Weekly Report on Major Cryptocurrencies (BTC, ETH, XRP, DOGE, ADA)
Abstract
The market will naturally rise when it stops falling, and it seems that long positions have begun to appear at the moment.
Ethereum’s rebound is stronger than BTC, and is expected to continue this trend.
XRP needs to break through several key obstacles to rise to $1.
The macro market will usher in the first ‘Data Week’ in 2023.
In the first week of the new year, Bitcoin and other altcoins began to show signs of recovery.
Market performance of mainstream cryptocurrencies in the past 7 days
🟠 BTC
Official News
On January 3rd, it has been 14 years since Satoshi Nakamoto mined the Bitcoin Genesis Block#0 in a small server in Helsinki, Finland, at around 6:15 PM UTC time in 2009.
In the coinbase data of the Genesis Block, Satoshi Nakamoto recorded the headline of The Times on the same day: “The Times 03/Jan/2009 Chancellor on brink of second bail out for banks”. There was only one transaction in the block, with a block reward of 50 bitcoins. The official Bitcoin Twitter account also tweeted to commemorate the 14th anniversary of the Bitcoin Genesis Block.
Before the deadline, according to CoinGecko data, the current price of Bitcoin is $16,814.86, with a market capitalization of $323.7 billion.
Candlestick analysis
Recently, the trading volume of Bitcoin has been relatively stable, and the trend has been continuously weak. Up to now, there have been two months of narrow-range oscillations near the current position, so every major fluctuation in the future should be taken seriously, as it may be some kind of signal.
The first position is around 17500, and standing firm at this position can be considered as a possible rebound. The second position is around 18000, and standing firm at this position will basically confirm that the rebound will continue.
The market is not falling, naturally it will rise. At present, it seems that the bulls have begun to appear, and the bears have already consumed almost all their energy, so the probability of a bear counterattack is not high. Just hold on patiently, the market will give holders a small dividend wave.
Charles Edwards, Founder and CEO of asset management firm Capriole Investments, said on January 5th, ‘Bitcoin is brewing for a major fluctuation. Bitcoin is currently at a low point in volatility, and generally, when Bitcoin breaks through extremely low volatility, the next trend tends to continue. Don’t go against the trend in the upcoming major movement.’
Hot News
On January 6th, the trading volume of CME’s December Bitcoin futures decreased by 48.3% to $13.2 billion.
On January 5th, asset management giant BlackRock added Bitcoin to the investment portfolio of its global allocation fund.
On January 4, the Bitcoin Genesis Block was born 14 years ago.
On January 3, the Bitcoin mining difficulty dropped by 3.59% to 34.09T, and the current average network computing power is 264.9 EH/s.
On January 3, 2022, the annual Bitcoin miner income decreased by 37.5% year-on-year to $9.55 billion.
On January 2nd, the number of addresses holding more than 1000 bitcoins reached a three-year low, with a total of 2031 addresses.
On January 1st, the number of addresses holding more than 0.1 bitcoins reached a record high of 11,426,629.
On January 1st, bestselling author of “Rich Dad Poor Dad” Robert Kiyosaki tweeted that he is investing in Bitcoin.
🔵 ETH
Official News
Updating ERC4337
Launching Taiko zkEVM alpha-1 testnet
Rock 5B ARM64 Optimism node validation
Layer 2 (transaction verification + cross-chain bridges) sets monthly gas consumption record on the mainnet
Most gas-consuming contracts in 2022: Uniswap v3 followed by Seaport (OpenSea)
Candlestick Analysis
The rebound of Ethereum is stronger than that of BTC, and it is expected to continue this trend, despite ETH being in a consolidation phase.
Before the key resistance area between $1,700 and $2,000 becomes the target, pay attention to the triangle top at $1,400. It is expected that $1,000-$1,100 will be a good support level. Ethereum is expected to break through the resistance level of $1,250, and short positions can control the price in the resistance area. This may cause ETH to slide towards the short-term bullish trend line.
If you’re thinking about buying ETH, it’s important to note if the price can successfully break above $1,250, as ETH is vulnerable as long as the price stays below that level.
Hot News
On January 6, Ethereum futures trading volume fell 55.3% to $481 million.
On January 5th, Ethereum founder Vitalik Buterin officially obtained the RNS.ID identity card of the Republic of Palau.
On January 5th, South Korean gaming giant Wemade plans to launch an Ethereum Layer 2 platform using zero-knowledge proof technology.
On January 4th, the registration of Ethereum Name Service (ENS) exceeded 2.8 million in 2022.
On January 3, 2022, Ethereum accounted for 80% of all block space fees, with total ETH trading volume 338% higher than BTC.
On January 2nd, Web3 Open Source University WTF Academy announced that it has received funding from the Ethereum Foundation.
On January 1st, the 7-day average trading volume of Ethereum was 37,715.274 transactions, reaching a two-year low.
In addition, on January 9th, Ethereum scalability project Scroll will perform a Pre-Alpha network reset to increase the throughput of the Pre-Alpha test network.
