Crypto Market Analysis

Daily Crypto Update 07.06.2018 – Nothing Has Changed Since Yesterday

General Overview


Market Cap: $345,346,669,155

24h Vol: $14,967,182,843

BTC Dominance: 37.9%


In the last 24 hours, the crypto market cap has been moving sideways. Yesterday started off at around $344B and has been hovering around these levels before it dropped steeply to $338B only to go up again to previous levels. Today’s high was at 349,653,000,000$ and since then, the evaluation has retracted back to yesterday’s levels.

The market is currently showing mixed colours. Biggest gainer among top 100 is Aeternity whose price increased by 13.7%, and the biggest loser is Nexus who’s price decreased by 15.16%.



The most significant news that came out in the last 24 hours is that the U.S. Securities and Exchange Commission Chairman Jay Clayton stated that the agency won’t change securities laws to cater to cryptocurrencies

“We are not going to do any violence to the traditional definition of a security that has worked for a long time,” U.S. Securities and Exchange Commission Chairman Jay Clayton told CNBC on Wednesday. “We’ve been doing this a long time, there’s no need to change the definition.”

That means that cryptos are intended to compete with sovereign currencies like the US dollar, won’t be defined as a security.

“(Cryptocurrencies) These are replacements for sovereign currencies, replace the dollar, the euro, the yen with bitcoin,” Clayton said. “That type of currency is not a security.”

However, those tokens that are sold during an ICO are securities by Clayton’s definition.

“A token, a digital asset, where I give you my money and you go off and make a venture, and in return for giving you my money I say ‘you can get a return’ that is a security and we regulate that,” Clayton said. “We regulate the offering of that security and regulate the trading of that security.”

This is fairly good news, but we are yet to see the implications of it. For example, many ICOs are emphasizing their token’s utility to escape being seen as a security.

While we are mentioning SEC, another significant headline that came out in the last 24 hours is that Van Eck Associates Corp. and SolidX Partners Inc. filed a request to list a Bitcoin-linked ETF to the U.S. Securities and Exchange Commission on Wednesday, as reported by Bloomberg.

SEC has rejected Winklevoss Bitcoin Trust ETF last year, so we are yet to see if these two companies make the ETF. The important thing is that this fund will be physically backed, meaning they will hold the actual Bitcoin, which would be insured in a theft or loss event.

Another news item regarding regulation and filing is that Circle Internet Financial Limited – a peer-to-peer payments technology company, who obtained the cryptocurrency exchange Poloniex is pursuing both a federal banking license with the Office of the Comptroller of the Currency (OCC) and registration as a brokerage and trading venue with the US Securities and Exchange Commission (SEC), as reported by Bloomberg

Similar news is that Coinbase is aiming at becoming an SEC regulated broker, through an acquisition of securities dealer Keystone Capital Corp. according to their blog post.

Today, we’re announcing that Coinbase is on track to operate a regulated broker-dealer, pending approval by federal authorities. If approved, Coinbase will soon be capable of offering blockchain-based securities, under the oversight of the US Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA). This step forward is being made possible by our acquisition of a broker-dealer license (B-D), an alternative trading system license (ATS), and a registered investment advisor (RIA) license.

CFTC denies FOIA request for Bitfinex and Tether subpoenas, as reported by Coindesk.

The top U.S. futures regulator has denied a Freedom of Information Act (FOIA) request for subpoenas reportedly issued to crypto exchange Bitfinex and the closely-linked ‘stablecoin’ operator Tether, according to records obtained by CoinDesk.

The FOIA request, filed by an individual who requested anonymity when speaking to CoinDesk, sought “subpoenas issued to iFinex inc. also known as Bitfinex and it’s subsidiary companies, as well as subpoenas issued Tether Limited and its subsidiary companies” and was initially submitted in February.

Thus, we still don’t have the light shed on the controversy surrounding Bitfinex and Tether Stablecoin.

Parity urges users to install the update after discovering a Testnet vulnerability

Users of Ethereum software issued by Parity Technologies face enforced updates this week after warnings a testnet vulnerability could spread to the Ethereum network, according to Parity’s blog post on June 6.

Parity is a UK-based provider of infrastructure software for interacting with the Ethereum network. A blog post from the company June 5 originally flagged the security problem, describing it as a “potential consensus issue with Parity Ethereum.”

For those who don’t know this isn’t the first time Parity had a bug, as in November last year there was a “Parity multisig hack” in which about $300M was frozen and (probably) lost forever.



From yesterday’s low at 7510$, the price of Bitcoin rose up to 7700 which is a 2.37% increase.

Looking at the hourly chart we can see that the price is currently in another cluster below the 0.236 Fibonacci retracement level. However, the price is above the baseline support line and the triangle resistance line. This is a very crucial time for the price of Bitcoin because if the price continues to go higher that may trigger buying and we can see a short-term trend reversal. I think that’s now going to happen, as the likely scenario is that the price fells below those resistance lines again from this current cluster as it did before and retest old lows at around 7000$.

Market sentiment 

Bitcoin is in the buy zone as indicated by hourly chart technicals.

Oscillators are on neutral, and moving averages on a strong buy.

Pivot points

S3 7198.6 
S2 7406.9 
S1 7530.5 
 P 7615.2 
R1 7738.8 
R2 7823.5 
R3 8031.8


From yesterday’s low at 594$, Ethereum’s price has increased by 1.6% coming to 606$ currently.

