- In under a year, Tron has surpassed Ethereum daily transaction recording 1.5 million transactions.
- Correction from $0.0400 resulted in declines under $0.0390 with $0.0380 functioning as the immediate support area.
The Tron Foundation is celebrating one year since the first Independence Day. June 25, 2018, was the day that Tron launched its mainnet. The date is also used to mark the genesis block for Tron blockchain. According to the founder of Tron, Justin Sun, the network has been able to hit various milestones since then.
Some of these include an increase in staff from just 10 to 400 spread around the world. Besides, this number is expected to rise to 600 by the end of 2019. The development team has been able to release 22 updates on Tron protocol. The network has 3.1 million addresses on the mainnet and supports 1.5 million transactions daily catching up with Ethereum in less than one year. The decentralized applications ecosystem has over 500 DApps that record 50,000 active users.
These including other milestones have helped push Tron back into the top ten with a market cap of $2.5 billion. Tron is currently ranked as the 10th largest asset. It has an exchange-traded volume of $990 million and a circulating supply of 66,682,072 TRX.
Looking at the 4-hour chart, Tron recovered from June lows around $0.0291 and even retested the resistance at $0.0400. However, correction above this level is hampered leading to the formation of a double top pattern with the highs achieved in the first week of June around $0.0400. Meanwhile, a correction has resulted in declines under $0.0390 with $0.0380 functioning as the immediate support area. Other key areas to look out for are $0.0360 support, $0.0320 support area and June lows at $0.0291.
TRX/USD 4-h chart
Binance U.S. to move slower than Binance.com: Catherine Coley
While Binance continues its efforts into delivering its growing services throughout the globe, Binance U.S. CEO, Catherine Coley featured in a Fortune interview to uncover what it currently meant for the U.S. establishment. According to Coley, the need for creating a U.S. version of Binance was mainly due to the regulations at hand. She added,
“We bring a marketplace that’s suited for our American users, with the same technology that they can experience on Binance, but with the comfort that it’s within regulation in the U.S.”
Pointing out the main differences between Binance U.S. and Binance.com, Coley highlighted that the U.S. company offers “a selected amount of tokens rolling out in a sequence” in order to achieve adequate liquidity. She added,
“We want to be applying products new to the market and in a cadence that will work with the regulation in the U.S. We will be going at it at a different cadence and speed (from Binance.com), but one that will be in line with the American regulation.”
Binance U.S. is currently operational in 37 states and Puerto Rico, and plans to gain customer base by going through a series of process to procure state by state licences, although Coley could not guarantee any particular time frame for the same. While some of the user functionality might be tweaked to better cater the U.S. crypto market requirements, the CEO assured the U.S. platform will be powered by Binance’s core technology for the matching engine, speed, simplicity, and the security.
Admitting to a delayed entry into the U.S. market, Binance U.S. has been proactive to entice customers, by offering free cryptocurrency trading until November 1 and $15 credits via referral programs. It is important to note that the U.S. version of Binance will also limiting its token listing while complying with the Digital Asset Risk Assessment Framework.
EY Launches Blockchain Tool to Help Bring Accountability to Public Finances
Professional services giant EY (Ernst & Young) is using blockchain tech to assist governments in improving transparency and accountability in the management of public funds.
The firm, one of the Big Four accounting firms, announced the news Wednesday, saying its new “blockchain-enabled” EY OpsChain Public Finance Manager will compare government spending programs with the results of the expenditure, even when the money has passed through different layers of government and public service agencies.
It’s claimed to track finances in real time and “create a single source of integrated financial and nonfinancial performance information to support decision-making.”
Mark MacDonald, EY’s lead of Global Public Finance Management, said in the announcement that transparency, accountability and sound evidence for decision-making are vital in managing public funds. The firm’s new tool is aimed to help those in charge of public finances to “assess and improve” their systems, he added.
The product has already been trialed around the world, the firm said, citing one pilot in Toronto where the city used the finance manager solution to track how reconciliations and fund transfers between departments are managed.
The system is built on EY OpsChain, a blockchain platform launched in its second iteration in April with claimed support for up to 20 million transactions per day over private networks. The firm is eyeing a range of use cases for the blockchain platform generally, including in healthcare, the food industry, supply chain and financial management.
Bitcoin Price Indicator Shows Bearish Mood Strongest Since February
- Bitcoin’s weekly Chaikin Money Flow index is reporting the strongest bearish bias since February. Other weekly chart indicators are also calling a deeper drop, possibly to levels below recent lows near $7,750.
