DueDEX: What’s Happening in Crypto World Today? — Nov. 7th, 2019

DueDEX_Daisy
Nov 7 · 7 min read

1. Mainstream Currency Price as of 12:00 PM UTC from Coinbase Pro:

· BTC — 9,180.77 USD

· ETH — 186.34 USD

· EOS — 3.465 USD

· XRP — 0.2878 USD


2. The Fear & Greed Index: 54 — Neutral


3. Crypto Updates:

· Shanghai Gov’t Partners With 6 Banks on Blockchain Alliance for Trade

The municipal Shanghai government has joined forces with financial institutions to create an alliance to foster the use of blockchain for global trade.

The Global Times reported on Nov. 7 that during the China International Import Expo earlier today, the Shanghai Municipal Commission of Commerce, Shanghai Customs and representatives from six bank branches — including the People’s Bank of China and Bank of Communications — signed a Blockchain Alliance proposal for the city’s e-port area.

Chen Huifang — a professor at the College of Information Science and Electronic Engineering of Zhejiang University — told the Global Times that blockchain has previously been implemented in several free trade zones across China, noting that:

“Blockchain technology increases the reliability of information, thus improving the efficiency of customs clearance, reducing costs and promoting trade facilitation.”

An official from the General Administration of Customs of Shanghai, Ye Jian, emphasized that the blockchain alliance represents “the first blockchain application project in customs and the first service project for the CIIE.”

He added that blockchain had been successfully implemented in the newly-launched cross-border yuan trade financing services for Shanghai’s single window system, helping to tackle data imbalance issues in the process.

As the Global Times notes, a pilot blockchain system was also trialed for cross-border financial services in Nanning, South China’s Guangxi Zhuang Autonomous Region, this October.

Qi Hong, vice director of China Construction Bank’s Shanghai branch, emphasized to reporters that the technology remains in its early experimental phase in the country, outlining that:

“We now use blockchain in sporadic financial products instead of the whole finance industry chain, and the public doesn’t have a sound understanding of the technology when it comes to financing. But I think the government’s call for blockchain construction will help push the technology’s application in a more comprehensive way.”

· Bitcoin Steady Around $9.2K as ‘Volatility Collapse’ Predicts Big Move

Bitcoin (BTC) continued its downtrend on Nov. 7, barely keeping support above $9,200 as market commentators stay realistic about the future.

Data from Coin360 shows BTC/USD down 1.6% on the day, circling $9,250 after a sudden dip saw markets bounce off $9,200.

That level has been in play for the past 72 hours and has seen two tests since local highs of $9,520 on Monday.

The week’s behavior continues a broader trend which Cointelegraph reported on previously — Bitcoin remains range-bound between $9,000 and $9,500.

· Hong Kong Steps Up Research Into Central Bank Digital Currency

The Hong Kong Monetary Authority (HKMA) has revealed it is conducting research into applications for a central bank digital currency (CBDC).

Ejinsight reported on the news — announced during the Hong Kong Fintech Week — on Nov. 7. HKMA reportedly aims to release a major report on its findings in Q1 2020.

HKMA had also just revealed it had signed a blockchain collaboration with a subsidiary of the Institute of Digital Currency at the People’s Bank of China (PBoC) — an institution which many expect will be the first globally to launch a CBDC.

During the fintech recent, Edmond Lau — HKMA’s senior executive director — gave insights into the bank’s ongoing CBDC research, which has reportedly been conducted under the aegis of “Project LionRock” since 2017.

The project is being conducted together with Hong Kong Interbank Clearing Ltd. and three further banks, as well as blockchain consortium R3.

It includes a proof-of-concept study on token-based CBDC, research into debt securities issuance using blockchain, an evaluation of CBDC’s potential for payment systems and exploration of a possible two-tier issuance model, which would allow corporates to hold and use CBDC tokens as sponsored participants of their banks.

HKMA reportedly remains focused on the prospective use of a CBDC for financial institutions rather than retail clients — with a particular interest in domestic interbank payments, wholesale corporate payments and its potential for delivery-versus-payment in debt securities settlement.

Retail users already have widespread access to digital mobile payments services, Lau reportedly stressed.

This May, HKMA also signed a memorandum of understanding with the Bank of Thailand to conduct a joint research project into the use of a CBDC for cross-border payments and interbank payment-versus-payment services between the countries.

