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Weekly Brief 22nd October

BTC Price: $6,468

Last 7 Days: -0.67% 1month: -3.56%    12months: +10.1%

BTC Commentary:
The last 7 days has once again been fairly muted, as uncertainty continues to dominate the markets.  At the beginning of October, BTC is at a 17 month low on volatility which represents its highest level of stability since mid-2017. The reduction in overall volatility matches many analysts views that as the market matures, volatility will decline.  With any new market- volatility tends to be high while it establishes itself but then with infrastructure and support- this volatility drops off.  In line with this, those expecting a price action similar to the back end of last year with BTC smashing all time highs should maybe temper their expectations.  Whilst many expect an upturn in the fortunes of BTC in the short-term, upside expectations are more towards $10,000 rather than a swift and immediate boost back towards the $20k mark

BTC Volume:  
15th October: $3,857,632,711 (BTC price of $6,649) 
22nd October: $3,563,779,104 (BTC price of $6,468)
7.61% decrease in trading volume in the last 7 days 

Last 7 Days Big Market Movers:

Simmitri                 SIM    UP 840%    Price: $0.09
Ravencoin             RVN   UP 192%    Price: $0.05
OWN                     CHX   UP 180%    Price: $0.06

Last 7 Days Big Market Movers:

Simmitri                 SIM    UP 840%    Price: $0.09
Ravencoin             RVN   UP 192%    Price: $0.05
OWN                     CHX   UP 180%    Price: $0.06

ETH Price: $204

Last 7 Days: -3.3%  1month: -14.6% 12months: -31.0%

Commentary: ETH continued to slide in the last week albeit the fall away in price is marginally less aggressive than it has been. Ethereum’s core developers have been working on a Constantinople “hard fork” which was an Ethereum wide update, however in a meeting on the 19th, they reached a consensus to delay a hard fork of the protocol until January 2019, citing a few underlying technical reasons for the decision.  As far as technicals are concerned, a focus on the downside given its recent trend suggests that $192 remains the bottom of the most recent range and a break below here would then see $167 level from previous low on Sept 12th as the next level off support.

Market Cap. Dominance:

BTC: 53.7%
ETH: 10.02%
Other ALT-Coins: 36.28%

Past Week Talking Points:

  • Rumours abound that the Bill and Melinda Gates foundation may utilise Ripple’s inter ledger technology to facilitate micropayments in the developing world.
  • Glassdoor has noted a 300% increase in blockchain related jobs in last year in the US with a median base salary of almost $85,000
  • The Bermudan Government has awarded its first certification for an ICO under the islands new regulations
  • The Port of Rotterdam, Europe’s largest port has partnered with ABN Amro and an IT subsidiary of Samsung to test Blockchain for shipping
  • A Hong Kong stock exchange report suggests that crypto and blockchain should be regulated in line with existing regulatory frameworks

Weekly Comment:

Even if we accept that the days of huge volatility in the crypto markets on “majors” such as Bitcoin are behind us, you can never accuse the crypto market of being boring.  Each week, even in these relatively uncertain times, high profile news continues to come to the market and whilst it would be wrong to ignore the negative press and less than favourable PR around the space, there is still a significant number of larger and larger businesses either dipping their toe into the sector in terms of development or jumping right in with ambitious projects that require a large amount of investment and commitment.

The blockchain snowball is gathering momentum and as we head to the end of 2018 and into 2019, i would be surprised if we had another year of downward price action and consolidation that has characterised this year. Granted, 2019 may not go completely crazy in terms of prices but one cannot help but feel that as some of these larger projects come to fruition and regulation becomes more widespread, more capital inflows to the sector will come with it both in terms of investment as well as speculative and that will inevitably lead to an overall increase in crypto prices.

Have a great week,

The GlobalBlock Team