Your Cryptocurrency Newsletter for 22 SEPTEMBER, 2020

If you are interested in cryptocurrencies, this newsletter is for you. [img]  [Learn more about RevenueStripe...](   [Learn more about RevenueStripe...]( [img]( [FeedBinary Newsletter]( [What Advice to Follow Before Purchasing Bitcoin and Other Cryptocurrencies?]( If you have been thinking about purchasing bitcoin, or other cryptocurrencies, since the pandemic started, you are not the only one that who given some thought to the idea.Crypto sales have been rising since the economies around the world started experiencing inflation and declared a state of recession. As bitcoin and cryptocurrencies are practically immune to economic and political circumstances, they have become the new Mecca for beginners and experienced shareholders. [advice follow before purchasing bitcoin] However, everyone should understand that no investment promises risk-free profit, and the same thing goes for cryptocurrencies. That is why every potential crypto investment needs to have a lot of prior research. To shield oneself from possible error, we will highlight some vital precautionary measures/advice that one should take before buying bitcoin and other cryptos. Each advice applies to both bitcoin and other cryptocurrencies, even though bitcoin will be mentioned the most. Advice #1 – Do Your Research Probably the most important part before buying bitcoin is doing the necessary homework – research. Every investor should gain knowledge about what bitcoin is, how it works, what the potential flaws are, how it appears on the market and related things. Depending on the experience, research should be either more or less thorough. As bitcoin gained vast popularity back in 2017 when it experienced the biggest increase in the market, it drew most investors’ attention. Apart from them, individuals that had no connections to trading shares had taken their chances with cryptocurrencies. Without any knowledge, it is highly recommended to spend several hours on research prior to the purchase, as a fast and reckless investment can cost a lot, both financially and emotionally. Advice #2 – Pay Attention to Crypto Volatility Even though bitcoin and other cryptocurrencies are almost entirely resistant to the country’s affairs, their worth can change overnight, literally. Bitcoin’s volatility is probably one of the highest on the market and is highly unpredictable. For example, back in 2017, when bitcoin experienced its peak, the bitcoin value dropped to US$12,000 from US$19,000 within one week. Still, there are some recognized circumstances when bitcoin can rise or fall in its price: - Bitcoin tends to behave differently due to supply and demand. When demand for investing in bitcoin is high, the price will usually go up, while in the situation of many bitcoin sales, it will likely go down in worth. - If there are several positive news about bitcoin on the market, its value will likely go up due to the better acceptance. On the other hand, when the crypto regulation news emerges, bitcoin has a habit of decreasing on the market. Some experts argue that bitcoin is not a store of value, though the example in China shows a different situation – the Chinese have made more investments in bitcoin due to the most recent trade war with the US. Advice #3 – Be Wary of the Weekends Bitcoin and other cryptos have shown a high possibility of being volatile on the weekends, and not in the right way. Many may see the crypto market open on the weekends as an advantage (mostly because traditional financial markets are closed during that time) but be cautious about the bitcoin volumes. The volumes are often lower during the weekends, which causes high bitcoin volatility. Due to that, it would probably be the smartest to stay off the market during this time and charge the batteries for the upcoming week. Advice #4 – Avoid Impulse Purchases and Sales Once you have taken all the necessary steps before purchasing and finally decided to invest in bitcoin, it is still recommended not to be impulsive. Whatever you choose to do, there is still a high chance that its worth will drop at some point in the future, and that is why impulsive sales should not occur. On the contrary, investors should not check any charts after purchasing for at least a day to avoid collapsing in this trap. If it is easier, consider trading on automated trading systems. Advice #5 – Report Bitcoin Income Times, when cryptocurrencies were not taxable, are long gone and are a thing of the past for most developed nations. Australia has already introduced a regulatory plan for all cryptocurrencies and has explained what is considered as crypto income, in detail. The leaked draft that the European Commission is planning to implement by the end of the month is also available and will affect the entire EU. Due to that, check how cryptocurrency