As you can see from the hourly chart, the price bounced off the 0.236 Fibonacci level where it found support yesterday, and since then it has broken out of this short-term triangle like pattern and is now back on prior resistance for a retest of support. The price is also above the purple bold line which is the descending channel resistance line.

Market sentiment 

Ethereum is in the buy zone as indicated by the hourly chart technicals.

Oscillators are on buy, and moving averages are on neutral.

Pivot points

S3 562.18 
S2 582.91 
S1 594.79 
 P 603.64 
R1 615.52 
R2 624.37 
R3 645.10


From yesterday’s low, the price of Ripple has increased by 3.2% from 0.659$ to 0.681$ where it is currently sitting.

Looking at the hourly chart we can see that the price broke out of the symmetrical triangle two days ago on the upside as I’ve projected it would, but my short term target hasn’t been met. The price has stopped out at 0.68$ level and retraced to 0.659$ which was yesterday’s low and is now back on those same levels struggling to make a new high, and I still think it is going to get there which would be slightly below 0.7$

Market sentiment

Hourly chart technicals signal a buy.

Oscillators are on buy, and moving averages are signalling a strong one.

Pivot points

S3 0.61446 
S2 0.64266 
S1 0.65853 
 P 0.67086 
R1 0.68673 
R2 0.69906 
R3 0.72726


Things haven’t changed much since yesterday. We are still yet to see where the prices are going from these levels. As the prices are looking unstable I am expecting another drop to prior lows for a retest, before a short-term trend reversal.

Crypto Market Analysis

Interaction with key resistance may trigger a pullback

General overview

Market Cap: $460,879,175,725

24h Vol: $30,774,553,262

BTC Dominance: 36.1%

At yesterday’s open cryptocurrency market, capitalization was $433,190,000,000, and since then the evaluation has been on a steady rise, coming to $460,879,175,725 where it is now.

daily cryptocurrency market

As you can see from the global chart, the evaluation is currently resting at these level, forming a plateau.



There is no significant news that came out in the last 24 hours, that can affect the market.

Ethiopian Gov’t Signs Agreement With Cardano To Introduce Blockchain In Agritech

The Ethiopian government has recently signed a memorandum of understanding (MOU) with cryptocurrency startup Cardano (ADA), The Next Web reports May 3. The agreement will see Ethiopian developers apply blockchain technology to the country’s agritech industry.


US: Arizona’s Cryptocurrency Tax Bill Sees Rollback On Crypto Acceptance

The Arizona House of Representatives passed Senate Bill 1091, a tax bill that would allow citizens to pay their taxes using cryptocurrencies, according to public records May 2. Following the recent vote however, this initiative has been hampered with amendments.



In the last 24 hours, the price of Bitcoin has increased by 5.33% coming from $9212 at the yesterdays opening to $9700 where it is now.

support resistance trading

Looking at the daily chart we can see that the price is currently above the 0.618 Fibonacci level, and is now interacting with it, retesting it for support.

what is price action trading

Zooming into an hourly chart we can see that the price has broken out of the triangle which it was in until yesterday. We can also closely see the interaction with the Fibonacci level, which is being retested for support.

Hourly chart signals a buy

forex resistance strategy

Pivot points

S3 8170.3
S2 8884.3
S1 9321.7
P 9598.3
R1 10035.7
R2 10312.3
R3 11026.3


Since the yesterdays open, the price of Ethereum has increased by 16,4% coming from $688 to $802 where it is now.

forex support and resistance strategy

Looking at the daily chart we can see that the price rose up with a strong momentum from slightly above 1.618 Fibonacci level to 2.0 which serves as resistance.

 forex trading strategy

Zooming into an hourly chart we can see that after a bull flag we saw yesterday the price continue a strong upward trajectory and is now sitting at 2 Fibonacci level.

Hourly chart signals a strong buy.

support and resistance forex trading strategy

Pivot points

S3 546.06
S2 649.09
S1 714.24
P 752.12
R1 817.27
R2 855.15
R3 958.18


In the last 24 hours, the price of Ripple has increased by 5.58%, rising from $0.861 to $0.91 where it is now sitting.

price action trading

Looking at the daily chart we can see that the price of Ripple didn’t create a higher high from the previous time, and that the price was repealed by this key resistance line at $0.92. The price is above the 100% Fibonacci level and both 100 and 50 day EMA.

support and resistance trading strategy

Zooming into an hourly chart we can see that the price has broken out of the channel, but the resistance at $0.92 was too strong.


Hourly chart signals a strong buy

Pivot points

S3 0.75713
S2 0.81425
S1 0.84801
P 0.87137
R1 0.90513
R2 0.92849
R3 0.98561


After the surge in price, we have seen three cryptocurrencies this week that we are covering in this daily report, that are starting to interact with their strong resistance lines. Keeping in mind that the weekend is coming and that this uptrend lasted slightly less than a month (from April 9.), I think those resistance levels are going to trigger a pullback. For the forecast on the upcoming week, make sure to check my weekly crypto update where I provide an overview from the past week and forecast what is likely to happen in the next week. Things are going according to my three-week-old forecast so far, and it’s getting close to completion.