Weekly Crypto Report

November 07, 2021

Good morning/evening/night guys. As every Monday, find here your weekly dose on market analysis, the most relevant industry stats, and our best tips to profit from this exciting market while learning from it!

Bitcoin

Bitcoin continues to be supper bullish as we have been saying all these past days. The main bull pennant that we have been tracking every day is finally breaching up signaling the bullish continuation on small, mid, and long timeframes. So once again, I see zero reasons to sell, and zero reasons to short. Remains full bullish:

In the meantime, the Bitcoin Dominance is bouncing and testing the previous uptrend support as resistance now. Let's see if finally gets rejected and the altcoin party gets more fuel.

For now, BTC continues looking really strong so I would be patient:

Big Caps index

Given that BTC strength, we can see looking at the Big Caps Index how they are being punished. We have a double top formation on the daily timeframe which is currently testing the local horizontal support, but not looking good here. Most likely headed for some correction consolidation:

Mid Caps index

Meanwhile, the Mid Caps Index continues unable to wake up, setting a new lower low and breaching down again the key horizontal support after a really weak breakout.

Zero interest in it for now. It doesn't have the strength of the Big Caps to fight the BTC shakeouts. So I would forget about it for now:

Crypto Stats

Bitcoin ATM Installations Growth

Bitcoin ATM installations have had exponential growth since 2013 when there were only 9 ATM machines installed but those numbers increased to 330 in 2014. Currently, there are 30,660 Bitcoin ATMs installed in 76 countries worldwide.

Out of these 30k ATMs, around 27k ATMs belong to the US alone while Canada is in 2nd place with 2k ATMs.

With the rise in Bitcoin price, demand is increasing so does ATMs.

Ethereum-burned on Various Platforms

Since the activation of the EIP-1559 upgrade on August 5 this year, more than 790,000 ETH have been burned, making up more than half of the new tokens issued over the same period.

OpenSea NFT platform is on the top with more than 95k ETH (12%) burned while Uniswap V2 and V3 have accumulated 89k ETH burned since August 5.

Top Fundraising by Blockchain Startups in Last Week

Digital Currency Group:Digital Currency Group Inc., a cryptocurrency conglomerate that counts the asset-management firm Grayscale and media company CoinDesk among its holdings, raised $700 million in an investment round, the second-largest in the crypto sector.

Mythical Games:Mythical Games, a game development company based in Los Angeles, announced that it raised $150 million in Series C funding, bringing the startup’s total valuation to $1.25 billion. The American venture firm Andressen Horowitz led the funding round, which also saw participation from D1 Capital, RedBird Capital, The Raine Group, Binance, FTX, 32 Equity, the venture arm of the National Football League, The Chainsmokers’s Mantis, and others. 

The Sandbox:Hong Kong-based gaming platform The Sandbox has raised $93 million in a round led by SoftBank's Vision Fund 2. The Sandbox, released on iOS, Android, and Windows, allows users to create their own universe inside the game using different elements.

Top 10 coins mentioned on Twitter Last week

BTC:Bitcoin is on the top of the list with more than 2.4 million mentions on Twitter last week while price action remains sideways during the week.

SHIB:SHIB is in 2nd place with more than 1.6 million mentions on Twitter while its price remains volatile and dropped more than 40%

ETH:ETH is in the 3rd spot this week with 697k mentions on Twitter while its price reached a new ATH of $4,665 during the last week.

Skin in the game

Traits of successful traders

Becoming a successful trader is not an overnight thing, it takes years of hard work and consistency to achieve it. If you are new to trading and want to be part of the class of successful traders then you need to adopt the following traits.

  1. Always use a trading plan

Trading without planning is equal to gambling. Devise a trading plan where you will define SOP’s of entering and exiting a trade and follow it religiously. Keep making adjustments to the plan to stay competitive. You might be making losses along with profits but profits will be higher than losses if you will follow the trading plan.

  1. Takes trading as a business

Treat trading as a full or part-time business rather than a hobby or job to become successful in it. As if you will take it as a hobby you will not give the required time it takes to learn it and on the other hand, if you will consider it a job then you will get frustrated as there are no regular paychecks in it.

  1. Getting out of your comfort zone

Willingness to come out of your comfort zone and tolerating it is necessary to achieve success in every field of life. Our self-created boundaries don’t allow us to go out of the way to put effort to achieve something. Being a trader you cannot become successful by following the things that are already in books. You need to try new things, test new things and strategies to see what works best for you.

  1. Non-stop research

Research and trading are interconnected with each other. The more you research about the fundamentals and technical side the more comfortable and confident you will be in your trading resulting in an increase in your trading performance.

  1. Develop your own strategies

You can not get a competitive edge into your trading but following the existing trading strategies available in the books or online as everyone uses them and they become obsolete. You need to test new things and develop your own strategies to a competitive edge over others.

  1. Protect trading capital

While trading your first and foremost priority should be to protect the capital. It is not possible to always stay profitable in trading but you need to cut your losses and let your winners run but make sure to set profit targets and act on the plan.

  1. Take benefit of technology

Having a competitive advantage is the only way to sustain in trading. There are various charting software available offering tons of indicators and algorithms that you can test to create your own trading strategies. Try to be one step ahead of others by adopting and testing the latest technology.

  1. Take the calculated risk

Business always comes with risk and the same is the case with trading. The first thing is to risk only what you can afford to lose and then make sure to take the calculated risk rather than open a trade blindly. 

Rand