gain is regulated in your country and act accordingly. Advice #6 – The Timing Matters Sometimes, bitcoin can act as a bubble. In the trading world, a bubble describes a quick rise and unexpected fall in price. As mentioned in Advice #2 above, situations like the one in 2017 have happened on numerous occasions. When bitcoin reached its peak, experts thought that there is no possible bitcoin bubble because it was believed that blockchain technology could not make that mathematically possible. However, the bubble burst though it did not break down for good. Since 2019, bitcoin has had mostly positive outcomes. That said, it is imperative to time all purchases and sales. A famous oil mogul, Paul Getty once said that investors should purchase when everyone else is selling and hang on until everyone else is buying.  [Read Full Newsletter]( The post [What Advice to Follow Before Purchasing Bitcoin and Other Cryptocurrencies?]( first appeared on [Feed Binary](. [Read Full Story]( ------------------ You Might Like     [Learn more about RevenueStripe...]( ------------------ [Cryptocurrency Market Prospects Review 2020]( In the second half of 2020, the popularity of cryptocurrencies, as well as their value, have grown significantly. In addition, a promising new sector of decentralized finance has emerged, the excitement around which resembles the “era of ICO”. In this article, we will figure out what surprises to expect from cryptocurrencies until the end of this year, and whether we should expect new price records from the leaders of the crypto market. [cryptocurrency market prospect reviews] The period from September to December 2017 attracted the most attention to cryptocurrencies in the history of this industry. In just a few months, tokens showed an increase of hundreds and thousands of percent, and the cost records of that period have not been broken until now. And this year, for the first time, cryptocurrencies have the prerequisites to repeat this scenario. Against the backdrop of the global crisis, instability of national currencies and economic losses, cryptocurrencies look more and more attractive. The US Federal Reserve has printed trillions of dollars, further proving the value of limited-emission assets, including BTC and other cryptocurrencies. For comparison, if in 2017 investors were guided by greed and fear of losing an opportunity, now the growth in popularity of cryptocurrencies has much more serious reasons. After BTC fell to $3,800 in March, the price recovered very quickly and reached a two-year high of $12,000. Viktor Pershikov from 8848 Invest advises not to expect a new “bubble” until the end of the year, but believes in the possibility of updating the annual highs of leading cryptocurrencies. For the growth of the crypto market to show parabolic dynamics, the participation of many institutional investors is needed, which has not yet been observed. LAZM CEO Philip Modnov insists on the need to overcome the $14,000 level in order to continue the strong growth of bitcoin. The crypto expert also does not expect a new explosive growth of the market until the end of 2020, and the most likely time for a new “to the moon” is April 2021 – exactly one year after the BTC halving. In addition, it should be borne in mind that one of the reasons for such attention to cryptocurrencies in 2017 was ICO. Many people remember how crude the projects were, however, they attracted serious investments. Since most blockchain startups were created on the Ethereum protocol, this had a very positive impact on the ETH rate, which reached $1400. At the moment, a similar situation is created by DeFi projects, whose tokens grow by hundreds and thousands of percent in a matter of days after listing on decentralized exchanges. The most famous case is the YFI token, which grew by 100,000% in two months and became more expensive than bitcoin. But so far, this is a much smaller market compared to ICO, as even Google Trends data suggests. Do not forget about altcoins, which performed very well in the summer of 2020. Many experts are sure that it was the Altseason that led the entire crypto market upward. More importantly, many of the altcoins are backed by really serious projects, the development of which has a positive effect on the price of coins. In addition, altcoins have attracted a significant number of investors in recent months, due to the fact that investing in altcoins is less risky than investing in DeFi. “The situation is now very good for the cryptocurrency market, with major coins approaching important market and psychological levels. If the value of BTC and ETH rises by 30%, it will be the beginning of a new very strong upward movement that could renew record price indicators. I cannot say that DeFi is moving the market forward, as they represent a fairly small market share. One thing is clear – in an