· PwC Analyst: Blockchain Gives ‘Illusion of Traceability’ for Walmart

Experts allege the biggest hurdle facing the blockchain systems being adopted by food retail giants such as Walmart and Nestlé has nothing to do with the technology itself.

In an interview with Tech Wire Asia, published on Nov. 7, Craig Heraghty — Agribusiness Leader at “Big Four” auditor PwC — reflected on the rising trend of blockchain among major retailers globally. He argued that:

“The weakest link in the chain is not blockchain or any technology, the weakest link is the piece of sticky tape that puts the label on the package. You have to think like a fraudster and see where you can copy a label or a QR code.”

Heraghty contended that blockchain is a potential concern insofar as it gives an “illusion of traceability” to supermarket chains and consumers, given that while the data record itself may be tamper-proof, physical points of entry aren’t necessarily foolproof.

Beyond this point, Heraghty didn’t have a solution other than to stress that the onus remains on enterprises to bear the responsibility to try to protect their systems against vulnerability to fraud by dishonest saboteurs.

· Russia: New Law Would Let Police Confiscate Bitcoin From 2021

Russia is planning on creating legal statutes allowing the government to achieve the impossible: confiscation of Bitcoin (BTC).

As local financial news outlet RBC reported on Nov. 7 citing sources familiar with the matter, Russia’s interior ministry will work with various state organs to draw up the plans, which could enter into law in 2021.

The push does not single out Bitcoin, but instead refers to “digital assets” as a general phenomenon, chief among which are cryptocurrencies, says RBC.

The publication quoted Nikita Kulikov, head of a dedicated committee at the Russian parliament, as explaining:

“The constant growth trend in crimes using virtual assets, and the lack of consumer protection in the face of this kind of criminal onslaught, naturally dictate the need to develop mechanisms for legal regulation and control of virtual asset exchange.”

Among the options under consideration is the creation of a government cryptocurrency wallet for transferring funds.


4. Trader’s View:

· Dacto from TradingView: BTC — 07 November 2019 — Another Descending Triangle or Pennant?

Lets see if this is a descending triangle or a bullish pennant .
Above 9800 will invalidate the descending triangle .
Below 8800 will invalidate the pennant .
Target for the descending triangle is between 8300–8500

· VaidoVeek from TradingView: BITCOIN | One of The Possible Scenarios

This sideways movement starts to become pretty boring. I haven’t seen a while good trading opportunities with Bitcoin . I want to keep my followers updated but I just cannot see a point to do that if there is nothing interesting. I looked at it from one angle, I looked at it from another angle and the result is in front of you.

The most likely scenario would be a downwards movement which should get fully confirmed after the price has managed to break that black counter-trendline and it has to get a candle close below of it to be fully confirmed breakout. All the current price action should stay inside the expected channel range (blue lines) and this counter trendline break should open the door to the downwards, to the ~8,500. There is a round number of $9,000 and some EMAs to making this movement harder but possibly they cannot stop it. So, if we get a candle close below the current short-term counter-trendline then the target should stay $8,650 (always be less greedy than others) ;)

To think a little bit forward then this target area could be also another trading opportunity for buyers — it is also a possible reversal area. This move gets confirmed after we have seen a bullish reversal indication candlestick pattern around the red a green area.
Reversal area consists of:
1) Fibonacci retracement 62%
2) Strong area/support/price level ~€8,500
3) Channel projection
4) AB=CD
5) Fibonacci extension 2x
6) Middle nr . $8,500 itself should act as a support level .
7) As said, to be more secure, wait for a bullish candlestick formation from the marked area.

If the price starts to approach that reversal area then definitely I’ll make an update!



DueDEX informs readers that the views, thoughts, and opinions expressed in the content come from various sources, and does not belong to DueDEX. It does not guarantee the accuracy or possible uses of the content posted. Under no circumstances whatsoever shall DueDEX be deemed responsible or liable for any decision made or damage incurred due to the content and information posted on this social media. Every investment and trading move involves risk, doing own research should be conducted when making a decision.

DueDEX

Trading Bitcoin Futures, Fairly

DueDEX_Daisy

Written by

DueDEX

DueDEX

Trading Bitcoin Futures, Fairly

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