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Stefan Kühn: There’s something going on in the crypto market – Part 1




Bitcoin and Ethereum, Aave, Algorand, Bitcoin Cash, Cardano, Chainlink, Cosmos, EOS, Ethereum Classic, Filecoin, Litecoin, Maker, Polkadot, Ripple, Stellar, Tezos and Uniswap … another visit.

There is something going on in the crypto market: The price of the digital currency Bitcoin closed on August 23. Jumped above the psychologically important mark of USD 50,000 for the first time since May! – The $ 100,000 forecast for the largest cryptocurrency is gaining support! – Change at the top? Ethereum is overtaking Bitcoin in terms of performance! – What is a BTC anyway? – Expansion of our analysis methodology!

The course of Bitcoin (BTC)
At the end of July 2020, 1 Bitcoin was still worth CHF 10,000. In December it was already USD 20,000. In February 2021, the price climbed to over USD 50,000. Since the interim low in mid-July, when the price fell to – to be precise – USD 30,001.51 (the fact that the USD 30,000 mark was not broken is important for the chart analysis!), The gains in crypto money have been adding up to almost three quarters. The consolidation phase from April to June 2021 in the trading range from USD 40,000 to USD 30,000 was central to enable BTC to ‘bottom out’. In this phase the disappointed investors sell and the optimistic investors take over. The tipping point (further price movement up or down) is defined by whether there are more disappointed investors than optimistic investors. The brilliant recovery has shown that there is a clear overhang of optimistic investors!
In the past few days, the decision of the US trading platform Coinbase to increase its holdings of cryptocurrencies has also provided momentum. However, there is still a long way to go before Bitcoin’s record high of almost USD 64,900 in April 2021.

The second largest cryptocurrency, Ethereum (ETH), recently recorded significantly stronger price increases than BTC! The ascent to the top seems to be only a matter of time!
The number 2 among the cryptocurrencies has so far increased by more than 300% in the current year, while the front-runner Bitcoin ‘only’ around 50%. Step by step, Ethereum is fighting its way towards Bitcoin! A change in market leadership is therefore possible!

Excursus: What is a Bitcoin anyway?
The founder of Bitcoin is Satoshi Nakamoto. To date, it is not known exactly who Nakamoto is. The pseudonym could also be the name of several developers who are behind Bitcoin. The cryptocurrency was first outlined in a white paper on October 31, 2008 – shortly after the collapse of the US investment bank Lehman Brothers. Bitcoin is based on the idea of ​​a currency that exists independently of states, central banks and monetary policy. In contrast to traditional currencies, Bitcoin does not have a central point that controls the means of payment. Instead of being validated by banks and financial service providers, Bitcoin transfers are validated by a globally distributed computer network that is openly accessible to everyone.

In view of the market development of Bitcoin and Co. and the technical characteristics, we have expanded our analysis methodology to include important market-technical elements such as momentum, sentiment and capital flow indicators (flow-of-funds) as well as technological factors. This will help us to develop an even better and more complete understanding of the market forces in the crypto market! ‘, Explains self-sufficient analysis expert Stefan Kühn the new approach.

Is a BTC rate of USD 100,000 realistic? – The arguments for BTC show a very optimistic mood! – There are also solid, fundamental arguments for ‘cryptos’!
Bitcoin is celebrating a comeback that has brought the world’s largest cryptocurrency up more than 50 percent from its recent lows. As is so often the case with Bitcoin rallies, this lures sky-high price targets. $ 100,000 is again a topic of conversation in the crypto scene!

Until recently, Bitcoin was still in a bad mood as a result of the abrupt crash from the record high of 64,912 dollars on April 15. The fall of the Bitcoin price towards 30,000 dollars within a few weeks fueled serious fears about the cryptocurrency.

Gone are the days when there was talk of a potential setback to $ 20,000 or even further price drops. It is now back in fashion to talk about a return to the previous price high and expect new records beyond that!

