Summary:
- Market uncertainty seems to boost Bitcoin
- Technical analysis of Bitcoin and Ripple
- Boerse Stuttgart launches ETNs based on Litecoin and Ripple
Bitcoin for turbulent times?
Bitcoin rally continues easily beating subsequent "key levels". Are there any reasons behind Bitcoin’s sudden surge? As we could see in recent years, Bitcoin's performance was marked by huge volatility and erratic price swings were quite often. The market sentiment was improving recently what is perfectly depicted by the situation on the charts.The adaptation of Blockchain is growing and the new technology is appealing for almost everyone - big banks, companies and even governments. However, the latest price gains may be more related to the trade uncertainty. Concerns over trade war escalation led the Chinese yuan to be the second fiat currency most often translated to Bitcoin. Currency instability could also lead to increased interest in cryptocurrencies. On the 10th of May, 2019 when the Brazilian inflation was released (4,58%), the most inflows came from the Brazilian real. Moreover, cryptocurrency exchanges recorded increased activity in Venezuela, where hyperinflation is biting into savings of citizens. Apart from that, let's recall findings from „Collective analysis: Brexit” compiled by Cindicator. Around 62% of analysts surveyed by authors believe that Brexit will have a somewhat positive impact on crypto prices. The group believes that Brexit will continue to be a source of great uncertainty and may cause people to be more eager towards cryptocurrencies.
Bitcoin struggles a notch below the $8000 handle. Source: xStation5
From a technical standpoint, the price reacted to the local high from the end of July 2018. Profit taking may be the cause of the latest brief pullback as the coin surged over 100% and traders may have wanted to book some gains. In case the decline is to prolong price could visit closest support levels at $7338 and $6795. On the other hand, bulls could use current pullback to regroup before delivering another major jump
Altcoins didn't miss an opportunity either. Ripple is trading lower today but has experienced some hefty gains in recent days. Given that the cryptocurrency market as a whole once again began to move in tandem with Bitcoin, prolonged decline on the market of most famous cryptocurrency could drag altcoins lower as well.
Ripple pulls back after recent spectacular performance. Source: xStation5
Litecoin and Ripple listed on the regulated market
Germany’s second-largest stock exchange, Boerse Stuttgart, has launched trading for exchange-traded notes (ETNs) based on two cryptocurrencies – ripple (XRP) and litecoin (LTC). ETN is a financial instrument similar to bonds but interests are based on the change in value of the underlying asset. Boerse Stuttgart plans to keep expanding crypto offering making it one of the most “crypto-friendly” European exchanges.
