【IDAX Investment Research Center】 Blockchain technology is booming, is BTC good?

IDAX investment opinion

In the past 24 hours, BTC’s global average price was $6532.00, a 24-hour increase of 1.08%; EOS’s global average price was $5.65, a 24-hour drop of 1.58%; ETH’s global average price was $218.00, a 24-hour drop of 0.43%.

Figure 1 shows the “CoinMarketCap” data ranking. As of the time of publication, among the top 10 encrypted digital currencies in circulation, each currency continued to show a general increase, and the overall market was at 7 points (out of 10).

The reasons for the market strength have been briefly explained in the IDAX Investment Research Center yesterday. But, after the continuous fermentation of the Internet Conference yesterday, it was found that the development of blockchain technology is changing with each passing day, and the application of blockchain scenarios continues to fall. In the case of XRP, Wietse Wind, the creator of the XRP Tip Bot application, is supporting a new project to bring XRP to Amazon’s voice assistant Alexa. The project basically brought XRP Tip Bot to Alexa. The project is led by independent programmer Nixer. Once completed, it will be submitted to the Alexa Skills Store for approval. Tip Bot is up and running on the web, allowing anyone to send XRP to people on Reddit, Twitter and Discord.

At the same time, XRP’s cross-border application is in full swing. Paula da Silva, head of transaction services at Sweden’s Nordic Bank (SEB), talked about Ripple technology in an interview. “We last year (SEB) only one customer used the Ripple platform,” she said. Now all our customers use this platform to make intercompany transfers between Sweden and the US. So we have billions of dollars on the platform.” She also mentioned that xRapid is the latest in Ripple. One of the products, users can easily trade funds using XRP. It can be seen that the charm of blockchain technology is so radiant that every customer can’t resist it.

For example, the continuous development of the OTC2.0 era, the compliance and supervision of legal currency transactions continue to improve. According to newsroom news, New Zealand cryptocurrency exchange Cryptopia launched the Token NZDT anchored with the New Zealand dollar in May last year, but last night. At some point, Cryptopia suspended its NZDT business after its support bank ASB faced regulatory issues and difficulties in identifying customers and their trading activities. Recently, Adam Lyness, business development manager at Cryptopia, said that the company has a new small bank supporting NZDT and should be re-launching the Token in the first quarter of next year and is now in contact with the government and regulators.

Of course, the attitude of the Chinese government has gradually turned: at the first China International Import Expo, BOC Hong Kong chief economist E Zhizhen recently said that the internationalization of the renminbi is a natural process, due to the development of financial technology, the future, blockchain The application and exploration of digital currency may bring new impetus to the internationalization of the RMB.

Correspondingly, Fan Yifei, deputy governor of the People’s Bank of China and leader of the Bank’s Science and Technology Development Awards Evaluation Leading Group, pointed out that when the new finance encounters big technology, the fundamental pain points of finance have been alleviated. In this wave, blockchain and artificial intelligence will be the core technology, or the financial industry will be completely transformed. Blockchain applications are mainly used in insurance, securities settlement, identification, etc.; “Artificial Intelligence + Finance” has attracted widespread attention in the primary market, and the amount of venture capital has increased 12 times in five years. It is estimated that investment in financial IT will be 2020. The scale will exceed 20 billion yuan, and the market space will reach 100 billion.

Figure 2 is the 1 hour K-line chart of BTC. IDAX Investment Research mentioned yesterday that “the price has once again appeared in the upswing after the high sideways shock, and broke through the previous small platform; although, it is now encountering a higher platform again. Resistance, but from the hourly trend, the rise is in good shape.” Today’s BTC price is once again up, that is, the continuation of the rising pattern is verified!

But, through technical analysis, it is found that today’s rise is actually relatively weak, and there is no upside; the more important thing is that the platform in the platform area or the profitable disk in the bottom section is already heavy enough to continue the price. The rise was suppressed. Unless there is a positive expectation and there is enough incremental funding to enter the market, an effective breakthrough can be made.

So, is there any possibility of detonating a wave of super bulls? From a macro perspective, the global market funds have tightened, and liquidity is in short supply. It is difficult to have incremental funds to help in the currency circle, and it is hard to stand up to the money in the currency reserve.


The data review

In the spot market, Coindesk’s statistical BTC price was displayed as 6481.63 USD at the time of publication. At the time of publication, it happened to have a plunge on the time-sharing chart.


News review

1. According to CCN, the Venezuelan government recently introduced a petroleum coin savings plan that allows residents to exchange their money for the digital currency of oil endorsement and store it as a certificate.

Means: TOKEN, endorsed by the government.

2. According to the Beijing News, the blockchain will be applied to the Tmall Double 11 for the first time.

Means: Blockchain technology may enter the households of this year.


Industry perspective

1. BCtrend analyst Jeffrey believes that the BTC price has stabilized the 50-day moving average, and the slight reversal will continue the rotation of the market.

2. Crypt Rand, a cryptocurrency analyst and trader, said on Twitter that the BTC daily-level moving average has broken through, and the falling bear market seems to be coming to an end.


IDAX operational strategy

20180907 strategy

Arbitrage strategy (20180907): Buying a BTC at the opening market price and selling the equal ETH short. Stop loss BTC/ETH is less than 20. (Use the profit of the previous arbitrage strategy as a safety mat)

20181108, executed


Disclaimer:

This report is an internal communication report of the company. It is based on the current publicly available information. The company strives for but does not guarantee the accuracy and completeness of the information. The opinions expressed are only for internal communication and do not constitute for anyone. Investment advice, based on this investment, at your own risk.