Cardano, Ethereum, Ethereum Classic, Tron, Monero Technical Analysis July 12th


“Cardano (ADA) is extremely Under-Valued” Says CNBC Host

In less than two months, the cryptocurrency market has lost more than $200 billion in market cap after peaking at $450 billion in early May. This simple metric goes on to show incessant bears have been. So, in line with this fact, we should align our trades and flow with bears across all pairs under our radar.

Let’s have a look at these charts:

Ethereum (ETH) Technical Analysis

Ethereum Daily Chart July 12
Click here to see the full size Ethereum Daily Chart July 12

There is always something nice going on in the crypto space. If it’s not shed being thrown then it has to do with development. And it is development in mind with the main theme being that of scalability and through-put. Already, there are some novel proposals in place on the way forward. For purposes of making Ethereum a truly global platform, the platform plans to shift from PoW to Casper, a PoS consensus algorithm.

Besides, there are talks of Plasma and data Shards. These two, proponents believe, will leverage on the security of the Ethereum mainnet and in turn process hundreds of thousands of transactions off-chain. Of the two scalability solutions, Plasma being this multi-chain protocol consisting of small network of off-shot chains is the most viable because it has been demonstrated by 0x. 0x use the Ethereum main chain to process batched transactions that must be processed with majority as sell-buy orders happen off-chain. Let’s see what happens because after all, a < 10 TPS network will always be mired by congestion and things like those.

Our position on ETH is clear: we are sellers. It’s easy to see why. Well, first, prices are overly bearish and while the past two months have seen prices sliding to new levels, ETH sellers are yet to blast through April 2018 lows at $350, our immediate bear target.

Secondly, despite attempts of higher highs in the beginning of the month, sellers did manage to come on top. So, because of all these factors, we shall trade in the direction set by July 10 bearish engulfing candlestick and short with stops at $480 in this Evening Star bear reversal pattern. Any break above $500, our bull trigger, cancels this sell projection.

Cardano (ADA) Technical Analysis

Cardano Daily Chart July 12
Click here to see the full size Cardano Daily Chart July 12

According to Charles Hoskinson, the Cardano Co-founder and head of IOHK, Google is a “good patron of open-source technology”. In fact, some of their employees are part of some open source projects. He even recognized Mike Hearn, a Bitcoin Core developer as an example. Anyhow, as it is, there is reason to believe, according to Ran Neu-Ner of CNBC, that ADA is greatly under-valued.

Now, the markets are down and ADA couldn’t be left behind. It’s down 17 percent week over week and down three percent in the last day. Encouragingly, ADA is yet to break below 12 cents, our main sell trigger line and 2018 lows. That price tag is important as we have mentioned in our previous analysis. For now, we remain neutral with a bearish skew waiting for a break out trade below 12 cents or bounce off support with long triggers above 16 cents.

Tron (TRX) Technical Analysis

Tron Daily Chart July 12
Click here to see the full size Tron Daily Chart July 12

Two days ago, Twitter sent a team to Tron offices and while we don’t know what they were discussing, this ‘simple” visit has generated a ton load of speculation. Is there a partnership in the working or is Twitter about to reverse their previous crypto-ad ban? All these we don’t know but of course, if these rumors are true then the better for TRX and crypto as an industry.

On to the charts, and sellers are pressing lower in line with our previous trade plan. Then we mentioned that as long as prices are trading below 4 cents, sellers should have an upper hand and short on every pull back. The narrative is pretty much the same and my suggestion going forward is to sell with tight stops at 3.5 cents and targets at 2.5 cents. 2.5 cents is a key support line marking the lower limit of Feb-April consolidation as the daily chart shows.

Ethereum Classic (ETC) Technical Analysis

Ethereum Classic Daily Chart July 12
Click here to see the full size Ethereum Classic Daily Chart July 12

Radex is an ingenious master piece of a project and the team behind its development, Saturn Network, ought to be lauded for their effort. Radex is a cryptocurrency DEX that enable trading of ERC-20 tokens via an upgrading protocol that convert these tokens into ERC-223 complaint tokens.

These tokens are designed to be safe and what’s more, trading on Radex is free. Besides, traders can trade both ETC and ETH tokens and with Saturn Network pushing the barriers to create a fully functional Saturn Wallet that works on both ETC and ETH platforms, it couldn’t be easier to trade.

Back to price action and the fake break out above $18 has rendered our previous bullish proposal null. That bearish engulfing pattern on July 10 hit our stops at $16. As such, my suggestion for risk-off traders is to sync with the trend and short at every highs with stops at $18. Ideal bear targets stands at $13, the double bottom of April and June 2018. At current spot rate, it’s a 1:1 risk-reward ratio and it doesn’t make sense for buy-hold traders. So, because of that, my suggestion for them is to wait for clear break out trade below $12 or above $18 before entering.

Monero (XMR) Technical Analysis

Monero Daily Chart July 12
Click here to see the full size Monero Daily Chart July 12

There is an attack going on right now on privacy centric coins as Monero and ZCash. The government and especially the US Secret Service and the FBI hate “Monero” while normal citizens-who want to keep private things private believe Monero is a coin from heaven. Of course, it’s a perfect utility for them and their security features as Ring Signatures attests to that.

Price wise though, July 10 flash crash has defined our stops and targets already and it makes sense to trade according to that. After all, we were net bearish waiting for buy triggers above $150. As it stands, my suggestion is to sell with stops at $140 and targets at $70, our main support line.

Disclaimer: Views and opinions expressed are those of the author and aren’t investment advice. Trading of any form involves risk and so do your due diligence before making a trading decision.

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