nothing. So if you think about that, there is strong evidence in the space – the amount of money you raise doesn’t really have a lot to do with your ability to succeed.

Images courtesy of TradingView

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Bithumb Launches Decentralized Exchange on the Ethereum Network

South Korean cryptocurrency exchange Bithumb announced the launch of its Decentralized Exchange (DEX) which is structured on the Ethereum blockchain. The move comes days after the exchange sold a majority stake of its equity for $353 million.

Bithumb’s DEX is Live

Bithumb’s decentralized exchange went live on October 15, following the trend of other major cryptocurrency exchanges to launch their very own decentralized solutions.

In a commemorative tweet, the exchange said that in order to celebrate the event, users can take advantage of an Airdrop and of free transactions fees until November 15th.

The new platform will initially enable DENT, INS, POA20, RNT, and WTC trading pairs with Ethereum (ETH). However, it’s likely that more trading pairs will be added in time.

Quick Recovery

Earlier this year, Live Bitcoin News reported that Bithumb felt victim to a hacking attack, losing about 45 percent of the coins which were traded on the exchange or about $31 million. Shortly after, the exchange announced that it has managed to recover $14 million of the stolen digital currencies, outlining:

The main reason for the reduction of the damage is due to the ongoing participation, support, and cooperation of cryptocurrency exchanges and cryptocurrency foundations across the world.

The company confirmed that all those who lost their cryptocurrencies will be reimbursed.

Despite the heist, Bithumb still managed to turn a profit of about $35.3 million in the first two quarters of 2018.

Just a few days ago, Bithumb sold the lion share of its company to Singapore’s BK Global Consortium. The deal reportedly went for $353 million, implying a valuation of about $700 million. Speaking on the matter, a representative from BK Global Consortium said:

Kim Byung-gun demonstrated his multinational management ability in the field of medical care, fintech, and blockchain in Singapore. He is the right person to pursue the systemization and globalization of the virtual currency exchange.

What do you think of Bithumb’s decentralized exchange? Don’t hesitate to let us know in the comments below!

Images courtesy of Twitter (@BithumbOfficial) and ShutterStock

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Bitcoin Price Analysis: BTC/USD Early Bullish Signals

Bitcoin recently consolidated inside a pennant or symmetrical triangle pattern just above an area of interest. Price is showing early bullish signs as it closes past the continuation pattern’s resistance, indicating that a rally of the same height as the flag’s mast may be in the works.

The Fibonacci extension tool also shows the next potential upside targets. The 38.2% level is near the $7,200 area of interest while the 78.6% level is closer to the swing high at $7,800. Stronger bullish pressure could take Bitcoin up to the full extension at $8,144.

The 100 SMA crossed above the longer-term 200 SMA to confirm that the path of least resistance is to the upside or that the rally is more likely to carry on than to reverse. The 100 SMA is also inching close to the bottom of the consolidation pattern, adding another layer of support in the event of a dip.

Stochastic has some room to climb before hitting overbought levels but appears to be turning back down to indicate that sellers are returning. RSI is still cruising sideways to reflect range-bound action and has yet to catch up to the upside break.

BTC/USD Chart - TradingView

While the sharp jump in Bitcoin is mostly attributed to the selloff in Tether earlier on, many believe that industry developments recently could be enough to sustain the longer-term climb. In particular, Fidelity’s institutional investment platform for Bitcoin and Ethereum could be enough to bring in an influx of funds from larger market players, thereby keeping demand and price strongly supported.

Still, there is some degree of uncertainty when it comes to regulation, especially since the IMF recently reminded watchdogs to step up their efforts in protecting consumers from potential fraud. With that, the SEC decision on Bitcoin ETF applications could still carry a lot of weight when it comes to determining whether a strong uptrend could gain traction or not.

Images courtesy of TradingView

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