- The daily chart indicators suggest the corrective bounce has ended and sellers are again gaining strength.
- The ongoing risk aversion in the global financial markets could weigh over bitcoin.
- The short-term bearish case would weaken if prices rise above the 200-day average, currently located above $8,700, although, as of now, that looks unlikely.
Bitcoin is facing strongest selling pressure since February and has potential to drop below recent lows near $7,750.
The top cryptocurrency by market value fell from $8,326 to $8,086 in the 60 minutes to 17:00 UTC on Tuesday, confirming a downside break of the recent trading range of $8,450–$8,250, as expected.
Since then, the cryptocurrency has stabilized around $8,100. Some observers are of the opinion that BTC has carved out a temporary bottom near $7,750 and the drop from levels above $8,300 could be a bear trap.
That argument is logical if we take into account the seller exhaustion signaled by a bullish divergence of the 14-day relative strength index – a widely used technical indicator – confirmed last week.
So far, however, that has failed to excite investors, as noted on Tuesday. Further, longer duration indicators continue to report bearish conditions.
For instance, the weekly Chaikin Money Flow (CMF) index, which incorporates both prices and trading volumes to gauge buying and selling pressure, is currently printing a value of -0.14 – the lowest since mid-February.
A below-zero reading indicates that selling pressure, or the capital flight from the bitcoin market, is much higher than the buying pressure or inflow.
Put simply, the indicator shows the market is now at its most bearish since February and the path of least resistance for bitcoin is to the lower side. At press time, the cryptocurrency is changing hands around $8,120 on Bitstamp.
The CMF (above left) fell below zero at the end of September, confirming a bullish-to-bearish trend change and is now seen at -0.14.
Historically, negative readings have marked major bottoms. For instance, the CMF hit a low of -0.15 in February following BTC remained flat-lined below $4,000 for almost two months before breaking into a bull market in early April.
The latest bearish signal, however, looks reliable, as there are no signs of a bullish reversal on the weekly price chart.
More importantly, the CMF continues to lose altitude despite the repeated defense of the 100-week MA over the last three weeks – a sign the investor sentiment is still quite bearish. The index would have risen due to increased capital inflow if investors were convinced by the defense of the 100-week MA.
Further, the MACD histogram is also charting deeper bars below the zero line, indicating a strengthening of bearish momentum.
What’s more, the 14-week RSI has convincingly breached the support band of 53.00-55.00. That region had served as strong support throughout the 2016-2017 bull market. The 5- and 10-week moving averages (MAs) are also trending south, indicating a bearish setup.
All-in-all, the stage looks set for a retest and possibly a break below the 100-week MA support at $7,758.
Daily candlestick and line chart
The 50-day MA holding below the 100-day MA is a bearish sign, according to Naeem Aslam, chief market analyst at ThinkMarkets FX and contributor for Forbes.
BTC created a bearish outside bar candlestick pattern on Tuesday, signaling a continuation of the sell-off from the Oct. 11 high of $8,820.
The RSI remains in bearish territory below 50 and the MACD is now producing shallow bars above the zero line, indicating the corrective bounce from $7,750 has ended.
The bullish divergence of the RSI on the daily line chart has lost its shine due to the strong rejection at the 200-day MA last week.
Risk-off may weigh over BTC
The bearish technical setup is accompanied by price-negative developments on the macro front.
Global economic growth is expected to fall to 3 percent this year, the lowest since the 2008 financial crisis and down from 3.8 percent seen in 2017, according to the International Monetary Fund (IMF).
Further, China-U.S. political tensions are escalating. The US House of Representatives on Tuesday passed bipartisan legislation in support of human rights in Hong Kong.
China sees the move as an intervention in its internal matters and has warned of retaliation if the U.S. continues to push forward Hong Kong-related bills.
As a result, the risk assets are flashing red across the board. As of writing, stocks in the U.K., Germany and France are reporting modest losses. The Shanghai Composite index fell by 0.44 percent during the Asian trading hours and the futures on the S&P 500 are currently shedding 0.36%.
Meanwhile, safe-haven assets like the Japanese yen and gold are better bid.
The risk aversion may not bode well for BTC, as the top cryptocurrency is still viewed as a risky asset, according to a recent study and does not have a credible story as a haven asset.
Disclosure: The author holds no cryptocurrency assets at the time of writing.