economically unstable world, cryptocurrencies can become a real haven for many investors. This is the reason for their popularity in 2020“, – says Nikolay Shkilev, CEO at Zelwin, global marketplace of goods, which allows payments in crypto. In general, according to experts, until the end of 2020, there is a good likelihood of continued growth in cryptocurrencies and renewal of annual highs. However, one should not expect a new “boom” this year. A truly parabolic market growth is possible only in case of large investments from institutional investors. [Read Full News]( The post [Cryptocurrency Market Prospects Review 2020]( first appeared on [Feed Binary](. [Read Full Story]( ------------------ You Might Like     [Learn more about RevenueStripe...]( ------------------ [The Truth About Bitcoin and Gold’s Correlation]( Bitcoin-Gold correlation at 76.3%, at the time of writing, market analysts are once again commenting on how crucial this correlation is, especially with regard to what it implies. However, what is interesting to note here is that this correlation was negative for the most part of the past two years. That is, before Bitcoin’s rally on 27 July changed the narrative. [bitcoin and gold corelation] It’s very crucial to address this correlation because, in the eyes of many analysts, correlations are a useful tool in determining the direction of the cryptocurrency’s price movement. While that is up for debate, what is not is the fact that Bitcoin’s price is determined by a host of factors that include more than just correlation stats.For instance, top on-chain analyst Kevin Svenson was one of those to recently shared about the correlation between Bitcoin-S&P 500 and Bitcoin-Gold. Basing price predictions on correlation with non-cryptocurrency assets may not be the best move as the Bitcoin-Gold correlation before 2018 was negative to the extent that it can be dismissed as incidental. A similar correlation can be observed between Bitcoin and tech stocks or stock indices like VIX. However, in 2020, a positive correlation can be derived from the fact that Bitcoin’s price has recovered from the post-halving drop and the RoI is upwards of 53% YTD. So, while the correlation is evident and applies to the present market cycle, will it be relevant? And, if yes, then for how long? To determine how long the correlation will remain relevant, it is important to ascertain why it exists in the first place. Both Bitcoin and Gold are mined and their scarcity leads to an inelastic supply. This is the fundamental basis of correlation, however, it also leads to the consideration of Bitcoin as a “safe store of value,” with a particular focus on “safe” here. In reality, Bitcoin is not a “safe” asset. There is volatility associated with it and despite the digital gold or its store of value narrative, one might argue that it is scalability that has driven its value. In fact, research published by the International Review of Financial Analysis revealed that Gold plays an important role in financial markets with flight-to-quality in times of market distress. However, Bitcoin behaves in the exact opposite manner since it is positively correlated with downward-trending markets. Further, Bitcoin is more correlated with other cryptocurrencies during other phases of its market cycle, than with Gold. [bitcoin gold co relation chart] Bitcoin’s correlation with other cryptocurrencies like Ethereum, XRP, and Tron is positive and ranges from 40% to 90%, as per data from Coinmetrics. The idea behind talking correlation is to predict the price movement, however, Bitcoin’s price is influenced by several factors in addition to its correlation. That being said, one might argue that it is possible that the correlation with Gold may help predict the price in one phase (the accumulation phase) of Bitcoin’s market cycle. A Bitcoin-Gold correlation exists and can be used for gauging possible price movements in the post-halving and accumulation phase of the market cycle. However, BTC’s correlation with other crypto-assets remains stronger and should possibly be preferred for more accurate predictions. [Read Full News]( The post [The Truth About Bitcoin and Gold’s Correlation]( first appeared on [Feed Binary](. [Read Full Story]( ------------------ You Might Like     [Learn more about RevenueStripe...]( ------------------ ------------------ Connect with TheFeedBinary on Facebook and Twitter [fb](  [tw]( ------------------ You received this email because you operate or create content for a website/service and based on your website it seemed like this could be important information to you and your users. FeedBinary daily newsletter is managed by [Postbox Consultancy Services Pvt. Ltd.]( C-4/5, IBD Emporia, Kolar Road, Bhopal, Madhya Pradesh, INDIA, 462042 Want to change how you receive these emails? [Update your preferences]( or [Unsubscribe](