🟣 XRP
Official Dynamics
Collaborating with MFS Africa to provide simplified mobile payment services to customers in 35 African countries and regions.
The Republic of Palau is collaborating with Ripple to explore the creation of a ‘national stablecoin’ that will enable the country to facilitate local payments easily and securely. Ripple has stated that the Palau stablecoin will be launched on the XRP Ledger, but the release date is yet to be determined.
Weekly line
The XRP price has drawn a green candle along with other cryptocurrencies such as BTC and ETH, and the MACD is moving in the direction of a blinking buy signal on the 12-hour time frame.
For XRP to rise to $1, several key hurdles need to be overcome, starting with the confluence of the stubborn 50-day exponential moving average (EMA) with the falling dotted trend line at $0.3587.
Further rises to $0.45, $0.55, and $1 will depend on how XRP responds to the resistance levels of $0.3990, which are the 100-day and 200-day moving averages.
According to Tradingview analyst negheart8, XRP is waiting for “one last drop before going up” if history repeats itself.
In addition, in the optimistic outlook of XRP price in 2023, onlooker investors seem to be returning. If Ripple wins the lawsuit against the US SEC, both its token and the crypto industry may benefit.
Hot News
On January 2nd, Ripple CTO said that the encryption industry is in a situation similar to Google in the early 21st century.
🔷 DOGE
Official News
Michi Lumin, the Chief Engineer of the Dogecoin Foundation, stated that there is currently no plan to switch to PoS, but plans to provide a proposal to the community that differs in many ways from traditional PoS. Dogecoin cannot suddenly or forcefully switch to PoS.
Candlestick analysis
The daily chart of DOGE shows a strong upward trend, with prices above the 50-day moving average. The relative strength index (RSI) is currently trading at 36.77, indicating that the digital asset is in overbought territory. In addition, the moving average convergence divergence (MACD) line has crossed the signal line and shows a bullish cross, indicating that buyers are dominating the market.
In addition, the 50-day moving average of DOGE is also rising, further confirming its bullish trend. The upper limit of the Bollinger Bands, which is $0.0714, or DOGE price The maximum resistance level for upward movement.
70% of Doge addresses have held their coins for over 1 year, indicating that there are also many HODLers of Dogecoin. In this situation, there won’t be much short-term selling pressure, and people won’t leave unless it rises.
Hot News
Dogecoin founder Shibetoshi Nakamoto said that there is still a chance for Bitcoin to reach $100,000 in 2023.
Doge meme prototype Shiba Inu Kabosu’s owner posted on social media, saying, ‘Kabosu is in critical condition, but we believe she will be fine because we have received support from around the world.’ Currently, DogeCoin co-founder Shibetoshi Nakamoto and official accounts of related projects like The Doge NFT have left messages of blessing.
The Dogecoin Foundation recently announced the establishment of a new fund for developers and invested 5 million Dogecoins (DOGE), worth about $360,000, to support the development of Dogecoin Core.
🔶 ADA
Official Dynamics
Cardano plans to release the Hydra Layer 2 scalability solution in 2023;
It is expected that in the first quarter of 2023, the Cardano network will introduce two stablecoins: first is the centralized stablecoin USDA; and the other highly anticipated stable asset is Djed, a token developed in collaboration with Coti.
In 2023, Cardano also plans to release a new generation of Oracle Machines.
Candlestick Analysis
On the hourly chart, the price of ADA has tested the support level of $0.2647 multiple times. Buyers have the opportunity to rebound locally before the interest rate rises above it.
In this case, the uptrend may continue to the recent resistance zone near $0.27.
On the daily chart of ADA against Bitcoin (BTC), the exchange rate also made a fakeout above yesterday’s high. However, the price is still above the important support level of 0.00001572. In this regard, it is more likely to trade sideways in the range of 0.00001560 to 0.00001580.
According to Santiment, another blockchain analytics company, three factors may be favorable for ADA price movements in the short to medium term. Firstly, ADA’s value is severely underestimated; secondly, sellers are exhausted due to ADA hitting a low point of $0.23 in 2022. Thirdly, whale addresses holding 100,000 to 1 million ADA continue to actively accumulate.
As of the time of writing, the price of ADA is $0.2703.
Hot News
According to data released by on-chain and social metrics platform Santiment, Cardano is rated as the blockchain protocol with the most development activity in 2022.
Cardano founder Hoskinson expressed controversial views on NFTs, arguing that they are nothing more than stone carving replicas of original art.
The independent Cardano development team announces its large-scale development plan for 2023.
Important dates for the next 7 days
The upcoming important date hints at potential volatility, as the macro market will usher in the first ‘Data Week’ in 2023:
January 6th, Friday:
Non-farm employment data and unemployment data
ISM non-manufacturing PMI (business conditions survey)
January 8, Sunday:
Gemini’s settlement proposal to DCG is due
January 12th (next Thursday):
US consumer price index (CPI) inflation report
January 13th (next Friday):
Bank of America starts releasing Q4 2022 financial report