Bitcoin has gained four weeks in a row and the price is approaching its second monthly increase. The cryptocurrency has seen the fastest 21-day increase since February. That was the last time the price went really steeply to new heights.




Things are looking up again, ‘said Meltem Demirors, chief strategist at the crypto fund provider CoinShares, to the Bloomberg news agency. She even reinterprets the specter of stricter regulation in a positive way. Many investors see the new attention from the authorities as positive news and a positive catalyst because it clears up a lot of confusion and uncertainty. ‘And I think it also shows that the crypto community is no longer an esoteric or dim corner of the financial world,’ said Demirors.

If the US government’s new tax plans to finance its trillion dollar infrastructure program were recently seen as a burden on the US crypto industry, the concerns now seem to have vanished. A first draft law with significantly stricter regulations regarding the taxation of digital assets should find a majority, but the measures are not yet set in stone, according to market observers.

And: Even the hackers, who, according to media reports, stole up to 600 million dollars in crypto currencies from the DeFi platform Poly Network, have not yet plunged the prices into the abyss.

Tom Lee from Fundstrat Global Advisors also sees Bitcoin at $ 100,000 – even by the end of the year! The co-founder of the analysis house recommends a simple rule to investors, which, as is so often the case with Bitcoin, is based on patterns in the price development (chart analysis): If Bitcoin exceeds its average price over the last 200 days, then it is time to buy.

The so-called ‘hash ribbons’ indicator has also caused a stir in the past few days. This is based on the ‘hash rate’, which crypto fans see as a very safe guideline for the state of Bitcoin. The hash rate measures how many calculations the Bitcoin network does per second. This indicates the extent of Bitcoin mining, which in turn should allow statements about the price development of the cryptocurrency.

The increase from 98 million TH / s (TH / s is the estimated number of terahashes per second that the Bitcoin network executes in the last 24 hours) to 109 million TH / s (1 TH / s is 1,000,000 ‘000’000 hashes per second) in the last days of July and the beginning of August sparked fantasies. According to the indicator, the miners have ended the ‘surrender’ phase (that is, they have also become optimistic again and are mining BTCs again). In other words, this is a buy signal for Bitcoin. Only: While some swear by the hash ribbon indicator and point out that the patterns have so far always indicated a price increase (for example in autumn 2020 before the very strong rally that lasted until last April), others say that such statements should be made be met with a certain skepticism. It is also good if there are still skeptical investors. Because if they (have to) change their minds in view of the price development, there is additional price potential! ‘, Sums up investment professional, Stefan Kühn from Autark AG.

Responsible for this press release:

SK CONSULTING
Mr. Stefan Kühn
Friedrich-Ebert-Str. 51
47179 Duisburg, Germany
Germany

fon ..: 0800 40 40 699
web ..: http: //www.stefan-kühn.com
email: consulting@stefan-kühn.com

Stefan Kühn is an economist; For a number of years he has dealt with economic changes and the interdependence of markets as well as political influence on companies, society and the money market. He advocates the thesis that macroeconomic Keynesian and New Keynesian models are mostly completely interdependent economic systems that cannot be solved recursively but only simultaneously. In doing so, he does not only consider purely scientific methods, but draws his knowledge from his many years of activity as an entrepreneur and consultant in the management of mainly listed companies such as AUTARK AG and Musical & More AG

“You can use this press release – also in a modified or shortened form – with a source link to our homepage on your website free of charge.”

Press contact:

SK press department
Mr. Stefan Kühn
Friedrich-Ebert-Str. 51
47179 Duisburg, Germany

fon ..: 0800 40 40 699
web ..: http: //www.stefan-kühn.com
email: consulting@stefan-kühn.com

Mr. Stefan Kühn, Friedrich-Ebert-Str. 51, 47179 Duisburg, Germany


Hasan Sheikh
Hasan, who loves technology and games, is studying Computer Engineering at Delhi JNU. He has been writing technology news since 2016.
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